What the Stamp Duty Changes Mean for You
On July 27th, the NSW Government announced its plans to provide stamp duty relief for first home buyers.
The stamp duty exemption will be lifted from $650,000 to $800,000 for new homes from August 1 and will last 12 months.
The threshold on vacant land will also rise from $350,000 to $400,000 and concessions will phase out at $500,000.
The change to stamp duty only affects newly built homes and vacant land, and does not include existing homes.
The First Home Owner Grant of $10,000 will also continue for first home buyers purchasing a property under $600,000.
These changes are part of the NSW Government’s COVID-19 Recovery Plan. NSW Premier Gladys Berejiklian has said these will help get more keys into more front doors of more new homes, as well as boost housing construction across the state and support jobs in the building industry.
Laing+Simmons Managing Director, Leanne Pilkington, welcomes and supports the recent amendments to stamp duty.
“With the incentives being offered by both state and federal governments, combined with historical low interest rates, home ownership is a real possibility for people,” she said.
“Even if you haven’t previously thought about it, now is the time to consider buying. For many, they will discover it’s cheaper to buy a new property than paying their monthly rent fees. Housing affordability is becoming more achievable for first home buyers.”
Below is a table provided by NSW Government detailing the indicative tax threshold changes:
If you are a first home buyer (or are thinking about becoming one!), we will be hosting a free information webinar on August 11th at 6:30pm with Justine McDonald from Nectar Mortgages. Click Here to Register.
Feel free to get in touch with any of our agents and offices to find out more about what these changes to stamp duty mean for you and your market area.
For the full announcement from the NSW Government, click here.