Stamp duty in Australia: the basics every buyer should know

For most Australian property buyers, stamp duty is the largest upfront cost after the deposit. It is paid in cash on top of the purchase price, it cannot usually be recovered if you sell, and it varies a great deal depending on where you buy, what you buy and who you are. Getting a rough figure early helps you work out how much deposit you really have.

In this article you will learn:

• what transfer duty (commonly called stamp duty) is and who charges it
• how rates are structured and why the same price can attract very different duty in different states
• the main types of concession, including first home buyer schemes
• worked examples published by state revenue offices
• a checklist for estimating duty before you make an offer

All rates and thresholds below were checked against official state and territory revenue office sources on 25 September 2026. Duty rules change often, sometimes with little notice at budget time, so always confirm the current position with the relevant revenue office or your conveyancer before relying on a figure.

What stamp duty is

Transfer duty is a state or territory tax charged when ownership of property (such as a house, apartment or land) is transferred. Each state and territory sets its own rates, thresholds, concessions and payment rules. There is no single national rate. Different jurisdictions also use different names: transfer duty, land transfer duty, conveyance duty or stamp duty.

Duty is calculated on the "dutiable value" of the transfer. For a typical arm's-length sale this is based on the purchase price, but the rules can also look at market value (for example, for transfers between family members), so check how your jurisdiction defines it. The buyer normally pays the duty, and the deadline for payment depends on the jurisdiction; your conveyancer will usually tell you when it is due.

How rates are structured

Most jurisdictions use a sliding (marginal) scale. Duty is a fixed base amount for the band the price falls into, plus a rate applied to the portion above the start of that band. Many express rates as dollars "per $100 or part", which means the value above the threshold is rounded up to the next $100 before the rate is applied.

For example, at the time of checking:

• NSW uses a general schedule indexed to CPI each 1 July, with rates rising from $1.25 to $5.50 per $100 across bands, and a higher premium property rate of $7.00 per $100 above $3.87 million (source: Revenue NSW, current thresholds and rates).
• Victoria applies percentages to bands, for example $2,870 plus 6% of the value above $130,000 up to $960,000 on the general (non principal place of residence) scale (source: State Revenue Office Victoria, current rates).
• The Northern Territory uses a formula for properties up to $525,000 rather than bands (source: Stamp Duty Act, Schedule 1, as published on the NT legislation site).

Because the scales differ, two buyers paying the same price in different states can face very different duty bills.

Types of concessions

Concessions reduce or remove duty for particular buyers or properties. They fall into a few broad groups.

First home buyer concessions

Most states and territories offer some form of relief for first home buyers, usually with a value cap and occupancy requirements. The table below summarises what we found on official sites at the time of checking. It is a simplified overview; each scheme has eligibility rules not shown here.

Owner-occupier or principal place of residence concessions

Some jurisdictions charge lower duty when you will live in the property, regardless of whether it is your first home. At the time of checking:

• Victoria has a principal place of residence concession for properties up to $550,000.
• Queensland has a home concession rate, with a lower rate of $1.00 per $100 up to $350,000.
• Western Australia has a concessional rate for a principal place of residence up to $200,000.
• The ACT has separate owner-occupier and non-owner-occupier schedules.
• South Australia does not have a separate owner-occupier schedule.

Foreign purchaser surcharges

Most states add a surcharge for foreign purchasers of residential property. At the time of checking these were 9% in NSW, 8% in Victoria, 8% in Queensland, 7% in South Australia, 7% in Western Australia and 8% in Tasmania. We did not find a foreign purchaser conveyance duty surcharge in the ACT (which uses a land tax surcharge instead) or the NT, but we could not fully confirm that absence, so check with those revenue offices.

Worked examples from official sources

The following examples were published by the revenue offices themselves. They show how much the result depends on location and eligibility.

Queensland (Queensland Revenue Office examples)

• An $850,000 purchase at the general rate: $31,275 duty.
• A $550,000 home at the home concession rate: $10,600, compared with $17,775 at the general rate. The concession saves $7,175.
• A first home buyer purchasing an established home for $700,000: $0.

New South Wales (Revenue NSW example)

• A $1,350,000 purchase: $55,537 duty.

Victoria (our calculation from the published general scale)

This one is our own illustrative calculation, not an official example. Using the SRO Victoria general scale of $2,870 plus 6% of the value above $130,000 (for values up to $960,000), a $500,000 property that does not qualify for any concession would attract:

$2,870 + 0.06 × ($500,000 − $130,000) = $2,870 + $22,200 = $25,070

A first home buyer purchasing the same property at $500,000 would be under Victoria's $600,000 exemption threshold, subject to meeting the eligibility conditions.

How duty affects your deposit and borrowing

Stamp duty is usually paid from your own funds, not the loan. This matters because:

• Every dollar spent on duty is a dollar not counted toward your deposit, which can affect your loan-to-value ratio and whether lenders mortgage insurance applies.
• A higher purchase price increases both the loan and the duty, so the cash you need rises faster than the price.
• Concession thresholds can create sharp steps. Near a threshold, a small increase in price can mean a large increase in duty, so it helps to know where the thresholds sit before you bid.

A simple planning order is: estimate duty and other purchase costs first, subtract them from your available cash, and then see what deposit and price range are left. Our borrowing capacity calculator and home loan repayment calculator can help with the rest of the picture.

Other upfront costs to budget for

Duty is not the only government charge. Depending on your state, you may also pay registration fees for the transfer and the mortgage, as well as conveyancing or legal fees, building and pest inspections, and lender fees. These vary, so ask your conveyancer for an itemised estimate.

Checklist: estimating stamp duty before an offer

• Identify the state or territory and the type of property (established home, new home, off-the-plan, vacant land).
• Confirm whether you are a first home buyer under that jurisdiction's definition.
• Check whether you will live in the property, and for how long the rules require.
• Check citizenship or residency rules, which can affect concessions and surcharges. For example, Queensland home concessions require citizen, permanent resident or specified foreign retiree status from 1 August 2026.
• Find the relevant value thresholds and note how close your target price is to them.
• Estimate duty with a calculator, then confirm with the revenue office's own calculator or your conveyancer.
• Add registration fees and other purchase costs.
• Recheck the rules if your settlement date crosses 1 July or a state budget date, since changes often start then.

Common mistakes

Assuming last year's thresholds still apply. NSW indexes its general thresholds each 1 July, and several states changed first home buyer rules in 2025 and 2026.

Assuming a concession applies automatically. Most concessions require an application or declaration and have conditions, such as moving in within a set time and living there for a minimum period. If you do not meet the conditions, you may have to repay the concession.

Using a calculator for the wrong property type. New homes, established homes and vacant land are often treated differently.

Forgetting joint purchases. When buying with someone else, eligibility may depend on both buyers. Check how the rules apply to your situation.

Summary

• Stamp (transfer) duty is a state and territory tax on property transfers, with different rates, thresholds and concessions in each jurisdiction.
• Most places use a sliding scale, so duty rises faster than the price.
• First home buyer and owner-occupier concessions can reduce duty substantially or remove it, but they have caps and conditions and change often.
• Official examples show the range: in Queensland, a $550,000 home costs $10,600 at the home concession rate against $17,775 at the general rate, and a first home buyer's $700,000 established home costs $0.
• Estimate duty early, budget it from your own cash, and confirm the figure with the revenue office or your conveyancer.

Sources (retrieved 25 September 2026): Revenue NSW, current thresholds and rates (revenue.nsw.gov.au); State Revenue Office Victoria, current land transfer duty rates (sro.vic.gov.au); Queensland Revenue Office, transfer duty rates and concession rates (qro.qld.gov.au); RevenueSA, rate of stamp duty (revenuesa.sa.gov.au); WA Department of Treasury and Finance, transfer duty assessment and first home owner rate information (wa.gov.au); State Revenue Office Tasmania, rates of duty (sro.tas.gov.au); ACT Revenue Office, conveyance duty for non-commercial property (revenue.act.gov.au); NT Stamp Duty Act and NT Government stamp duty exemption page (legislation.nt.gov.au, nt.gov.au).

This article is general information, not legal, tax or financial advice. See our financial disclaimer.