Do First Home Buyers Pay Stamp Duty in QLD?

Purchasing your first home is a huge achievement, one that has no doubt come with many decisions, sacrifices, and careful planning. As property owners continue to soar, it’s becoming more difficult for first home buyers to get onto the property ladder. And while saving for a deposit is the major consideration, there’s also stamp duty to consider.

Stamp duty is one of the major costs involved in purchasing a home that isn’t always accounted for, when it certainly should be. Stamp duty will be determined by the dutiable value, and depending on the property purchase price, can end up amounting to tens of thousands of dollars. Thankfully, however, there are stamp duty concessions across Australia for first home buyers. So, do first home buyers pay stamp duty in Queensland?

How much is stamp duty in QLD?

Stamp duty is a cost that is calculated primarily based on the market value (or sale price, whichever is higher) of a property. In QLD, stamp duty rates are split into different dutiable value brackets — the higher the value of your purchased home, the greater the cost of stamp duty. Here’s a table to help you visualise the cost of stamp duty in QLD:

House Purchase Value	Stamp Duty Rates
Up to $5,000	No stamp duty applicable
More than $5,000 up to $75,000	$1.50 for each $100 or part of $100, over $5,000
$75,000 to $540,000	$1,050 plus $3.50 for each $100 or part of $100, over $75,000
$540,000 to $1,000,000	$17,325 plus $4.50 for each $100 or part of $100, over $540,000
More than $1,000,000	$38,025 plus $5.75 for each $100 or part of $100, over $1,000,000

Taking the median house price in QLD of $690,000 as an example - stamp duty costs could amount to an estimated $16,900.

Do first home buyers pay stamp duty in QLD?

The answer to this question depends on the value of your first home purchase — as there are stamp duty exemptions that may apply.

For properties that are valued under $500,000, a full exemption from stamp duty applies for first home buyers, meaning that the cost of stamp duty is waived. First home purchases of properties that are valued over $500,000 will be liable for stamp duty, but at a concessional rate. 

What are the concessions available for first home buyers in QLD?

There are several concessions available for first home buyers in QLD. As mentioned, first home purchases of properties that are valued over $500,000 can enjoy concessions on the payable stamp duty. These concessions start at $8,750 and gradually reduce in value as the price of the home’s value rises, up to $875 for homes valued between $545,000 to $549,999.99.

To be eligible for the stamp duty concession, first home buyers must:

• Be at least 18 years of age
• Never have claimed the first home vacant land concession
• Never owned or co-owned a residential property before, including in Australia and overseas
• Move into and reside in the property within a year of settlement
• Not sell, transfer, or lease the property before moving in
• Purchase a property with a market value between $500,000 - $550,000

There are no stamp duty concessions for first home purchases of properties valued at $550,000 or more.

In addition to the above, first home buyers can also enjoy a first home vacant land concession on the transfer duty of cost of the land, provided that the value of the land is under $400,000.

Other factors first home buyers in QLD need to consider

As a first home buyer, cost is usually one of the biggest concerns — keeping it as low as possible is ideal to give you more flexibility in your finances.

In Queensland, the First Home Owners Grant (FHOG) can help significantly in reducing the costs of buying a house. The FHOG awards eligible home buyers a lump sum of $15,000 that they can use to offset the costs of purchasing the house, renovation, or stamp duty. You can read more about how to use it in our guide to the First Home Owners Grant (*Link to FHOG guide). 

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