The Victorian Government has introduced a one-year stimulus to cut stamp duty.
Off-the-plan purchases for homes will now become more affordable, with apartments, units and townhouses having the stamp duty slashed to help speed up the process and get more people into their own homes.
Previously, first-home buyers and owner-occupiers could access a stamp duty concession when they bought off-the-plan, which allowed construction costs to be deducted from the sale price when calculating how much stamp duty they owed.
Now, anyone buying an apartment, unit or townhouse off-the-plan can claim the concession, and thresholds will be removed, so the concession is available for apartments, unit and townhouses of any value.
Premier Jacinta Allan made the announcement on October 21, with the stimulus being available from that day.
“More apartments and townhouses getting built means more homes for young people and families to rent or buy,” she said.
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 $4000.
House and land packages or other dwellings that are not part of a strata subdivision are not eligible for the extended concession, but first-home buyers and owner occupiers can still access this concession on these properties.
This initiative is part of a broader government strategy to increase housing supply and support the construction sector. For more information about available concessions, visit sro.vic.gov.au/offtheplan