Stamp duty explained

Working out how much tax to pay is always tricky, but when it comes to stamp duty the stakes get even more complex. In Australia, each state has its own levy with stamp duty calculated differently. For example, a $450,000 home in NSW demands around $16,000 stamp duty, whereas a similarly priced property in WA will require only $4500.

Some states still offer first-home buyer benefits, which means you’ll pay no stamp duty. NSW is one such example. If you’re a first-time buyer and your property costs less than $550,000, you are exempt from stamp duty. In Qld and SA you’ll pay a staggered concession based on the cost of the house (up to $130,000 in SA and $500,000 in Qld). As you can see, there’s no one-size-fits-all.

Generally speaking, if you are a first-time buyer, then you’ll probably be offered a gain of some kind or another, but if this is an investment or second home, then stamp duty needs to be factored into your budget. And the main thing to note is that stamp duty is additional to the cost of your home.

In addition to understanding mortgages and shopping for a home loan, buying a property involves a lot of calculations, both emotional and financial. When it comes to stamp duty, it pays to have as much information in advance as possible. The following links provide information relevant to your state.

How much will I pay?

Use Domain’s stamp duty calculator for an estimate of how much stamp duty you will have to pay for your new home. You can also find out more about stamp duty in your area by clicking on your state/territory below:

• Australian Capital Territory
• New South Wales
• Northern Territory
• Tasmania
• South Australia
• Victoria
• Western Australia
• Queensland

Get the facts straight on stamp duty early to save yourself the shock of extra costs once you have bought your new property.