However, the pace is easing
Australia’s housing market has notched its ninth consecutive quarter of price growth, although the pace is clearly easing, according to Domain’s latest House Price Report for the March quarter.
Adelaide is the newest entrant to the million-dollar club, reaching a median house price of $1,000,202. It now joins Sydney, Melbourne, Brisbane and Canberra among the capital cities with seven-figure price tags.
While house prices continue to edge higher across much of the country, Domain’s data points to a broad slowdown in momentum. The rate of growth is now the weakest recorded in nearly two years, and unit prices have dipped on a national level for the first time since 2022.
New highs in median house prices were recorded in Sydney, Adelaide and Perth. Sydney’s median now sits just $8,000 below $1.7 million, while Perth is on track to reach $1 million by late 2025. Melbourne posted its second consecutive quarter of gains, hinting at a potential recovery. In contrast, Brisbane saw a drop in house prices — its first decline in over two years.
The unit market delivered a mixed performance. Nationally, median unit prices dropped by $3,000 from the previous quarter’s high. Despite this, units in Sydney, Brisbane and Adelaide reached new peaks. Declines were reported in Melbourne, Perth, Canberra and Darwin, with Perth seeing its first fall in two years. Brisbane stood out, with unit values climbing for the 16th quarter in a row.
“While house prices are still rising nationally, the pace of growth has slowed to just one-third of what it was last year,” said Nicola Powell (pictured above), chief of research and economics at Domain.
“Several factors are behind the slowdown — interest rate cuts are expected to be gradual, affordability remains a major barrier, and lending conditions are still tight. On top of that, global uncertainty, including from the Trump administration’s economic and foreign policy stance, could influence the RBA’s next moves.
“With consumer sentiment at a six-month low, another strong price surge is unlikely until we see a real improvement in home loan affordability. That said, it could be a window of opportunity for buyers, particularly with both major parties proposing new support for first-home buyers ahead of the election.”
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