Capital Gains Tax (CGT) may be applicable when you sell your Melbourne property in 2026, but it’s not always the case. CGT is a tax on the profit you make from the sale of an asset, and whether you pay it depends on several factors, including how long you’ve owned the property and if it’s your primary place of residence.
As of December 2025, the main residence exemption currently shields most Melbourne homeowners from CGT when selling their primary residence. However, if the property has been used to produce income – for example, as an Airbnb or if a portion is used for a home office – CGT may apply to the portion of the capital gain attributable to that use. In 2026, the property selling process in Melbourne typically involves a 4-6 week campaign, and preparing your home for sale can involve costs like professional photography ($500-$1,500) and styling ($2,000-$8,000). Fletchers’ experience across the Eastern Suburbs – areas like Balwyn and Doncaster – shows that well-presented properties with renovation potential generally attract the strongest buyer interest. It’s important to note that changes to CGT rules are announced well in advance; as of December 2025, the planned changes for 2027 do not alter the core principles of the main residence exemption. Understanding your individual circumstances is crucial, and we recommend consulting a qualified tax professional.
Determining your potential CGT liability requires careful consideration of your specific situation and current tax laws.