Providing government-funded grants to all first-time buyers (FTBs) would create more fluidity in Australian property investment and help younger people take their first step on to the property ladder, the Real Estate Institute of Australia (REIA) has claimed.
President Pamela Bennett expressed her concern at suggestions this grant could be restricted to those buying new homes in New South Wales, Queensland and South Australia.
"The [government agreement] clearly states that assistance to first-home buyers will be uniform and that an eligible home will be new or established," she explained.
With FTBs making up some 17.7 per cent of the market, Ms Bennett stressed that it would be foolish to limit their buying choices and have a potentially detrimental effect on provision of housing.
Speaking at a Citi Investment conference in Sydney, Adelaide Brighton chief executive and managing director Mark Chellew recently suggested young people are choosing to rent for longer in the current economic climate.
Posted by Craig Francis
