In 2023, cash purchases on Australia's east coast made up over a quarter of residential property sales, totaling $129.6 billion.

The increase in cash transactions is driven by retirees, downsizers, wealthy owner-occupiers, and investors, despite rising interest rates.

Cash buyers, often less impacted by interest rate hikes, may contribute to the widening intergenerational wealth divide.

Queensland saw the highest number of cash transactions, with over 52,000 properties, and specific suburbs like Surfers Paradise, Melbourne's CBD, and Sydney's Mosman were hotspots.

Typical cash buyers are characterized as older, retired, with lower incomes but substantial accumulated assets.

The report did not specify the proportion of overseas cash buyers or the origins of the funds used in these transactions.

The prevailing cash purchase trend is likely to persist, potentially deepening the affordability gap in the housing market.