The Royal Agricultural Society of Tasmania says it can no longer accommodate homeless people seeking shelter at the Hobart Showgrounds, with the society's chief executive admitting turning people away was "heartbreaking".

Key points: More than 3,000 people are on the waiting list for government housing in Tasmania, with an average wait time of around 56 weeks in the last quarter

More than 3,000 people are on the waiting list for government housing in Tasmania, with an average wait time of around 56 weeks in the last quarter Scott Gadd says he is turning away one to two people a day who are seeking shelter at the Hobart showgrounds

Scott Gadd says he is turning away one to two people a day who are seeking shelter at the Hobart showgrounds Opening the grounds to the homeless has had a "physical impact, mental and emotional impact" on staff, Mr Gadd says

It has been almost a year since Scott Gadd first spoke publicly about the influx of homeless people seeking refuge at the Hobart Showgrounds, and called for action on the housing crisis in Tasmania's capital.

Now, the Royal Agricultural Society's board has decided it can no longer offer shelter to the city's homeless after dealing with issues such as petty theft, vandalism, and the emotional impact on staff at the location.

"In hindsight, it's had a big impact on our business and on our staff, and the board have determined that we just can't keep doing it," Mr Gadd said.

"It's had a physical impact, it's had a mental and emotional impact."

Scott Gadd says accommodating the homeless at the showgrounds has been tough on his staff. ( ABC News: Georgia Stone )

Mr Gadd said since he returned from leave this week he had been forced to turn away one or two people a day, which was "heartbreaking".

"If I'm getting one or two cases a day now, then clearly something has to be done.

"I don't think we can wait 12 months for houses to be built on the crown land that's been released.

"We actually need a solution now, we need a medium-term solution and a long-term solution."

'Over 100 people going for same property'

Hobart man Adam Smith has been homeless for more than a year, since his mother died.

In winter, people at the showgrounds moved undercover but couldn't escape the floodwaters. ( Supplied: Facebook )

He has a back disability and is on the priority housing list, but has been sleeping in tents and cars while searching for a home to rent.

"We go for rental properties, there's over 100 people going for the same property," Mr Smith said.

"Especially with a dog, it's very hard to get a rental property.

"If you do go for a rental property they're $450 to $500 per week

Real Estate Institute of Tasmania president Tony Collidge said the housing crisis was affecting people in a similar way to this time last year, with university students moving to Hobart and peak tourism season impacting availability.

"We still do have a rental crisis and we still have a property shortage," Mr Collidge said.

"My thoughts are that with all the infrastructure works that we have happening, all the building that's going on in town, it could take anything up to five or six years to work through this whole process.

"I believe it will be four to five years before we see light at the end of the tunnel."

Housing Minister Roger Jaensch has been out this week talking on newly released crown land at Rokeby, West Moonah and Devonport for new housing developments, and the Government has also extended stamp duty concessions for first home buyers and pensioners looking to downsize.

He said the numbers on the housing waiting list were dropping, and the average time taken to house people on the priority list was falling as well.

Adam Smith has been seeking shelter in cars and at Hobart showgrounds. ( ABC News: Georgia Stone )

There were 3,249 people on the housing waiting list in September, down from 3,528 in November 2017.

The average time to house priority applicants has fallen from 72 weeks in the March quarter last year to 56 weeks in the September quarter.

"We've got extra resources out there on the ground now to assist people who are in crisis, and we are on track to meet our targets for delivery of new social housing and supported accommodation across Tasmania, and to meet the targets that we have set ourselves for June this year," Mr Jaensch said.

"The figures are pointing in the right direction, we're doing a lot of work, there's always going to be more to do."