Stamp Duty by State 2026: Australian Property Tax Guide

Stamp Duty by State in Australia: 2026 Comparison

Stamp duty is the largest single transaction tax most Australians ever pay. On a $750,000 home, the bill ranges from $19,208 in the ACT to $40,070 in Victoria, a $20,862 swing for the same purchase price. The rules, rates, and concessions are set by each state and territory government separately, which is why a buyer in Sydney faces an entirely different tax structure to a buyer in Brisbane or Perth.

This guide compares the 2026 stamp duty rules across all eight Australian jurisdictions: New South Wales, Victoria, Queensland, Western Australia, South Australia, Tasmania, the Australian Capital Territory and the Northern Territory. Every per-state rate has been verified against the relevant Revenue Office page, and every figure cited is current as of 1 May 2026.

You’ll find the full bracket tables, first home buyer concessions, foreign buyer surcharges, side-by-side worked examples on $750,000 and $1,000,000 purchases, and a four-way ranking of where stamp duty is cheapest depending on whether you’re an owner-occupier, first home buyer, investor, or foreign buyer.

How Stamp Duty Works in Australia

Stamp duty is a state-based transaction tax charged on property transfers. It’s calculated on the dutiable value of the property, which is the higher of the contract price or market value. The tax is generally payable within 30 days of settlement, though some states allow longer. Your conveyancer or solicitor calculates the duty, and the funds settle alongside the purchase.

Most Australian states call the tax “transfer duty” or “conveyance duty” rather than stamp duty. The terms refer to the same thing. NSW and QLD use “transfer duty”; the ACT uses “conveyance duty”; Victoria, SA and Tasmania still use “stamp duty” or “land transfer duty”; Western Australia uses “transfer duty” formally. Throughout this article we use “stamp duty” as the catch-all term that most buyers search for.

Stamp duty sits on top of your deposit. A 20% deposit on a $750,000 home is $150,000, but the buyer also needs the duty (around $19,000 to $40,000 depending on the state) plus other settlement costs. The full upfront cash requirement is what matters for budget planning, not the deposit alone. We cover this in detail in our guide on how much deposit you need.

What Stamp Duty Actually Pays For

Stamp duty is general state revenue. Unlike council rates or land tax, it isn’t tied to a specific service. Each state treasury budgets the receipts into general consolidated revenue, which funds schools, hospitals, transport infrastructure, and other state-level spending. In NSW alone, transfer duty raised approximately $10 billion in FY24, making it one of the largest single revenue sources for the state government.

Because of that revenue dependency, state governments rarely reduce stamp duty broadly. They tend to layer concessions onto the existing rate scale (first home buyer relief, off-the-plan discounts, pensioner exemptions) rather than cut the headline rates.

Why Each State Sets Its Own Rates

The Australian Constitution leaves transactional taxes like stamp duty to the states and territories. There is no national rate. Each Revenue Office sets its own bracket structure, indexation rules, foreign-buyer surcharge, and first home buyer concession.

This is why the same $750,000 purchase generates wildly different duty bills across the country: $19,208 in the ACT versus $40,070 in Victoria. The ACT has gradually replaced upfront stamp duty with annual property tax, while Victoria has retained a steep marginal duty schedule and added foreign-purchaser and absentee-owner surcharges over the past decade.

If you want to run your own numbers for a specific NSW purchase, our free stamp duty calculator handles the full Revenue NSW bracket math with first home buyer logic built in.

Stamp Duty Rates by State at a Glance

The table below summarises the headline figures for each state and territory based on rates effective 1 July 2025 to 30 June 2026 (or the most recent published schedule for states that don’t reset annually).

Two findings stand out. Tasmania has the lowest top marginal rate in Australia at 4.5%, not Western Australia. And the ACT and Northern Territory are the only two jurisdictions that don’t apply a foreign buyer stamp duty surcharge, which makes them dramatically cheaper for non-resident purchasers than any other state.

New South Wales (NSW) Transfer Duty

NSW transfer duty is administered by Revenue NSW and applies to all residential property transactions in the state. The bracket schedule was last reset on 1 July 2019, with the premium threshold CPI-indexed annually.

Current NSW Rate Brackets (1 July 2025 to 30 June 2026)

Premium duty applies to residential property over $3,721,000 (the FY25-26 figure) at $186,667 plus $7.00 per $100 above the threshold. The premium threshold rises each 1 July in line with CPI, so always confirm the current figure on revenue.nsw.gov.au before planning a high-end purchase.

NSW First Home Buyer Exemptions and Concessions

The First Home Buyers Assistance Scheme (FHBAS) gives eligible first home buyers a full exemption on new and existing homes valued at $800,000 or less. Concessional duty applies on a sliding scale from $800,001 to $999,999. Vacant land is fully exempt to $350,000 with concessional duty to $449,999.

To qualify, the buyer must be an Australian citizen or permanent resident, must never have owned residential property in Australia, and must occupy the home as their principal place of residence for at least 12 months within the first year of settlement. For a deeper walkthrough of eligibility tests and the application process, see our complete NSW stamp duty exemption guide.

Worked Example: Stamp Duty on a $750K and $1M NSW Purchase

For a standard owner-occupier (no first home buyer concession) the math is:

• $750,000 purchase: $11,152 + ($750,000 − $372,000) × 4.5% = $11,152 + $17,010 = $28,162
• $1,000,000 purchase: $11,152 + ($1,000,000 − $372,000) × 4.5% = $11,152 + $28,260 = $39,412

A NSW first home buyer at $700,000 pays $0 under the FHBAS. A foreign buyer (non-resident) on $1,000,000 pays the standard $39,412 plus the 9% surcharge ($90,000), totalling $129,412.

NSW transfer duty figures are based on rates effective 1 July 2025, sourced from Revenue NSW.

Victoria (VIC) Land Transfer Duty

Victorian land transfer duty has the highest top marginal rate in the country at 6.5% on the portion above $2,000,000. The general rate schedule has been in place for contracts entered into on or after 1 July 2021, and the principal place of residence (PPR) concession has applied since 6 May 2008.

Current VIC Rate Brackets

The PPR concessional rate only applies up to $550,000. Above that threshold, the general rates apply on the whole value, not just the excess.

VIC First Home Buyer and Off-the-Plan Concessions

Victorian first home buyers get a full exemption on new or established homes up to $600,000, and a sliding-scale concession from $600,001 to $749,999. The concession formula is: General duty × [(Dutiable value − $600,000) ÷ $150,000].

Victoria’s off-the-plan concession is the most generous in the country. It allows the duty to be calculated on the dutiable value minus the construction component of the contract, which often cuts the duty bill in half on apartments and townhouses bought before completion. The concession applies to first home buyers and PPR purchasers and remains active in 2026.

A note on New Zealand citizens: Victorian legislation passed in 2025 changed how the foreign purchaser additional duty applies to NZ citizens for contracts settling on or after 26 November 2025. NZ buyers contemplating a Victorian purchase should verify their position with sro.vic.gov.au directly.

Worked Example: Stamp Duty on a $750K and $1M VIC Purchase

• $750,000 owner-occupier (no FHB): $2,870 + ($750,000 − $130,000) × 6% = $2,870 + $37,200 = $40,070
• $1,000,000 owner-occupier (no FHB): $2,870 + ($1,000,000 − $130,000) × 6% = $2,870 + $52,200 = $55,070
• $700,000 first home buyer: General duty at $700K = $37,070. Concession factor = (700,000 − 600,000) ÷ 150,000 = 0.6667. Concessional duty = $37,070 × 0.6667 = about $24,713.
• $1,000,000 foreign buyer: Standard duty $55,070 + 8% Foreign Purchaser Additional Duty ($80,000) = $135,070.

VIC duty figures are based on the State Revenue Office Victoria rate schedules effective 1 July 2021, with the foreign purchaser additional duty rate of 8% in force from 1 July 2019.

Queensland (QLD) Transfer Duty

QLD transfer duty is administered by Queensland Revenue Office (QRO). Two parallel bracket tables apply: the standard rate for investors and non-PPR purchases, and a more generous home concession for owner-occupiers.

Current QLD Rate Brackets

Standard transfer duty (investor / non-PPR):

Home concession (owner-occupier, must move in within 12 months and reside at least 1 year):

QLD First Home and Home Concessions

Queensland’s first home concession is one of the most generous schemes in the country following the 9 June 2024 reforms. Any first home buyer (established or new build) pays $0 duty up to $700,000, with a phase-out from $700,001 to $799,999. Above $800,000, only the home concession applies, not the first home concession.

For new homes and vacant land, a separate full duty waiver applies to first home buyers from 1 May 2025 onwards, with no property value cap. This means a Queensland first home buyer building a new home or buying off-the-plan from a developer can avoid stamp duty entirely regardless of the price, provided the first home eligibility tests are satisfied.

The standard home concession (for owner-occupiers who don’t qualify as first home buyers) saves a maximum of around $7,175 against the investor rate at the $540K-and-above brackets.

Worked Example: Stamp Duty on a $750K and $1M QLD Purchase

• $750,000 owner-occupier (home concession, not FHB): $10,150 + ($750,000 − $540,000) × 4.5% = $10,150 + $9,450 = $19,600
• $1,000,000 owner-occupier (home concession): $10,150 + ($1,000,000 − $540,000) × 4.5% = $10,150 + $20,700 = $30,850
• $700,000 first home buyer: $0 under the QLD First Home Concession.
• $1,000,000 foreign buyer (investor, no home concession): Standard rate $17,325 + ($1,000,000 − $540,000) × 4.5% = $38,025. Plus AFAD at 8% ($80,000) = $118,025.

QLD figures are based on QRO rate schedules current as of May 2026, with the Additional Foreign Acquirer Duty (AFAD) rate of 8% effective 1 July 2024.

Western Australia (WA) Transfer Duty

WA transfer duty is administered by RevenueWA and uses a single general rate schedule with concessional rates for First Home Owner Rate (FHOR) eligibility. WA has the second-lowest top marginal rate in Australia at 5.15% above $725,000, behind only Tasmania.

Current WA Rate Brackets

WA First Home Owner Rate (FHOR) Concessions

The FHOR was upgraded on 21 March 2025. For established homes:

• Perth and Peel regions: $0 duty up to $500,000; concessional rate of $13.63 per $100 of excess from $500,001 to $700,000.
• Regional WA: $0 duty up to $500,000; concessional rate of $11.89 per $100 of excess from $500,001 to $750,000.

For vacant land, the FHOR exempts duty up to $350,000 with concessional duty to $450,000. New homes and vacant land for new home builds get more generous treatment than established homes.

The eligibility tests mirror other states: Australian citizen or permanent resident, must not have previously owned residential property in Australia, must occupy as principal place of residence for at least 12 months.

Worked Example: Stamp Duty on a $750K and $1M WA Purchase

• $750,000 owner-occupier (no FHB): $28,453 + ($750,000 − $725,000) × 5.15% = $28,453 + $1,287.50 = $29,740.50
• $1,000,000 owner-occupier (no FHB): $28,453 + ($1,000,000 − $725,000) × 5.15% = $28,453 + $14,162.50 = $42,615.50
• $700,000 first home buyer (Perth/Peel established): ($700,000 − $500,000) × 13.63% = $27,260. Regional WA equivalent: ($700,000 − $500,000) × 11.89% = $23,780.
• $1,000,000 foreign buyer: Standard duty $42,615.50 + 7% surcharge ($70,000) = $112,615.50.

WA duty figures are based on rates effective 21 March 2025 (FHOR) and the general rate schedule confirmed in the WA “Overview of State Taxes and Royalties 2025-26”.

South Australia (SA) Stamp Duty

SA conveyance duty uses a 9-tier marginal schedule that has been unchanged since 2012, with a top marginal rate of 5.5% above $500,000. The SA Budget 2025-26 confirmed no rate changes for the current financial year. RevenueSA is the administering office.

Current SA Conveyance Rate Brackets

SA First Home Buyer Stamp Duty Relief

South Australia is the most generous Australian jurisdiction for first home buyers building or buying a new home. Since 6 June 2024, eligible first home buyers purchasing or building a new home (including off-the-plan and substantially renovated homes) get a full stamp duty exemption with no property value cap. Vacant land for a new home build is also fully exempt with no cap.

The catch is that established homes get nothing. SA first home buyers purchasing an established property pay full standard duty, the same as any other purchaser. This makes SA the cleanest “buy new” jurisdiction in the country if a buyer is willing to build, but one of the more expensive jurisdictions for an established-home first home buyer. Only Darwin charges more at this price point.

The First Home Owner Grant ($15,000 one-off payment) applies to eligible new home FHBs alongside the duty exemption. Eligibility requires Australian citizenship or permanent residency, no prior home ownership, and at least 6 months’ continuous occupancy commencing within 12 months of settlement.

Worked Example: Stamp Duty on a $750K and $1M SA Purchase

• $750,000 owner-occupier (no FHB): $21,330 + ($750,000 − $500,000) × 5.5% = $21,330 + $13,750 = $35,080
• $1,000,000 owner-occupier (no FHB): $21,330 + ($1,000,000 − $500,000) × 5.5% = $21,330 + $27,500 = $48,830
• $700,000 first home buyer (established home, no SA relief): $21,330 + ($700,000 − $500,000) × 5.5% = $32,330. A FHB buying a new build of any value pays $0.
• $1,000,000 foreign buyer: Standard duty $48,830 + 7% Foreign Ownership Surcharge ($70,000) = $118,830.

SA conveyance duty figures are based on the bracket schedule unchanged since 2012, with the SA Foreign Ownership Surcharge of 7% in force from 1 January 2018.

Tasmania (TAS) Property Transfer Duty

Tasmania has the lowest top marginal rate in Australia at 4.5% above $725,000, slightly below WA’s 5.15%. The standard rate schedule has been unchanged since 21 October 2013. SRO Tasmania administers the duty.

Current TAS Rate Brackets

TAS First Home Buyer 100% Exemption (expires 30 June 2026)

Tasmania currently offers a 100% duty exemption for eligible first home buyers purchasing established homes valued at $750,000 or less. The exemption applies to settlements between 18 February 2024 and 30 June 2026, after which it expires unless extended.

A separate 50% concession applies to new apartments up to $750,000 for contracts entered into between 1 July 2024 and 30 June 2026.

To qualify, the buyer must be an Australian citizen or permanent resident, must never have previously owned a home in Australia, must never have received the First Home Owner Grant, and must occupy the home for at least 6 continuous months within 12 months of purchase.

If you’re a Tasmanian first home buyer, settle before 30 June 2026 to lock in the exemption. Tasmanian Treasury has not yet announced an extension, so the relief should be treated as time-limited.

Worked Example: Stamp Duty on a $750K and $1M TAS Purchase

• $750,000 owner-occupier (no FHB): $27,810 + ($750,000 − $725,000) × 4.5% = $28,935
• $1,000,000 owner-occupier (no FHB): $27,810 + ($1,000,000 − $725,000) × 4.5% = $40,185
• $700,000 first home buyer (established home, exemption active): $0 (settlement must occur by 30 June 2026).
• $1,000,000 foreign buyer: Standard duty $40,185 + 8% Foreign Investor Duty Surcharge ($80,000) = $120,185.

TAS duty figures are based on rates effective 21 October 2013 (standard) and 18 February 2024 (FHB exemption), with the Foreign Investor Duty Surcharge of 8% effective 1 April 2020.

Australian Capital Territory (ACT) Conveyance Duty

The ACT has been gradually replacing upfront stamp duty with annual property tax over a multi-year reform program. Rates dropped again on 1 July 2025 for both owner-occupiers and investors, making the ACT the cheapest jurisdiction in Australia for owner-occupied purchases at most price points. Conveyance duty is administered by the ACT Revenue Office.

Current ACT Rate Brackets (effective 1 July 2025)

Owner-occupier conveyance duty:

Above $1,455,000, the ACT applies a flat 4.54% on the entire dutiable value (not the marginal excess), which creates a small step-up at the threshold rather than smooth marginal stacking.

ACT Home Buyer Concession Scheme (HBCS) and Pensioner Duty Concession

The Home Buyer Concession Scheme provides $0 duty on properties up to $1,020,000 from 1 July 2025 (up from $1,000,000 the previous year). Unlike most state schemes, the ACT HBCS is income-tested. Gross household income thresholds vary by household composition, and eligibility must be confirmed through the calculator on revenue.act.gov.au.

The maximum duty saving under the HBCS is capped at $35,238 from 1 July 2025. Above that point, duty payable starts to phase in. To qualify, all buyers must not have owned property in the past 5 years (a more lenient test than the lifetime “never owned” tests in NSW, VIC, and TAS) and must occupy the home as their principal place of residence.

The Pensioner Duty Concession Scheme mirrors the HBCS structure, providing $0 duty up to $1,020,000 for eligible pensioners selling an existing home and purchasing a more affordable one.

Worked Example: Stamp Duty on a $750K and $1M ACT Purchase

• $750,000 owner-occupier (no FHB): $8,408 + ($750,000 − $500,000) × 4.32% = $19,208
• $1,000,000 owner-occupier (no FHB): $19,208 + ($1,000,000 − $750,000) × 5.9% = $33,958
• $700,000 first home buyer (HBCS, income-eligible): $0.
• $1,000,000 foreign buyer: No foreign surcharge applies in the ACT. An owner-occupier foreign buyer pays the standard $33,958. An investor pays the higher non-owner-occupier rate of $36,950. The ACT is the only jurisdiction where non-resident buyers pay no surcharge AND face the lowest base rate, putting it tens of thousands below every other state.

ACT figures are based on rates effective 1 July 2025, sourced from the ACT Revenue Office.

Northern Territory (NT) Stamp Duty

NT stamp duty is administered by the Territory Revenue Office under Treasury NT. The NT uses an unusual structure: a quadratic formula for properties under $525,000, then flat percentage rates on the whole value for higher tiers.

NT’s Quadratic Formula and Flat Tier Structure

For a dutiable value V (in dollars), with v = V ÷ 1,000:

• V ≤ $525,000: Duty = (0.06571441 × v²) + (15 × v)
• $525,001 to $2,999,999: Duty = V × 4.95% (flat on whole value)
• $3,000,000 to $4,999,999: Duty = V × 5.75% (flat on whole value)
• $5,000,000 and above: Duty = V × 5.95% (flat on whole value)

For example, a $400,000 NT purchase has v = 400, so duty = (0.06571441 × 400²) + (15 × 400) = $10,514 + $6,000 = $16,514. The formula is set out in the Stamp Duty Act 1978 (NT). The official NT calculator at nt.gov.au is the cleanest way to verify a specific figure.

NT does not offer a state-level first home buyer stamp duty exemption. Instead, NT operates the HomeGrown Territory Grant ($50,000 for FHBs buying or building new homes, no value cap) and a $10,000 grant for established homes.

NT House and Land Package Exemption (to 30 June 2027)

The most valuable NT incentive is the House and Land Package (HLP) exemption. It provides a full stamp duty exemption for HLPs purchased from a building contractor in a single transaction, for contracts signed between 1 July 2022 and 30 June 2027.

The HLP exemption is not restricted to first home buyers. Any eligible buyer (Australian citizen or permanent resident) can claim it, with no property value cap and no income test. The buyer must occupy the property as PPR within 12 months of completion and reside there for at least 6 months. This makes a new-build HLP the cheapest path into Northern Territory property by a significant margin.

Worked Example: Stamp Duty on a $750K and $1M NT Purchase

• $750,000 owner-occupier (no FHB, no HLP): $750,000 × 4.95% = $37,125
• $1,000,000 owner-occupier (no FHB, no HLP): $1,000,000 × 4.95% = $49,500
• $700,000 first home buyer (no NT FHB stamp duty concession): $700,000 × 4.95% = $34,650. A FHB or any buyer purchasing a House and Land Package from a builder before 30 June 2027 pays $0 duty regardless of price.
• $1,000,000 foreign buyer: $1,000,000 × 4.95% = $49,500. NT is the only AU jurisdiction with no foreign buyer stamp duty surcharge AND no foreign owner land tax surcharge.

NT figures are based on rates and formula in force as of May 2026, sourced from the Territory Revenue Office.

First Home Buyer Concessions Compared Across All States

First home buyer rules vary more by state than any other part of the stamp duty system. Eligibility tests, value caps, established-versus-new differences, and income thresholds all change across borders.

For most first home buyers, the strongest concessions are in the ACT (highest property cap), QLD (broad eligibility), NSW (clean full-exemption to $800K), and SA (uncapped if new build). For a deeper dive into how these schemes interact with federal incentives like the Australian Government 5% Deposit Scheme, see our national first home buyer stamp duty concessions guide or our First Home Buyer Stamp Duty Concession service page for tailored eligibility checks. We also have a dedicated section on first home buyer home loans covering deposit, lender selection, and approval timing.

Foreign Buyer Stamp Duty Surcharges Compared

A foreign buyer surcharge is an additional stamp duty layer that applies when the purchaser is a non-resident foreign person, foreign corporation, or foreign trust. Australian citizens and most permanent residents are exempt. Definitions vary slightly by state, so always verify against the specific Revenue Office page.

The ACT and NT are the only Australian jurisdictions without a foreign buyer stamp duty surcharge. For a $1,000,000 purchase, this gap is worth roughly $80,000 to $90,000 against the surcharge states. Australian expats who have retained citizenship are generally treated as Australian buyers, not foreign buyers, but the rules vary by state. We cover this in detail in our guide to getting a home loan as an Australian expat.

Where Is Stamp Duty Cheapest in Australia in 2026?

Stamp duty rankings flip dramatically depending on buyer type. The cheapest state for an owner-occupier is not the cheapest for a foreign buyer, and the first home buyer rankings reshuffle again.

Cheapest for an Owner-Occupier on $750,000

1. ACT: $19,208
2. QLD: $19,600 (with home concession)
3. NSW: $28,162
4. TAS: $28,935
5. WA: $29,740.50
6. SA: $35,080
7. NT: $37,125
8. VIC: $40,070

The ACT and QLD are roughly twice as cheap as Victoria for the same purchase. The ACT win is structural (lower brackets after the 1 July 2025 reform), while QLD’s saving comes from the home concession on the owner-occupier bracket.

Cheapest for a First Home Buyer on $700,000

1. ACT: $0 (HBCS, income-tested)
2. NSW: $0 (FHBAS, full exemption to $800K)
3. QLD: $0 (First Home Concession to $700K)
4. TAS: $0 (full exemption to $750K, expires 30 June 2026)
5. SA (new build): $0; SA (established): $32,330
6. WA (regional): $23,780; WA (Perth/Peel): $27,260
7. VIC: about $24,713 (sliding scale)
8. NT: $34,650

Four states give an eligible first home buyer at $700,000 a full $0 duty bill. Victoria, WA, and the Northern Territory all retain meaningful duty at this price point. SA is binary: $0 if you build new, full $32,330 if you buy established.

Cheapest for an Investor on $1,000,000

1. ACT: $36,950 (investor rate, no surcharge)
2. QLD: $38,025 (standard rate)
3. NSW: $39,412
4. TAS: $40,185
5. WA: $42,615.50
6. SA: $48,830
7. NT: $49,500
8. VIC: $55,070

Investor rates strip out the home concession in QLD and any owner-occupier-only relief. Even so, the ACT and QLD remain the two cheapest jurisdictions for a $1M investment property. For broader strategy on financing investment property at scale, see our information on residential investment property loans.

Cheapest for a Foreign Buyer on $1,000,000

1. ACT: $36,950 (no foreign surcharge)
2. NT: $49,500 (no foreign surcharge)
3. WA: $112,615.50
4. QLD: $118,025
5. SA: $118,830
6. TAS: $120,185
7. NSW: $129,412
8. VIC: $135,070

The gap between the no-surcharge states (ACT and NT) and the rest is enormous. A foreign buyer purchasing a $1M property pays roughly $80,000 to $98,000 less in the ACT than in NSW or Victoria. For non-resident purchasers, jurisdiction selection alone can reshape the entire deal economics.

How to Reduce or Avoid Stamp Duty (Legitimate Strategies)

There is no legal way to “avoid” stamp duty on a standard residential purchase. Anything that misrepresents the true purchase price or relationship between parties is duty fraud. The following are legitimate strategies that buyers routinely use to reduce the bill.

1. Qualify for your state’s first home buyer concession. ACT, NSW, QLD, and TAS all offer $0 duty for an eligible FHB at $700,000. SA waives duty entirely on a new build with no value cap. Eligibility tests vary: most require Australian citizenship or PR, no prior home ownership, and a residency commitment.
2. Buy a new build in SA, QLD, or via a NT House and Land Package. SA’s new-build exemption has no value cap. QLD’s new-home FHB waiver has no cap from 1 May 2025. NT’s HLP exemption applies to any eligible buyer (not just FHBs) until 30 June 2027.
3. Use Victoria’s off-the-plan concession. VIC duty is calculated on the dutiable value minus the construction component, which can reduce the duty bill by tens of thousands on apartments and townhouses bought before completion.
4. Choose the ACT property tax option. The ACT has been replacing upfront stamp duty with annual property tax. Eligible buyers can opt to pay annual property tax instead of upfront duty, which suits long-term planners but accumulates over time for buy-and-hold owners.
5. Claim a pensioner concession. ACT’s Pensioner Duty Concession exempts pensioners from duty up to $1,020,000. Other states have narrower pensioner exemptions for downsizers.
6. Buy below the relevant threshold. Buying at $799,000 in NSW saves you the FHBAS phase-out cost compared to $810,000. Threshold awareness can save tens of thousands.

These are the legitimate strategies. Anything that involves disguising the transaction (off-market deals at understated prices, sham trusts, related-party transfers without proper valuation) is duty fraud and carries serious penalties.

How a Mortgage Broker Helps You Plan for Stamp Duty

Stamp duty isn’t just a line item on the settlement statement. It changes how much deposit you need, what loan amount the bank will approve, and whether Lenders Mortgage Insurance (LMI) gets added. A 20% deposit on $750,000 is $150,000, but a buyer in Victoria also needs $40,070 in duty cash on top, plus conveyancing, building reports, and a buffer. The full upfront requirement is $200,000+, not $150,000.

Most lenders won’t lend to cover stamp duty separately. The funds must come from your own savings or another source. Some lenders will allow stamp duty to be capitalised into the loan if the LVR supports it, but this typically means borrowing more than 80% of the property value, which then triggers LMI unless you qualify for LMI waivers and no-LMI loans under specific lender programs (most commonly available to medical professionals, accountants, lawyers, and certain other categories).

A mortgage broker who understands the duty schedule in your state can model the full upfront cost (deposit + stamp duty + LMI + lender fees + conveyancing) before you bid, so you know whether you’re shopping in the right price band. With access to 52+ lenders, we can also pinpoint the lender most likely to approve your full borrowing capacity given your stamp duty cash burn, including which lenders offer LMI waivers that might apply to your profession.

If you’re planning a purchase in NSW or anywhere else in Australia, contact a Western Sydney mortgage broker to walk through the full upfront cost before you sign a contract.

Frequently Asked Questions

Which Australian state has the cheapest stamp duty in 2026?

For a $750,000 owner-occupier purchase, the ACT is cheapest at $19,208, followed by Queensland at $19,600 (with the home concession). For a foreign buyer on $1,000,000, the ACT and Northern Territory are dramatically cheaper than every other jurisdiction because they apply no foreign buyer stamp duty surcharge.

Which state has the highest stamp duty?

Victoria has the highest stamp duty for most owner-occupier purchases. On a $750,000 home, a Victorian buyer pays $40,070, compared to $19,208 in the ACT. Victoria’s top marginal rate is also the highest at 6.5% on the value above $2,000,000.

Do you pay stamp duty in every Australian state?

Yes. All eight Australian jurisdictions charge stamp duty (also called transfer duty or conveyance duty) when residential property changes hands. Rates, thresholds and concessions are set by each state and territory government, not by the federal government.

How much is stamp duty on a $1,000,000 house in NSW?

Around $39,412 for a standard owner-occupier purchase under the FY25-26 rate brackets effective 1 July 2025. A first home buyer at $1,000,000 gets no exemption (the NSW First Home Buyers Assistance Scheme phases out at $999,999), and a foreign buyer pays an additional 9% surcharge on top, bringing the total to roughly $129,412.

How can I legally avoid or reduce stamp duty in Australia?

Legitimate strategies include qualifying for your state’s First Home Buyer concession, buying a new build in states that waive duty for first home buyers (SA has no value cap, QLD covers any new home), buying off-the-plan in Victoria, choosing the ACT property tax option instead of upfront duty, claiming a pensioner concession, or buying below the relevant exemption threshold. Avoid any scheme that artificially understates the purchase price, which is duty fraud.

When do you pay stamp duty?

Stamp duty is generally payable within 30 days of settlement (longer in some states). Your conveyancer or solicitor calculates and lodges the payment with the relevant Revenue Office at settlement. You’ll need the funds available on settlement day in addition to your deposit.

Can stamp duty be added to a home loan?

Most lenders won’t lend specifically for stamp duty. The funds must come from your own savings or another source. Some lenders allow you to capitalise stamp duty into the loan if your Loan-to-Value Ratio (LVR) supports it, but this typically requires more than a 20% deposit in available equity.

Is stamp duty tax-deductible for investors?

No, stamp duty is not immediately tax-deductible for residential investment property in Australia. It is a capital cost that adds to the cost base of the property and reduces your capital gains tax liability when you eventually sell. This information is general; speak to a qualified tax adviser for advice on your situation.

Are foreign buyers charged extra stamp duty?

Yes, in six of eight Australian jurisdictions. Surcharge rates as of May 2026 are 9% in NSW, 8% in VIC, 8% in QLD, 8% in TAS, 7% in WA, and 7% in SA. The ACT and Northern Territory are the only Australian jurisdictions with no foreign buyer stamp duty surcharge.

Is stamp duty different for first home buyers?

Yes, every state and territory except the Northern Territory offers some form of first home buyer stamp duty concession. Thresholds and structures vary widely. ACT, NSW, QLD and TAS all charge $0 for an eligible first home buyer at $700,000. Victoria, WA and SA (for established homes) still charge meaningful amounts at that price point.

Patrick O’Brien, Director and Home Loan Specialist since 2001

This article contains general information only and does not constitute financial advice. Your personal financial situation, objectives and needs have not been considered. Before acting on any information, you should consider its appropriateness to your circumstances. Speak to a qualified mortgage broker for advice tailored to your situation. Stamp duty rates and concessions are set by individual state and territory governments and change frequently, so always verify the current rate on the relevant Revenue Office website before making a financial decision. Mortgage World Australia Pty Ltd is a credit representative (CR No. 396946) of Mortgage Specialists Pty Ltd (Australian Credit Licence No. 387025).

Patrick O'Brien

Patrick is a Director and a Home Loan Specialist. He has been helping Australians with home loans since 2001. Prior to working as a mortgage broker Patrick was employed by Macquarie Bank for 3 years and also worked as an accountant for a publicly listed company. Patrick’s qualifications include:

Bachelor of Business, UTS Sydney. Majored in accounting and sub-majored in Finance and Marketing.
Diploma of Finance and Mortgage Broking Management FNS50310
Certificate IV in Financial Services (Finance/Mortgage Broking) FNS40804