We partnered with Lendi* to help you compare home loans from over 35 lenders and over 2,500 home loan products.
Buying a home is one of the most exciting times in anyone’s life. But it can come with some nasty surprises, such as the stamp duty. Our calculators can help you to work out how much stamp duty you have to pay and that way you can make sure you don’t come up short when you find that dream property.
Land transfer duty replaces the term stamp duty in some states and is a land transfer tax charged on all real estate purchases throughout Australia. The actual cost of stamp duty varies depending on a few factors, such as the state or territory, the property price, and the property’s location. The money goes to the state, which then uses it to help pay for essential services and infrastructure projects.
It’s a one-off payment that you’ll need to factor in when considering your home loan budget. In most cases, stamp duty is paid at the time of settlement, typically within 30 days.
First off, breathe easy. This is a tool that has been designed to make this part of the process quick and simple. The Stamp Duty Calculator will give you an idea of the likely fees you may have to pay and all you need to do is enter some simple information. The projected result will be based on your data input.
Once you’ve entered your details, the calculator will present a breakdown of results. Because you need to consider more than just stamp duty, the results also show the potential mortgage registration fee and transfer fee.
The results will also display the government concessions you may be entitled to, if any such as for first time home buyers.
We’ve already covered the fact that property price and location affect the cost of stamp duty. There are other factors that also affect it, which are worth knowing about. If any of them apply to you, you could find yourself saving a significant amount of money.
You may be wondering about the other expenses that were displayed by the Stamp Duty Calculator results. To clear this up, we’ve explained what they are and why they have to be paid.
The above fees can vary depending on which state or territory the property is based.
Regardless of whether you’re purchasing a new home or an established property, if you’re a first home buyer most states and territories will offer you a discount on your stamp duty. This will depend on the property purchase price, among other things. To find out if you’re eligible, visit the relevant state government revenue website in your jurisdiction, or check with your solicitor or conveyancer.
And if you’re buying a new home, you may even qualify for a direct payment towards the cost of your first home through the first homeowners grant scheme that operates in your jurisdiction. Wouldn’t that make a very nice housewarming gift?
Government Duty Charges are generally different when you’re buying an investment property as opposed to a home you’re going to live in. Some states have different stamp duty scales that apply to investment properties, and these are generally more expensive. So, before you look into buying an investment property, make sure you factor in the cost of stamp duty—it could be a deal breaker. And given the potential tax implications of stamp duty payments for investors, it could be a good idea to check any decisions with your Tax Accountant.
Our team at iSelect have partnered with Lendi*, so we can help you compare a range of different providers on the market. Use our online tool to compare home loans, or give Lendi a call on 1300 186 260 (08:30-18:30).
Last updated: 9/02/2021