First home buyers guide: Stamp duty

Stamp duty is an inevitable cost of buying property, but first homebuyers can benefit from exemptions and concessions in all Australian states and territories, except Tasmania and the Northern Territory. Here’s the low-down.

New South Wales

The First Home – New Home scheme provides first homebuyers with an exemption from stamp duty on new properties valued up to $550,000, and concessions on new homes valued between $550,000 and $650,000 (see table below).

Vacant land: First-time purchasers buying a vacant block pay no duty on land valued up to $350,000. They also receive concessions for vacant land valued up between $350,000 and $450,000 (see table below).

Further information

Victoria

First homebuyers in Victoria receive a 50 per cent stamp duty reduction when purchasing a new or established property, or vacant land valued up to $600,000 (see table below).

Further information

Queensland

All homebuyers in Queensland receive stamp duty concessions, but first homebuyers receive additional discounts on properties valued up to $550,000. Purchasers deduct the following amounts from the standard homebuyer concession rates.

Vacant land: Concessions for buying vacant land for a first home are available for blocks valued up to $400,000. As with the first homebuyer concession, these amounts are deducted from the standard concession rates.

Further information

Western Australia

First homebuyers in Western Australia pay no stamp duty on properties valued under $430,000. They also pay a concessionary rate of $19.19 per $100 or part of $100 above $430,000 for properties up to a value of $530,000.

Vacant land: First-time buyers are exempt from stamp duty on land purchase below $300,000, and only pay $13.01 per $100 or part of $100 above $300,000 (up to a value of $400,000).

Further information

Australian Capital Territory

First homebuyers pay a token $20 duty on purchases of ‘new or substantially renovated residential homes’ up to the value of $446,000. A concessionary rate of $17.55 for each $100 (or part thereof) above $446,000 applies to properties up to a value of $550,000.

Vacant land: First-time buyers pay $20 on land up to the value of $266,700. A concessionary rate of $23.50 for each $100 (or part thereof) above $266,700, up to a cap of $298,300.

Further information

South Australia

If homebuyers purchase a new or substantially refurbished apartment they can be eligible for the off-the-plan stamp duty concession. A saving of up to $21,330 is available, capped on properties over $500,000. However, the contract to purchase has to have been entered before 30th June 2014.

There is a partial concession available for off-the-plan apartments that are purchased within a defined map area in Adelaide. The contacts to purchase have to be entered between 28th October 2013 and 30th June 2016. The percentage of concession is determined by what stage of construction the apartment is in.

Further information

The cost of buying a property may be daunting, but savvy use of stamp duty concessions (as well as other government incentives) can save you thousands — and means you can concentrate on beating other buyers to the punch. Just don’t forget to apply!

All information correct as of 25 March, 2015.