As part of the transaction process you are required to pay stamp duty on top of the purchase price in the State of Victoria.
Stamp Duty – Non Principal place of Residence Rate
For the purchase of any other property (i.e. not Principal place of residence) for contracts entered into on or after 6 May 2008.
| Dutiable Value | Duty Threshold |
|---|---|
| $0 – $25,000 | 1.4 per cent of the dutiable value of the property |
| > $25,000 – $130,000 | $350 plus 2.4 per cent of the dutiable value in excess of $25,000 |
| > $130,000 – $960,000 | $2,870 plus 6 per cent of the dutiable value in excess of $130,000 |
| More than $960,000 | 5.5 per cent of the dutiable value |
Stamp Duty – Foreign Purchaser:
After 1 July 2019 the foreigner buyer duty surcharge increases to 8% from 7%.
Stamp Duty – Principal Place of Residence (PPR) Rate
For the purchase of a home (which will be used as Principal place of residence) for contracts entered into on or after 6 May 2008.
| Dutiable Value | Duty Threshold |
| $0 – $130,000 | The Principal place of residence (PPR) concessional rate does not apply. |
| > $130,000 – $440,000 | $2,870 plus 5 per cent of the dutiable value in excess of $130,000 |
| > $440,000 – $550,000 | $18,370 plus 6 per cent of the dutiable value in excess of $440,000 |
| More than $550,000 | The Principal place of residence (PPR) concessional rate does not apply. |
Stamp Duty – First Home Buyer Concession after 1 July 2017
VIC abolishes stamp duty for both new and existing properties under $600,000. First home buyers purchasing a property between $600,000 and $750,000 also receive a tapered discount.
If a first home buyer purchases vacant land to build a new home to be their principal place of residence, the home must be built within 12 months for the FHB concessions to apply (choose “Yes” for the Option “Are you first home buyer”). If the buyer takes more than 12 months to build the home, they are not eligible for the First Home Buyer Concession (choose “No” for the Option “Are you first home buyer”).
Eligible pensioners are entitled to the exemption or concession. The calculation & formula used in the calculator for the Pensioner and first home owner exemptions and concession can be found in the Victoria Duties Act 2000, amendments as at 1 July 2011.
Mortgage Registration Fee 2020 – 2021:
(a) Paper Transaction: $119.70 (b) Electronic Transaction: $110.80
Land Transfer Fee:
(a) Paper Transaction Fee: the sum of $98.50 plus $2.34 for every whole consideration, the maximum fee is $3,609.00
(b) Electronic Transaction Fee: the sum of $89.50 plus $2.34 for every whole consideration, the maximum fee is $3,600.00
First Home Owner Grant: The First Home Owner Grant (FHOG) has increased from $10,000 to $20,000 for new homes built in regional Victoria (see below) and valued up to $750,000.
Property Location for First Home Owner Grant
| Grant $20,000 | Grant $10,000 |
| Alpine Shire | Banyule City |
| Ararat Rural City | Bayside City |
| Ballarat City | Boroondara City |
| Bass Coast Shire | Brimbank City |
| Baw Baw Shire | Cardinia Shire |
| Benalla Rural City | Casey City |
| Buloke Shire | Darebin City |
| Campaspe Shire | Frankston City |
| Central Goldfields Shire | Glen Eira City |
| Colac Otway Shire | Greater Dandenong City |
| Corangamite Shire | Hobsons Bay City |
| East Gippsland Shire | Hume City |
| Gannawarra Shire | Kingston City |
| Glenelg Shire | Knox City |
| Golden Plains Shire | Manningham City |
| Greater Bendigo City | Maribyrnong City |
| Greater Geelong City | Maroondah City |
| Greater Shepparton City | Melbourne City |
| Hepburn Shire | Melton City |
| Hindmarsh Shire | Monash City |
| Horsham Rural City | Moonee Valley City |
| Indigo Shire | Moreland City |
| Latrobe City | Mornington Peninsula Shire |
| Loddon Shire | Nillumbik Shire |
| Macedon Ranges Shire | Port Phillip City |
| Mansfield Shire | Stonnington City |
| Mildura Rural City | Whitehorse City |
| Mitchell Shire | Whittlesea City |
| Moira Shire | Wyndham City |
| Moorabool Shire | Yarra City |
| Mount Alexander Shire | Yarra Ranges Shire |
| Moyne Shire | |
| Murrindindi Shire | |
| Northern Grampians Shire | |
| Pyrenees Shire | |
| Borough of Queenscliffe |
Disclaimer: Please note this content is a guide only, and all information should be verified and professional advice sought before relying upon this information. Last updated 15/10/2020