Stamp Duty Concessions
As an incentive for first home buyers most states and territories in Australia offer stamp duty concessions to first home purchasers. These concessions are summarised below.
First Home Buyers Assistance Scheme
The First Home Buyers Assistance Scheme provides exemptions or concessions on transfer duty for people who are buying their first home in NSW. This includes buying vacant land on which they intend to build their first home.
This scheme commenced from 1 July 2017. The scheme provides eligible purchasers with full stamp duty exemptions on new and existing homes valued up to $650,000. Partial stamp duty concessions are available for new and existing homes valued between $650,000 and $800,000.
As of 1st July 2017 eligible purchasers buying a vacant block of residential land to build their first home on will pay no stamp duty on vacant land valued up to $350,000 and will receive a concession on duty for vacant land valued between $350,000 and $450,000.
NSW New Home Grant Scheme
This $5000 grant that was available to buyers of new homes with a value up to $650,000, and to buyers of vacant land that is intended to be the site of a new home valued up to $450,000, ceased on 30 June 2017.
First Home Owners Grant Changes
Eligible first home owners who purchase or build a new home may be eligible for a $10 000 grant. From 1 July 2017 the First Home Owner Grant Cap for new home purchases is $600,000; for a property where you enter into a contract to build, or are an owner builder the total value cannot exceed $750,000.
For more detailed information on all of these benefits please visit www.revenue.nsw.gov.au.
First Home Buyer Duty Exemption or Concession
For contract dates on or after 1 July 2017, eligible first home buyers purchasing a home valued up to $600,000 will be exempt from stamp duty. If the dutiable value is more than $600,000 and not more than $750,000, you will receive a stamp duty concession. These concessions are on a sliding scale with the discount being greater the closer the purchase price is to $600,001.
Transfer Duty Concessions – Pensioners
Eligible pensioners who hold a relevant concession card at the date of settlement may be entitled to an exemption or concession from duty depending on the value of their interest in the house and land.
Full exemptions from transfer duty is available for homes valued at up to $330,000 and a partial concession is available for homes valued at more than $330,000 but not more than $750,000. Contact the Victorian State Revenue Office for more details.
In Victoria there are other concessions available such as “First Home Owner with Family”, “Off the plan concession” and “Principle Place of Residence”. For full details on the various concessions available in Victoria please visit www.sro.vic.gov.au
First Home Buyer Stamp Duty Concessions
Eligible first home buyers will be exempt from transfer stamp duty for purchases of established homes up to $500,000. A concession will continue to apply on a sliding scale for properties over $500,000 (but not more than $599,999). In regards to vacant land a full exemption from stamp duty is available to first home buyers purchasing vacant land for up to $250,000. A concession will continue to apply on a sliding scale for land over $250,000 (but not more than $399,999).
The transfer duty home concession was reinstated on 1 July 2012. This provides a concessional rate of stamp duty for eligible applicants purchasing a principle place of residence. Visit www.osr.qld.gov.au for the duty rates.
Building Boost Grant
The $10,000 Building Boost Grant ran from 1 August 2011 to 30 April 2012. Unfortunately it is no longer available.
First Home Owners Grant Changes
As of 12 September 2012, the new First Home Owner Construction Grant (FHOGC) replaced the current First Home Owner Grant Scheme. The new grant is for first home buyers who are purchasing a newly constructed or off-the-plan property and will increase from $7000 to $15,000. To be eligible for the new $15,000 grant, first home buyers must sign contracts for new properties on or after Wednesday 12 September 2012. Contracts signed prior to Wednesday 12 September 2012 will be eligible for a $7000 grant.Note: First home buyers who are purchasing an existing dwelling will have until Thursday 11 October 2012 to sign their contract and be eligible for the $7000 grant. A first home buyer purchasing an established home on or after Thursday 11 October 2012 will no longer be eligible for a grant. A new home is a home that has not been previously occupied or sold as a place of residence. For complete details please visit www.osr.qld.gov.au
First Home Bonus Grant
The FHBG of up to $8,000 is available to first home buyers who enter into a contract to purchase or build new home on or after 17 September 2010, or commence construction as an owner builder on or after 17 September 2010.
The FHBG of up to $8000 is an additional payment for first home buyers who qualify to receive a First Home Owner Grant of $7,000 where the market value of the property is less than $450,000.
This bonus grant is available if you entered into a contract to purchase or build a New Home* between 17 September 2010 and 30 June 2013 (both dates inclusive), or you commenced construction as an owner builder between 17 September 2010 and 30 June 2013 (both dates inclusive)
For more details please visit http://www.revenuesa.sa.gov.au
First home buyers will get a full exemption from conveyance duty on homes up to $500,000 and vacant land up to $300,000. Those buying houses valued between $500,001 and $600,000 will receive a partial exemption. A partial rebate is available for vacant land valued between $300,001 and $400,000. These thresholds came into force on 9th May 2007.For complete details please visit www.dtf.wa.gov.au.
Must be first property purchased in Australia. From 4 May 2010, first home buyers purchasing a property may receive a concession of up to $26,730, which represents the duty on the first $540,000 of the dutiable value of the property.The purchase price of the home or land must not exceed $750 000 or $385 000 respectively.Rebates are also available to non first home buyers who are purchasing a new principal place of residence.
For full details and a calculator please visit http://www.nt.gov.au/ntt/revenue/home_incentives.shtml
BuildBonus was introduced on 3 May 2011 and provides a $10 000 grant to home buyers and investors, including companies and trustees, that sign a contract to purchase or build a new home (including signing a contract for a house and land package), purchase a new unit (including off-the-plan) or commence construction of a new home as an owner builder, between 3 May 2011 and 31 December 2011 inclusive.
BuildBonus is not means tested but the value of a new unit or new home or the total construction cost of a new home (including the value of the land on which it is built) is capped at $530 000.
This bonus is available to first home buyers in addition to the $7,000 First Home Owners Grant.
See http://www.nt.gov.au/ntt/revenue/home_assist/buildbonus.shtml for more information.
Home Buyer Concession
For purchases made from 1 July 2011 to 31 December 2011 eligible home buyers purchasing a property with a value of $362,600 or less will pay only $20 in duty. A purchase price of more than $362,600 and less than $460,000 will attract a reduced rate of duty.Similarly, purchases of land for up to $202,000 or less will also only attract duty of $20. A purchase price of more than $202,000 but less than $254,500 will attract a reduced rate of duty.The thresholds typically change every 6 months so it is recommended that you visit http://www.revenue.act.gov.au for the most up to date information.
To be eligible for these concessions applicants and their domestic partners must not hold or have held in the previous two years, an interest in any other land except where special circumstances apply. See http://www.revenue.act.gov.au for more information on these circumstances. To be eligible for these duty concessions you must also meet the income test. The combined household income must be no more than $120,000. Total income threshold of $120,000 increases by $3,330 per annum for each additional dependent child to a maximum income of $136,650. Property must be owner-occupied and you are required to live in the property for at least 6 months.
For full details please visit http://www.revenue.act.gov.au
Purchasers who are eligible for the First Home Owners Grant are eligible to receive a maximum stamp duty concession of $4,000 for the purchase of owner occupied property valued up to $350,000. The maximum concession available in relation to the purchase of vacant land is $2,400, providing the dutiable value of the vacant land does not exceed $175,000. For more information visit the Tasmanian State Revenue Office website.Please note that this duty concession does not apply to contracts entered into after 16 June 2011. The Tasmanian State Government has closed this concession.
Disclaimer: This information was correct as of 19th September 2012. Government policy is subject to frequent change so we recommend you confirm the information on this page with your states Revenue Office before acting on it. Links to the various State Revenue Sites are provided above.