Tassie property the answer: Nikolic

Sick of the big-city property prices and fancy life on an island?

Federal MP Andrew Nikolic reckons Tasmania, where $300,000 buys an average suburban family home, could be the answer for first-time buyers struggling in the skyrocketing property market of some capital cities.

In the wake of Treasurer Joe Hockey's suggestion that anyone wanting to buy a house in Sydney or Melbourne should get "a good job that pays good money", fellow Liberal Mr Nikolic has put the `for sale' sign out for the island state.

"The Real Estate Institute of Tasmania's March Quarterly Report shows that the median price for a house in Tasmania was $310,000," he said on Wednesday.

"In Launceston in the previous quarter, 58 per cent of houses sold for under $300,000."

Mr Nikolic said the $1 million-plus property prices of inner Sydney and Melbourne do not accurately reflect housing affordability in Australia.

"Not everyone needs to live in these expensive areas."

In its 2015/16 budget the Tasmanian government extended its $20,000 first home builders grant, due to expire on June 30, until the end of 2015.