Tasmania urged to contribute to first owners grant

Tasmania's Housing Industry Association (HIA) has warned the decline in housing affordability for first home buyers is now very serious.

Housing Industry Association spokesman Stuart Clues says the contrast between people seeking finance for a second or third home and those trying to get into their first home is very stark.

Mr Clues has called on the Tasmanian Government to contribute an extra $3,000 to the Commonwealth first home owners grant.

"We've been maintaining this policy now for a number of years in relation to our budget submissions and we'd be asking the State Government to assist first home owners into the market by making a contribution to the Commonwealth first home owners grant over and above what is provided by the Federal Government," he said. - SOURCE: © 2007 Australian Broadcasting Corporation