HOME > BLOG > Home Loan Advice > The new stamp duty changes you need to know about

The thorny issue of stamp duty finally got a makeover of sorts in the 2017 federal budget. Here’s the latest info for each state.

For those struggling to get into the property market in the most expensive housing states of New South Wales and Victoria, the news of stamp duty being scrapped for homes under $650,000 and $600,000 respectively from July 1, 2017 onwards, will no doubt be welcome news.

For other states, the availability of various First Home Buyer Grants will help to keep costs down. For more information check out State Custodians helpful stamp duty calculator which has all the up to date details.

New South Wales (NSW)

  • From 1 July 2017 first home buyers will not have to pay duty for both new and existing homes for properties up to $650,000. The duty will be reduced for amounts between $650,000 and $800,000.

  • $10,000 grant for builders of new homes up to $750,000 and purchasers of new homes up to $600,000 is available.

Victoria (VIC)

  • Duty has been abolished for first-home buyers who purchase a property valued at or below $600,000 and phased in for properties valued up to $750,000.

  • Both new homes and established homes are eligible for a first home buyer duty reduction of up to 50% if the home is $600,000 or less. A $10,000 first home buyers grant is available when you buy or build your first new home valued at $750,000 or less. The grant is up to $20,000 if the build is in regional Victoria with contracts signed from 1 July 2017.

Queensland (QLD)

  • First home owner transfer duty concession will be available for the purchase of vacant land, provided a place of residence is constructed. The stamp duty will be determined by the value of the land.

  • A first home owners grant of $20,000 is available for those buying or building a new home up to $750,000 for contracts signed between 1 July 2016 and 31 December 2017. Contracts outside of this period qualify for the $15,000 grant.

Western Australia (WA)

  • A concessional rate of duty may apply to a purchase of residential property valued at less than $200,000, which will be the primary place of residence for the purchaser; or a business where dutiable value is less than $200,000, which the purchaser intends to continue to run indefinitely.

  • First home owners buying or building a new home may apply for a grant of up to $10,000. Contracts signed between 1 January 2017 and 30 June 2017 may be eligible for an additional boost payment of $5,000.

South Australia (SA)

  • Duty still exists. First home buyers looking to build their own home can apply for grants in South Australia. This includes the $15,000 first home owners grant (new home or building only) for dwellings valued up to $575,000. There are also grants of up to $7,000 for established homes depending on the buyer and the area.

Australian Capital Territory (ACT)

  • Duty still exists. First home buyers might be eligible to defer payment of duty if they are also eligible for the first home owner grant. A FHOG of $7,000 is available for new, significantly renovated or off-the plan properties valued up to $750,000.

Northern Territory (NT)

  • Duty still exists. A first home owner grant of $26,000 is available for first home buyers buying or building a new home or an established home from 24 May 2016. Plus a first home owner discount on stamp duty of up to $23, 928 for first home buyers purchasing an established home valued up to $650,000.

Tasmania (TAS)

  • All transfers of land are subject to duty on the instrument of transfer based on the value of the land (including improvements) or the consideration (including GST) whichever is greater (unless an exemption or concession applies). The $20,000 first home owner grant applies from 1 July 2017 to 30 June 2018. After 30 June 2018, the grant will revert to a $10,000 payment.