First home buyers receive a transfer duty exemption or pay a reduced rate when buying an existing home, new home or vacant land to build a home on worth up to $1 million in NSW.
How it works
Under the First Home Buyers Assistance Scheme (FHBAS), eligible first home buyers purchasing an existing property for $800,000 or less won’t pay any transfer duty at all. Those who buy a property worth between $800,000 and $1 million will pay a reduced rate. The amount payable depends on the value of the property.
If you buy vacant land to build a house on, there will be no transfer duty if it costs $350,000 or less. For vacant land valued between $350,000 and $450,000 a reduced transfer duty rate applies.
To be eligible for FHBAS, you must move into the property within 12 months of the settlement date on an existing home or 12 months from the completion date of a newly-built home. You then need to live in your home for at least 12 months.
To be eligible for the program, you must be:
- 18 years or over
- an Australian citizen or a permanent resident of Australia
- purchasing your first home
- planning to live in the home for 12 months.
See key definitions and eligibility criteria for more information, including possible exemptions to the above.
How to apply
Your conveyancer or solicitor can assess your application. You'll need to supply documents to prove your identity and documents relating to your property purchase as well as an application form.
New and existing homes
You are entitled to a full exemption – no transfer duty required.
Access a reduced rate based on the value of the property.
Vacant land
You are entitled to a full exemption – no transfer duty required.
Access a reduced rate based on the value of the land.
Reduced transfer duty rates
For transactions entered into on or after 1 July 2023
Value | Transfer duty payable (reduced rate) |
|---|---|
$850,000 | $9934 |
$900,000 | $19,867 |
$950,000 | $29,801 |
$990,000 | $37,748 |
Value | Transfer duty payable (reduced rate) |
|---|---|
$370,000 | $2989 |
$390,000 | $5988 |
$410,000 | $8987 |
$430,000 | $11,986 |