The financial year close revealed a year of continued momentum and new records for luxury property around Australia. The June quarter evidenced a further increase in confidence and activity.

The luxury market performed well, with new record prices in Sydney and Melbourne for existing dwellings and still-to-be-built penthouse apartments being set. Buyers seem to be more influenced by financial market and macroeconomic performances than by the broader market’s focus on credit settings and interest rate changes.

High-net-worth individuals are increasing their capital allocation to luxury real estate assets that have a perceived long-term value and greater stability against inflation and economic downturns. Additionally, the Australian Government’s proposed superannuation tax on balances over $3 million is expected to see more interest in the high-end property sector, with family homes exempt from Capital Gains Tax (CGT).

Today’s luxury purchasers are primarily entrepreneurs who prioritise privacy, security and prestige lifestyle features. Buyers in their 40s and 50s make up much of the market, however, there has been a notable increase in millennials entering the sector, with younger buyers bringing contemporary tastes and design preferences, seeking innovative technologies and homes with sustainability and wellness-focused facilities.

The features of Australia’s top homes are evolving to reflect these changing buyer preferences. Wellness amenities are now high on the list, with properties boasting features such as gyms, infrared saunas and cold plunge pools commanding price premiums. Sustainability has also emerged as a non-negotiable element in the luxury property segment, with many buyers favouring homes with energy-efficient designs and climate-appropriate features.

Some of the highest sales reported in the previous financial year have been to buyers who intend to knock down and rebuild homes to their exacting criteria. For example, an amalgamated beachfront block in Queensland’s Palm Beach where the buyer intends to demolish the existing three dwellings and build two new beach homes.

Looking ahead, the forecast for the Australian dollar is expected to continue to boost demand from expatriates and foreign buyers.

Sydney

Sydney has maintained its position as Australia’s premier luxury residential property leader, despite Melbourne making inroads, off the back of a joint-record breaking sale in October 2024.

‘Elaine’ in Point Piper, which sold for $130 million, was purchased by a consortium of developers who bought the uninhabited 7,000sqm harbourside block with plans to sell off the estate as four trophy sites, comprising two side-by-side blocks fronting the Seven Shillings harbourside beach, the original homestead and another smaller site which houses the historic stables.

Sydney mansions dominated the rankings for the financial year, securing 17 of the top 20 spots, with the only apartment on the list located in the region. Eastern Sydney remains the epicentre of luxury living, with Double Bay, Bellevue Hill and Rose Bay among the most highly sought-after enclaves.

Featuring in the top three of all sales nationally for the year, the six-bedroom, six-bathroom penthouse on levels 81 and 82 of the Crown Sydney tower in Barangaroo sold for around $80 million. The apartment includes a plunge pool, spa and gym and four balconies with views to Darling Harbour, North Sydney, the heart of the CBD and Sydney Harbour.

For the June quarter, two Sydney trophy homes sold within a week for approximately $55 million each. The first, a Vaucluse property initially listed with a price guide of around $70 million sold for $56 million, with the buyers reportedly planning to demolish the existing home to build their own residence on the 1,400sqm site.

The second sale was a Point Piper mansion, which sold for $55 million after a $10 million reduction from its original guide. Located on Wolseley Road, the Mediterranean-style home spans three levels on 700sqm, featuring four bedrooms and a pool with sweeping harbour views. It was last purchased for $12 million in 2004.

Melbourne

Melbourne’s luxury property has returned to life after having a softer period over recent years.

The sale of Coonac estate in Toorak at the start of the 2025 calendar year has provided an injection of confidence in the market. Whilst initially reported to have sold over the $130 million national property price record, the sale price (which is yet to be confirmed) is expected to fall short of this figure according to sources close to the deal. It remains, however, a record-breaker for Victoria, recording the highest ever sale price and being the first residential deal to surpass the $100-million threshold.

The off-market sale of another sprawling Toorak estate was the largest transaction of the June quarter in Victoria’s capital city and was the second highest in 2025 so far. The sale price of the five-bedroom, six-bathroom Lansell Road home, which sits on 6,333sqm, is yet to be confirmed, but is reported to be around $50 million.

South East Queensland

South East Queensland is emerging as the nation’s standout success story in recent years. Once seen as a lifestyle-driven alternative to Sydney and Melbourne, the region has established itself decisively as a top-tier luxury destination underpinned by surging demand, high-quality development and a growing cohort of wealthy local buyers.

In particular, the Gold Coast has recorded exceptional growth. The premium segment now attracts both interstate and local buyers seeking homes in prestigious locations with proximity to private schools and emerging health precincts. Its market strength has benefited from lifestyle shifts following the pandemic, significant infrastructure investment and limited prestige stock along tightly held coastal strips.

On the Gold Coast, an opulent Mediterranean-inspired mansion on Marseille Court, Sorrento finally sold in the June quarter for $18 million after spending more than two years on and off the market with various real estate agents. Originally built in the 1980s, the two-storey estate features seven bedrooms, including a lavish master suite with its own private seating area, study, dual showers and dressing rooms. Designed for entertaining, the property boasts a ballroom, games room and a designated wellness wing. Set on an expansive 6,508sqm parcel with almost an acre of tropical gardens, it enjoys an impressive 134.5m of river frontage with water views stretching to the city skyline.

Also on the Gold Coast, an oceanfront mansion on the coveted Hedges Avenue, Mermaid Beach – widely known as Billionaires’ Row – changed hands off market for $17 million. Previously held by the same family for 25 years, the four-level residence contains six bedrooms and was purchased as a holiday home. The landmark sale equates to an impressive $41,975 per sqm, reflecting the enduring scarcity of beachfront holdings on the Gold Coast.

In Brisbane, the highest sale for the June quarter was a blue-chip Hamilton estate at 56 Windermere Road on more than 2,000sqm that sold for $13 million. Designed by the original owner and held in one family for more than 80 years, the property enjoys dual street frontage and a north-south aspect with five bedrooms, five bathrooms, a four-car garage and an inground swimming pool.

Adelaide

The top sale in Adelaide over the financial year was a grand villa at 4 Victoria Avenue, Unley Park which sold for $12.5 million mid-2024, setting a new state record at the time for an on-market sale. The grand 1920s mansion, spanning 4,609sqm across two titles, has five bedrooms and two bathrooms, as well as a fully self-contained coach house, manicured gardens and an inground pool and spa.

The highest sale for the quarter was in Lower Mitcham where ‘Ashleigh House’, or 12 The Grove, on 5,000sqm of botanic park grounds also sold for $12.5 million. The c.1880 original residence has been fully refurbished and there has also been a contemporary extension added. Features include a full-size floodlit synthetic tennis court, a Hollywood-size heated swimming pool and an underground entertainment precinct, including a dedicated 14-seat home theatre with a 120-inch screen.

Also, last quarter, an architecturally designed, two-storey, four-bedroom, four-bathroom home of 701sqm on a 1,115sqm landholding at 39 Godfrey Terrace, Leabrook sold for $7.688 million. The property boasts a spectacular home office/theatre room and a deluxe glistening pool and spa, as well as designer gardens, a bespoke private lift and car accommodation for up to 8 cars.

Perth

The highest sale over both the financial year and the June quarter was the off-market sale of a three-storey, 249sqm dwelling on 1,095sqm at 2 The Coombe, Mosman Park which sold for $21.5 million in April.

A luxurious apartment in South Perth at 5A/8 Parker Street was another of the highest sales of the quarter, selling for $7.75 million. A premium residence within the newly completed and highly coveted ‘8 Parker’ offering north-facing views across the Swan River to the city skyline, the apartment is positioned on the fifth floor and boasts an expansive 230sqm combined internal and terrace floor plan. It features three generously sized bedrooms and a dedicated office that offers flexibility as a fourth bedroom. Residents of the building enjoy world-class amenities including a 25m heated infinity pool, gym, relaxation room and table tennis room. The exclusive project comprises just 23 customised residences across 14 levels, with secure gated access and a guest foyer.

Another notable sale was an architecturally designed residence at 6 Barker Place, Bicton, which sold in May for $6.5 million. Set on an expansive 1,267sqm parcel atop one of the highest points along the Swan River, the three-level home enjoys unobstructed west-facing views across the river to Rottnest Island, with a majestic outlook from every living zone and bedroom. Designed in an indoor-outdoor pavilion style, the home features four bedrooms and three bathrooms, with each bedroom and living space opening onto a full-width balcony. A grand spiral staircase forms a striking focal point in the entrance foyer, complemented by a lift servicing all levels. The property also contains a fully contained luxury studio, a solar-heated infinity pool with gas-heated spa, dual street access, two double garages and additional parking for three vehicles, boats or caravans.

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The information contained in this article is gathered from multiple sources believed to be reliable as at July 2025 and is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. NAB recommends that you seek independent legal, property, financial and taxation advice before acting on any information in this article.

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