What Is Stamp Duty? (And Why It’s a Pain in the A**) 🔎
Iain-Sight Series: Episode 4 (Final - Part 3 of First Home Buyer’s Series)
Stamp duty (officially called transfer duty) is a government tax you pay when you buy property.
And yes — it’s annoying.
Because it’s a big bill, paid up-front, and it doesn’t reduce your loan or help you buy a better house. It just… exists.
Think of it as the entry fee to owning property 🥲
How much is stamp duty?
Stamp duty is based on:
The purchase price of the property
The state you’re buying in
Whether you’re a first home buyer, owner-occupier, or investor
In Victoria, stamp duty can easily run into tens of thousands of dollars, which is why it catches so many buyers off guard.
Why everyone hates it
Let’s be honest:
You save hard for a deposit
You budget for inspections, legals, moving costs
Then stamp duty shows up like: “That’ll be $30k thanks.”
It’s one of the biggest hurdles for first home buyers — and one of the least understood.
The good news: first home buyer concessions 🎉
If you’re a first home buyer, you may be eligible for:
Stamp duty exemption – pay no stamp duty
Stamp duty concession – pay reduced stamp duty
In Victoria:
Up to $600,000 → no stamp duty
$600,001 – $750,000 → concession on a sliding scale
Above $750,000 → standard stamp duty applies
(Owner-occupied only — investment purchases don’t qualify.)
Important to note, this is seperate to both the 5% deposit scheme and the first home buyers grant, meaning in some cases you may be eligible for all 3!!!
Why this matters
Stamp duty concessions can:
Save you tens of thousands of dollars
Reduce the amount of cash you need upfront
Be the difference between buying now or waiting years
And importantly — it changes how much you actually need to save, not just what the bank will lend you.
Final thought
Stamp duty might be a pain in the a**,
but if you’re a first home buyer, it’s one pain that can often be reduced or avoided altogether.
If you’re unsure what applies to your situation, that’s exactly the kind of stuff I help unpack.
This video wraps up my short First Home Buyer series — covering grants, low-deposit options, and stamp duty — because buying your first place is hard enough without nasty surprises.
Thanks :)
Iain (& Dave)
Mortgage Muster