All property purchases in Victoria attract land transfer duty (commonly called stamp duty). Stamp duty is a state government tax levied against a purchaser when purchasing property. The amount of stamp duty payable depends on the value of the property being purchased and whether you are eligible for any exemptions or concessions.
There are various exemptions and concessions available to purchasers, including:
First Home Buyer Exemption or Concession
If you are buying your first home and it will be your principal place of residence, a full stamp duty exemption is available for homes valued up to $600,000. A stamp duty concession is also available for homes valued from $600,001 to $750,000.
A one-off First Home Owner Grant is also available to first home buyers for new first homes valued up to $750,000.
Principal Place of Residence Concession
If you are buying property that you intend to live in as your home for a continuous period of 12 months, within the first 12 months of settlement, then you may be eligible for the principal place of residence concession.
This concession is available to all home buyers purchasing property valued up to $550,000 (not just first home buyers).
Pensioner duty exemption or concession
If you are a pensioner, you may be eligible to receive a one-off stamp duty exemption or concession when you buy a home valued up to $750,000.
To be eligible for this concession or exemption then you must:
- hold a relevant concession card
- have never received a pensioner exemption/concession in Victoria
- buy the property for market value
- intend to live in the home as your principal place of residence.
Young Farmer stamp duty exemption or concession
If you are under the age of 35 and buying your first farmland property in Victoria, then you are entitled to receive either a full stamp duty exemption (for farmland valued at $600,000 or less) or a stamp duty concession (for farmland valued from $600,001 to $750,000).
In order to receive this stamp duty exemption or concession you must be carrying on, or intend to carry on, a primary production business on the property.
Family Farm Exemption
The transfer of a family farm may also be exempt from stamp duty. In order to be eligible for this stamp duty exemption, then the land must be primary production land and there must be a familial link between the transferor and the transferee.
Our team would be pleased to assist you in your property purchase and advise you of any stamp duty exemptions or concessions that you might be eligible for.
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