First home buyer stamp duty relief – removal of property value thresholds

$14 million over four years to remove the property value stamp duty thresholds for eligible first home buyers who enter into a contract to purchase a new home or vacant land to build a new home on or after 6  June 2024.

Previously, no stamp duty was payable on the purchase of an eligible new home valued up to $650 000, with relief phasing out for properties valued up to $700 000. For the purchase of vacant land to build a new home, no stamp duty was payable for vacant land valued up to $400 000, with relief phasing out for land valued up to $450 000.

The removal of these thresholds effectively abolishes stamp duty for all eligible first home buyers who enter into a contract to purchase a new home or vacant land to build a new home on or after 6 June 2024.

For the purchase of a new home valued at $750 000 (broadly in line with current median house value), an eligible first home buyer will receive relief of over $50 000 when combined with the government’s removal of the property value cap for the First Home Owner Grant (FHOG).

First Home Owner Grant – removal of property value cap

$16 million over four years to remove the property value cap of $650 000 for eligible contracts entered into on or after 6 June 2024. The FHOG provides eligible purchasers with a $15 000 grant to assist with the purchase cost of any new home.

The removal of the property value cap is estimated to benefit an additional 300 first home buyers per year.

The FHOG and stamp duty exemption can be received on the same property subject to meeting relevant eligibility criteria.

Summary of support

^Total additional relief as a result of measures in the 2024-25 Budget.

*This reflects the total relief available for an eligible first home buyer (purchasing a new home) including changes introduced in the 2023-24 Budget.