Queensland's new first home owner grant may increase house prices

A $30,000 first home owner grant in Queensland has been criticised by a lead economist. Queensland Premier Annastacia Palaszczuk announced the new first homeowner grant on Sunday in a push to help make the state's homeownership rate the best in the nation. Economist Saul Eslake has hit out at the policy saying there were 60 years of evidence that grants led to increased house prices. Queensland Treasurer Cameron Dick denies prices will rise. Mr Dick also went on to say the grant is focused on new supply, on new builds.