A 24 per cent increase in submission volumes and a 14 per cent bump in settlement volumes at Mortgage Choice have contributed to REA’s 1H26 results.
Digital property business Real Estate Australia Group (REA Group) has released its results for the first half of financial year 2026 (1H26), with its financial services division delivering strong results for the group.
Released on Friday (6 February), the financial services arm of the group – which includes major brokerage Mortgage Choice, its stake in non-bank lender Athena Home Loans, and loan application software provider Simpology, as well as property analytics arm PropTrack – contributed 6 per cent to the group’s $872 million in revenue in the six months to December.
Mortgage Choice settlements leap 14%
Financial services revenue jumped 11 per cent to $58 million – driven by higher settlements, improving broker productivity, and a lift in data-led income from PropTrack – underscoring its rising weight within REA’s portfolio.
Driving that performance, Mortgage Choice revenue increased 12 per cent, growing from $41 million in 1H25 to $46 million this period.
REA partly attributed this to a 14 per cent increase in settlements, which rose to $13.7 billion over the half, with submissions up 24 per cent (from $11.9 billion) over the year.
The group reflected that the volume of submissions from REA leads to Mortgage Choice brokers had grown by nearly a third year on year (according to REA internal data), while an “enhanced realestate.com.au integration” had driven a 26 per cent increase in leads generated through the platform.
In addition, the group noted it had seen a 4 per cent increase in broker numbers over the half (to 1,120 brokers), achieved ongoing gains in broker productivity (partly through the rollout of Google Gemini and AI learning), and average loan size. However, these were partly offset by higher broker payout ratios.
The combined financial services loan book swelled 4 per cent from $90.3 billion in 1H25 to $93.8 billion in 1H26.
Combined with PropTrack’s 11 per cent revenue rise to $12 million – fuelled by fresh data contracts – financial services earnings before interest, taxes, depreciation, and amortisation (EBITDA) climbed 14 per cent from $19 million to $21 million, outpacing revenue growth.
CEO flags healthy demand, yield lift
Overall, REA lifted revenue 5 per cent to $916 million for the six months to 31 December, with earnings before interest, taxes, depreciation, and amortisation (EBITDA) up 6 per cent to $569 million.
Net profit rose 9 per cent to $341 million, while the fully franked interim dividend climbed 13 per cent to $1.24 per share, alongside a $200 million on-market share buyback.
REA also reported having a record 13.2 million visits to realestate.com.au in November.
REA Group CEO Cameron McIntyre said premium products and audience engagement underpinned the result, with financial services riding the residential wave.
“REA Group’s first half performance was underpinned by strong double-digit yield growth in our core residential business,” McIntyre said.
“Our focus on richer, more immersive consumer experiences supported record audience and strong engagement. Our customers continued to recognise the value of our premium products and their ability to maximise campaigns and support stronger sales results.”
McIntyre described the property market as healthy, backed by steady rates, population inflows, and jobs growth, though Perth and Brisbane stock shortages prompted some sellers to delay.
FY26 tempered by listings dip
Looking ahead, REA forecast that national buy listing volumes would be down 1–3 per cent for FY26, reflecting larger-than-expected declines in Perth and Brisbane market over the year to date.
January listing volumes also dropped 8 per cent nationally, with Melbourne and Sydney each down 1 per cent.
Yet residential yields are tipped to grow 12–14 per cent, cushioning any volume softness.
Overall, REA lifted revenue 5 per cent to $916 million for the six months to 31 December, with earnings before interest, taxes, depreciation, and amortisation (EBITDA) up 6 per cent to $569 million.
Net profit rose 9 per cent to $341 million, while the fully franked interim dividend climbed 13 per cent to $1.24 per share, alongside a $200 million on-market share buyback.
“Into the second half we will continue to drive innovation with new product features and capabilities to enhance the value and experiences we deliver. These, coupled with ongoing strength in property market fundamentals, position REA well for further growth in the remainder of FY26,” McIntyre said.
[Related: Open banking shaves off 90 mins of work per loan: Mortgage Choice]
