Stamp duty changes

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From 1 July 2017, stamp duty has been waived for first home buyers purchasing property under $600k. Some people believe that this means there is no longer any benefit to buying off-the-plan.

In fact, off-the-plan stamp duty concessions are still available if buying a principal place of residence (owner occupied) and the dutiable value is under $550k, even if you are not a first home buyer.

It’s important to remember that dutiable value is not your contract price. The dutiable value is calculated based on the apportioned land value and development costs to your purchase, up until the date the contract of sale is signed. 

For example, if you purchase a property for $1m as your principal place of residence, and the calculated dutiable value is under $550k, you are entitled to stamp duty concessions. 

If you have any questions about stamp duty and how it could apply to your next purchase, please contact us.