First home buyer stamp duty changes

WA First Home Buyer Stamp Duty Changes

In the WA State Budget last week Treasurer Rita Saffioti announced an increase in the first home buyer stamp duty concessions.

The first change in 10 years to the First Home Owner Stamp Duty Rebates was announced in the State Budget last week raising the no stamp duty threshold from $430,000 to $450,000. The changes were announced as part of a $1.1billion housing and homelessness package.

Premier Roger Cook stated: “This is an important measure to assist first home buyers purchasing a home, especially given the growth in house prices since the property value thresholds for this scheme were last changed in 2014.

“This additional assistance provides targeted relief to first home buyers, supporting them in purchasing a home that will meet their needs. It may also allow first home buyers to move out of existing rental housing, freeing up homes to rent.

“We’re doing everything we can to increase housing affordability in Western Australia, and this initiative is one of many that we are introducing to achieve this.”

The concession threshold also rises from the existing amount of $530,000 to $600,000 for established homes. For vacant land there is no duty payable on purchases up to $300,000 and concession rates will apply up to $400,000. The new concession rates come into effect immediately. More information available from the Office of State Revenue.

Whilst the increases are welcome, the reality is that the median house price in Perth is now in excess of $700,000 according to the latest CoreLogic data for March 2024, meaning much fewer first home buyers will benefit from the changes.

You can use out handy Stamp Duty Calculator or get in touch if you’d like more information.