You must be a first home buyer to be eligible for first home buyer duty exemption, concession or reduction.
Am I eligible for first home owner duty exemption?
If you enter your contract on or after 1 July 2017, you may be eligible for stamp duty exemption or concession.
In order to be eligible, your property must have a dutiable value of $600,000 or less. The dutiable value is normally your contract price. However, if you are purchasing an off-the-plan property, the dutiable value is the contract price deducted by any off-the-plan concessions.
In addition, you must satisfy the following eligibility criteria:
· You must be 18 years old at the settlement date.
· You must be an Australian citizen or permanent resident.
· You must occupy the property as your principal place of residence for at least 12 months after settlement.
First home owner duty concession
In order to be eligible, your property must have a dutiable value between $600,000 to $750,000. The other eligibility criteria are the same as above.
First home owner duty reduction
If you entered your contract before 1 July 2017, you may be eligible for stamp duty reduction of 50 percent. In order to be eligible, your property must have a dutiable value of $600,000 or less and a contract price of $750,000 or less. Moreover, your property must have been settled on or after 1 September 2014.
Other eligibility criteria are the same as above.
For more information, visit the State Revenue Office website. The website contains a table that illustrates how stamp duty reduction applies to different dutiable value: https://www.sro.vic.gov.au/fhbduty.
If you have any inquiries, feel free to contact us! Our team member is always here to help :)
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