Stamp duty concessions open doors to buy off-the-plan
We’ve slashed stamp duty on off-the-plan apartments, units and townhouses in strata subdivisions that create common property to cut upfront costs, speed-up building, and make it more affordable for everyone to buy off-the-plan.
Buying "off-the-plan" means purchasing a property (such as house, apartment, or townhouse) that hasn’t been built yet - based on plans and designs, rather than the finished product.
Understanding stamp duty concessions for off-the-plan purchases
Currently, first home buyers, eligible pensioners and owner-occupiers can access a stamp duty concession when they buy off-the-plan, allowing construction costs to be deducted from the sale price when calculating how much stamp duty they owe.
This is capped for first home buyers and owner-occupiers: to access the concession, the reduced value for stamp duty calculations following the deduction of construction costs must be under thresholds of $750,000 for first home buyers and $550,000 for eligible pensioners and owner occupiers - otherwise the concession isn't available.
We’ve removed eligibility and thresholds until late October 2025
Anyone buying an apartment, unit or townhouse off-the-plan can now claim the extended concession - not just first home buyers and owner-occupiers.
Value thresholds have also been removed so the concession is available for apartments, units and townhouses of any value provided they are on a lot in a strata subdivision that also creates common property.
The 12-month extended concession applies from 21 October 2024, and it will allow a 100 per cent deduction of outstanding construction and refurbishment costs when determining how much stamp duty is owed.
After 21 October 2025, the concession will return to its existing eligibility requirements and value thresholds.
For eligibility criteria and more information, visit State Revenue Office – Off-the-plan duty concession changes.(opens in a new window)
Are all types of property eligible?
No.
Only apartments, units or townhouses in a strata subdivision that creates common property are eligible - meaning they retain common property such as a driveway or a shared hallway.
House and land packages or other dwellings that are not part of a strata subdivision that creates common property are not eligible for the extended concession, but first home buyers and owner occupiers can still use the existing concession on these properties.
For eligibility criteria and more information, visit State Revenue Office – Off-the-plan duty concession changes(opens in a new window)
How much can I save?
The amount you can save depends on how much construction has occurred. Generally, someone buying an apartment off-the-plan is likely to pay about a quarter of the stamp duty they would pay without the off-the-plan concession.
A Victorian using this concession who buys off-the-plan before any construction work starts could pay around $28,000 less stamp duty on a $620,000 apartment - with duty slashed from around $32,000 to around $4,000.
To read more about the range of concessions available to buyers and how they are calculated, visit State Revenue Office - Off-the-plan duty concession.(opens in a new window)
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