When purchasing property in Queensland, unless you are eligible to obtain a first home concession (and the purchase price of the property is less than $550,000.00 for an existing property or $400,000.00 for vacant land) there will be Stamp Duty payable on the purchase of the property.
Often, purchasers can overlook the inclusion of their stamp duty liability when preparing their budgets or calculating their required loan amount and because the amount of stamp duty can be significant in some circumstances, it can cause considerable problems for purchaser’s if they are already bound under a contract and do not have funds available for the payment of stamp duty.
Fortunately, there are various stamp duty concessions which are available for purchasers in Queensland. Working out whether or not you meet the eligibility criteria for those concessions however, can be a confusing process.
You may be eligible for a first home/first home vacant land stamp duty concession if you have never held an interest in residential land or property anywhere in the world and your purchase price is less than $550,000.00 (for an existing property) or less than $400,000.00 (for vacant land).
When purchasing an existing home, you must live in the property as your principal place of residence within 1 year from the legal date of transfer of the property to satisfy the requirements of the concession. If you are purchasing vacant land, the land cannot have any existing building or sheds on the land at the time of purchase and the home being built must be your first home.
Additionally, previous ownership of property does not preclude you from all concessions. A “home concession” can still apply if you are purchasing property that you plan to occupy as your principal place of residence within 1 year after the transfer date.
Even when you are making a purchase jointly with people who have owned property previously, you can still claim an eligible stamp duty concession in proportion to your interest in the property.
The above information is general in nature and there are various circumstances which could affect your entitlement to a stamp duty concession. Affinity Lawyers are able to advise you regarding eligibility for concessions, exemptions or grants relating to your particular circumstances. If you require further information, please call Affinity Lawyers on 07 5563 8970 to schedule an appointment with one of our experienced Gold Coast solicitors.