Everything you need to know about first home buyer stamp duty.
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Stamp duty is often the single biggest surprise cost for first home buyers — and the rules vary in every state. This guide explains exactly how much you’ll pay in 2026 for first home buyers stamp duty, and how to legally reduce or avoid it using concessions, rebates, and timing strategies. Whether you’re buying to live in, purchasing land, or even buying a home with tenants, an expert mortgage broker can help you structure your purchase for maximum savings.
Let’s dive in
Stamp duty is a state-based tax levied on property transactions, including the purchase or transfer of land. While the specifics vary across Australia, the funds collected typically support essential services such as infrastructure, healthcare, and emergency services.
As property prices have risen, so too have stamp duty costs, often catching first home buyers by surprise. Understanding how stamp duty is calculated and the potential savings available through concessions and rebates can significantly impact your home-buying budget.
Stamp duty calculations differ between states and territories, but common factors influencing the cost include:
For instance, if you are a first home buyer purchasing a new home or vacant land in Queensland, you are now fully exempt from stamp duty regardless of the purchase price. This means on a $450,000 new property, your stamp duty is $0.
If you were buying an established (existing) home at that same $450,000 price point in QLD, you would pay a concessional rate of approximately $1,365. In contrast, the Australian Capital Territory imposes a stamp duty of $10,262 on the same property value for those who do not meet specific concession criteria.
The following table provides a snapshot of the maximum stamp duty rates applicable in each state and territory as of 2026:
State/Territory | Maximum Stamp Duty Rate |
New South Wales | $45,000+ |
Victoria | $40,000+ |
Queensland | $13,350+ |
Western Australia | $30,311+ |
South Australia | $21,330+ |
Tasmania | $10,000+ |
Australian Capital Territory | $10,262+ |
Northern Territory | $11,000+ |
Note: Rates are indicative and subject to change. Always consult the relevant state or territory revenue office for the most current information.
The good news is that First Home Buyers are offered different concessions depending on their state. We will cover each of these below.
Stamp duty concession is the discount offered to first-home buyers by the government. These discounts are meant to reduce the cost of buying a home and allow homebuyers to enter the market faster. The eligibility criteria for stamp duty concessions differ from state to state.
You need to fulfil a specific criterion to be eligible for the First Home buyers stamp duty concession in Queensland.
(Don’t worry; we cover the other states like NSW and VIC below)
So In QLD, you’ll be eligible for the first home buyers stamp duty discount if you:
You are over 18 years of age
You have never owned land or a residence in Australia or overseas
You will live in the property daily within one year of settlement
You will not move possession of the property into someone else’s name before you move in
You will pay market value if the property not new and is between $700,001 and $800,000
Read More: Stamp Duty Calculator Queensland
Queensland has introduced major stamp duty reforms to help first-home buyers enter the market sooner.
These changes were introduced under the Revenue Legislation Amendment Act 2025. The goal is to boost new housing construction and increase affordability.
To access the exemption or concession, you must:
Scenario | Before May 2025 | After May 2025 |
New home | Concession only up to value caps | Full exemption regardless of price |
Vacant land | Partial duty reduction only | Full duty removal for eligible builds |
Established home | Standard First Home Concession | No change — still concessional only |
New South Wales continues to support first home buyers through the First Home Buyers Assistance Scheme, which offers full or partial transfer duty relief depending on purchase price and contract date.
To use the scheme, you must:
Property Type | Full Duty Exemption | Concessional Range |
New or existing home | Up to $800,000 | $800,001 – $1,000,000 (contracts from 1 July 2025) |
Vacant land | Up to $350,000 | $350,001 – $450,000 |
Victoria offers significant stamp duty relief for first home buyers, making homeownership more accessible. Here’s what you need to know:
Check to see if you are eligible for a home loan
The ACT offers generous stamp duty relief to help first home buyers enter the property market. These concessions can save thousands.
The Northern Territory offers stamp duty relief to assist first home buyers. Understanding these concessions can help you save significantly.
The process for applying for first home buyer stamp duty concessions varies slightly by state, but the general steps are similar. Following these steps can make your application smoother.
Meet Sarah, a 29-year-old nurse in Sydney. She’s ready to buy her first apartment, priced at $700,000.
Sarah applied online through Revenue NSW, providing proof of her first-home buyer status. Within days, her exemption was approved. This allowed Sarah to redirect thousands toward her home deposit and moving costs, reducing upfront financial stress.
John and Priya, a married couple in Brisbane, wanted to build their dream home. They found a vacant block for $400,000.
They submitted their application through the Queensland Government website with their purchase contract and identification. Approval came before settlement. This scenario shows that choosing to build a new home allows buyers to maximize savings without worrying about property value caps.
Alex, an investor-turned-first-home buyer in Victoria, bought a property that already had a tenant in place. He wanted to live in the property after the lease ended, qualifying for the first home buyer concession.
Alex coordinated with his conveyancer to show planned occupancy and timing of tenant departure. The Revenue Office approved the concession before settlement. This scenario highlights how planning your move-in strategy can significantly reduce stamp duty, even when buying a rented property.
These real-life examples show how first home buyers and couples can save thousands with careful planning.
Would you like to learn about your situation?
To apply for stamp duty concessions or check eligibility, always refer to the official state revenue websites. Here’s a handy table with links for each state and territory:
State / Territory | Official Revenue Website | Notes |
New South Wales (NSW) | Covers full or partial stamp duty exemptions and concessions. | |
Victoria (VIC) | Includes exemptions, concessions, and off-the-plan options. | |
Queensland (QLD) | Provides full and concessional duty for homes and land. | |
Western Australia (WA) | Includes full exemption and concessional rates. | |
South Australia (SA) | Offers exemptions and concessional rates for new and established homes. | |
Tasmania (TAS) | Covers full or partial duty relief on established homes. | |
Australian Capital Territory (ACT) | Includes exemptions and concessions for new and existing homes. | |
Northern Territory (NT) | Provides full or partial duty relief on homes and land. |
Now it’s time to figure out how to pay for stamp duty.
Specifically, we will discuss if stamp duty can be added to your loan and how it needs to be paid.
Technically, no.
The correct way to pay for stamp duty is to use the money from your deposit.
When you take the money out of your deposit, this will then reduce your overall deposit. So you’ll need to borrow more from your lender to fill in this difference. This is why a deposit of at least 10% is recommended when buying a property.
Speak to our team of expert mortgage brokers about your budget, costs and fees around purchasing a property to see what is in line with what you can afford.
In Queensland, the rebate will be calculated before settlement. The costs of buying will be reviewed, including rates and stamp duty, and the rebate will be determined.
It is up to your solicitor to notify you should you need to pay stamp duty and the exact amount before settlement.
You will then be required to give the funds to them or have the money ready in your bank.
Now we will show you how to get the most out of your purchase, even with current tenants on the property. We’ll also figure out when the stamp duty rebate will come through.
In many cases, people sell homes and allow the tenants to continue renting the property. They might be on a lease, meaning you can’t kick them out because you want to move in.
If you’re buying a home with tenants already on the lease, you can work around it by allowing the current tenants to stay in the property for up to 6 months after settlement or until the lease end date—whichever occurs first.
After this, you are required to move in, and you must stay in the property for 12 months consecutively to claim the rebate. However, this differs from state to state.
It’s best to check with your solicitor or conveyancer to make sure this is possible in your situation.
If you have a current tenant in the property and are in no rush to move in, you might be allowed to let them stay there.
If the landlord is currently living in the home and is selling due to financial stress, you can use it as a helpful negotiation strategy. Allowing them to move out a little later will take the pressure off the move for them, and you will get rent money for another 5 months!
Quick reminder: The specific rules about this vary from state to state, so check with your local office of state revenue or conveyancer before going down this path.
Yes — unless you qualify for a state-based exemption or concession. Each state has different price thresholds, so eligibility depends on where you’re buying.
In most states, yes. These are separate incentives and can be used together to significantly reduce your upfront costs.
You may be required to repay the concession or rebate. Always check your state’s minimum occupancy period before renting it out.
Usually no — eligibility is assessed for all applicants on the property title. If one person has owned property before, both may be disqualified.
Some states offer separate concessions for vacant land purchases. You must meet build-time requirements to keep the benefit.
Yes. Some states calculate stamp duty based on land-only value before construction, which can be cheaper.
Officially, lenders cannot fund stamp duty directly. However, you can borrow extra by reducing your cash deposit. A broker can model both options for you.
Most states exclude non-permanent residents. Some may also charge a foreign buyer surcharge. Always check your state rules before signing.
Are you ready to buy a home?
Our team at Hunter Galloway is here to help you buy a home in Brisbane. Unlike other mortgage brokers who are just one person operations, we have an entire team of experts dedicated to help make your home loan journey as simple as possible.
If you want to get started, please give us a call on 1300 088 065 or book a free assessment online to see how we can help.
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