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Buying your first home is a massive milestone and achievement! This exciting and often overwhelming time can be years in the making while you save for a deposit amidst rising house prices and interest rates.

In a bid to help people get their foot on the property ladder sooner, the Queensland Government has a variety of incentives available for eligible first home buyers to take advantage of. 

This article takes an in depth look at the stamp duty concession, in particular the recent announcement the Queensland government made regarding it.

The Stamp Duty Concession for First Home Buyers

On the 9th June 2024 the Miles Labor Government announced an increase to the threshold of the first homeowner concession on transfer (stamp) duty from $500,000 to $700,000, with the concession then phasing out up to values of $800,000.

The improved incentives will also apply to the first home vacant land concession threshold, increasing from $250,000 to $350,000, with the concession then phasing out up to values of $500,000.

You can find the announcement here.

This means that eligible first home buyers may be able to save up to $17,350 on QLD property purchases.

Below you can find examples of the stamp duty concession applicable at different property values for first home buyers.

 

What is Stamp Duty in Queensland?

Simply put, stamp duty is a tax we pay when buying a house. The Queensland government will charge a percentage of the price of the property you’re buying. On average, people in Queensland pay tens of thousands of dollars in stamp duty. That’s on top of the mortgage, deposit and other expenses that come when buying a property.

Stamp duty can be a substantial additional cost towards buying a property, so the Queensland government has decided to help first home buyers out by giving them a rebate on all or part of the cost of the stamp duty.

Fast Facts About Stamp Duty 

  • Stamp Duty is paid by the buyer, not the seller.
  • There are discounts and waivers of stamp duty for certain home buyers.
  • Those who have already purchased their first property, will be required to pay stamp duty on any future purchases.
  • Stamp Duty in Queensland varies between both owner-occupied and investment properties with a home concession offered on owner-occupied properties.
  • The stamp duty is usually paid between 30 to 60 days of signing the contract (depending on the state you are in and when settlement is to occur), but in most cases is paid on the day of settlement.
  • If you are a first home buyer in Queensland but your property value is over $700,000 or over $350,000 for the land, you will be required to pay stamp duty.

While information regarding the new stamp duty concessions for first home buyers in Queensland has not yet been updated on the Queensland Government’s website, more information can be found here, including the eligibility criteria and how to claim the concession.

In addition to the Stamp Duty concessions for First Home Buyers, you can also take advantage of the $30,000 Queensland First Home Owner’s Grant.

Further First Home Incentives from the Australian Government are the First Home Guarantee and the First Home Super Saver Scheme

If you have found the perfect home, or think you’re on the right path but just want some certainty and understanding of what may be available to you, contact a member of the Seek Financial team today. We are always up to date on all the latest schemes and grants available and have access to a wide panel of approved lenders. On top of that, we will hold your hand every step of the way, taking all the uncertainty, headaches & stress away. Having a broker in your corner just makes sense!

 

 

 

 

Disclaimer:

The above information is general in nature. It has been prepared without taking into account your objectives, financial situation or needs.

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