The cost of buying a new home has hit another milestone, even as the speed at which prices are increasing slowed over the past year.

New data released this morning by the Australian Bureau of Statistics (ABS) showed that the national average dwelling price is now sitting at just over $1 million – the first time it has reached seven figures.

It also showed the combined value of all homes in Australia had reached $11.4 trillion for the March quarter, an increase of $130.7 billion or 1.2 per cent since December.

Five years ago, that figure was sitting at just $7.3 trillion.

But while prices are still increasing – and, with more interest rate cuts expected throughout the year, are showing no signs of going backwards – they are rising at a slower pace than at the same time last year.

“Despite the quarterly rise in national dwelling value, annual growth in the March quarter slowed to 5.9 per cent,” ABS head of finance statistics Dr Mish Tan said.

“This was down from 9.5 per cent in March quarter 2024.”

New South Wales, where the average home price is $1.25 million, remains Australia’s most expensive property market.

The average price in the ACT went backwards, falling slightly to $941,300, with Queensland $944,700 overtaking it to become the second-priciest market in the country.

“The national mean price of residential dwellings passed $1 million for the first time in the March quarter 2025, rising 0.7 per cent to $1,002,500,” Tan said.

“Western Australia, South Australia and Queensland were the main drivers of the rise, with Queensland reaching the second highest mean price in Australia, behind New South Wales.”

The Northern Territory ($517,700) remains the country’s least expensive market.