Stamp Duty in NSW | 6 useful tips for first home buyers
Stamp duty and what it is?
Before we provide you useful tips about stamp duty NSW, it is critical to know what stamp duty exactly is. Stamp duty is a government-induced tax that applies to certain transactions. Whenever you purchase a motor vehicle, real estate, or insurance policy you have to pay a certain amount of stamp duty. Another term that can be used interchangeably with stamp duty on properties is ‘land transfer duty’. The amount of stamp duty you will have to pay will depend on a variety of factors like the state where you live, the value of the property, and what kind of transaction is taking place.
How much stamp duty do I need to pay?
As discussed above there is no fixed price, however, there are some factors that will determine how much you will have to pay.
We have condensed all the information into 6 useful tips, which you can keep reverting back to if you ever are in doubt of how much stamp duty you need to pay in New South Wales:
- If you purchase a land for less than $350,000, you DO NOT have to pay any stamp duty in NSW.
- If you’re purchasing a land for more than $350,000 and less than $450,000, you are eligible for a discount. Use our Stamp Duty Calculator to calculate how much stamp duty you will have to pay.
- If you’re purchasing a used or brand new property that is valued under $650,000, again you DO NOT have to pay any stamp duty.
- If you’re purchasing a used or brand new property that is valued at more than $650,000 and less than $800,000: you are eligible for a discount on stamp duty. Go to the Stamp Duty Calculator to calculate.
PS: NSW government is allegedly trying to replace stamp duty with a property tax soon (Who knows when that will happen)
For more information on Stamp Duty in NSW visit: NSW Government Revenue
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