Treasury says slower population growth to ease prices as homebuilder and first-home buyer aid fires up market

Homebuilder likely to boost market, but Treasury says slowing population growth and construction will help cool it in the long term

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Extensions to the homebuilder program and subsidies for first home buyers announced in Tuesday's budget will tip more money into Australia's already red hot property market.

But the government says slowing population growth and the wind down of government subsidised construction activity will help cool things down in the longer term.