U.S. Home Sale Profits Surge to Nearly 50 Percent in Q3 2025

In a recent report from ATTOM, a prominent curator of property data and real estate analytics, major insights into the home sales market have emerged for the third quarter of 2025. The report reveals that homeowners reaped significant benefits from their property sales, recording a profit of 49.9 percent or an average of $123,100 per typical transaction. This is a slight increase from the previous quarter's margin of 49.3 percent but still lags behind the 55.4 percent profit margin observed during the same period last year.

Before the upheaval caused by the COVID-19 pandemic, typical profit margins for home sellers were around 30 percent. However, as the pandemic shifted living preferences and buyer demands, these profits peaked at over 60 percent by mid-2022, a trend that has since stabilized, holding just below 50 percent for the past three quarters.

The median sales price across the nation now stands at $370,000, reflecting a 1.2 percent increase from the previous quarter and a 3.4 percent rise from the same time last year. This upward trajectory in home prices aligns with the increasing profits, providing a positive outlook for home sellers.

Rob Barber, CEO of ATTOM, commented, "Profit margins remained steady and high throughout the traditionally busier summer selling season. Although rising prices might have traditionally deterred some buyers, recent dips in mortgage rates appear to be sustaining market activity."

Profit Margins See Variability Across Metro Areas

Despite the positive national trends, profit margins experienced declines in many metropolitan regions. In fact, 58.6 percent of the 157 large metro areas analyzed reported a drop in profit margins quarter-over-quarter, while 84.1 percent saw declines year-over-year.

Particularly, Ocala, FL witnessed a stark drop from a staggering 103.9 percent down to 55.1 percent year-over-year, while many Florida cities including Punta Gorda and North Port-Sarasota experienced similar downturns. In contrast, St. George, UT saw impressive growth, with margins climbing from 26.3 percent to 37.2 percent during the same timeframe.

Among larger cities with populations exceeding a million, the most notable profit margins were again seen in San Jose, CA, with a remarkable 94.3 percent, followed by cities like Seattle and Buffalo hovering near 80 percent. Conversely, New Orleans recorded significantly lower margins at just 19.6 percent, highlighting the disparities that exist in the market.

Home Sale Profits: Dollars and Trends

In raw terms, typical profits from home sales averaged $123,100 nationally, but this figure can differ greatly by region. Cities like San Jose and San Francisco dominate in terms of sheer profit per sale, with figures soaring to $740,500 and $450,000, respectively. However, the market is also seeing distinctions, with some areas, including New Orleans, showing minimal profits around $41,000.

Additionally, home sales prices have grown consistently, making the nation’s median home sales price a record high for the second consecutive quarter. Despite the overall increases, some Florida areas such as Cape Coral and Lake Havasu experienced notable price drops, emphasizing the volatility in the housing market.

Increasing Homeownership Tenure and Market Behavior

Interestingly, the average homeownership tenure before selling hit its highest levels in over two decades, now averaging 8.39 years. Various metro regions like Barnstable, MA, and San Francisco reflect significant stasis in terms of turnover, with homeownership tenures markedly longer in these areas.

Moreover, cash transactions have risen to 38.9 percent of all home sales, signaling trends towards full cash purchases in certain areas. Metro regions like Hilo, HI show particularly high trends in cash transactions, reflective of the evolving buyer demographics and preferences within the real estate market.

Conclusion

The current landscape of U.S. home sales paints a picture of substantial profits for sellers, underscored by rising prices and consumer demand. While profit margins remain below the peak levels observed during the pandemic, signs of stability may offer hope for potential sellers and buyers alike in navigating the complex housing market.