How much stamp duty will you pay in Victoria in 2026? Full rate tables, first home buyer exemptions, and tips to reduce costs. Expert guide from Brokio.
If you're buying property in Victoria, stamp duty (officially called land transfer duty) is likely to be one of the biggest upfront costs you'll face — often tens of thousands of dollars on top of your deposit, legal fees, and moving costs.
Stamp duty is a state government tax charged on property purchases. In Victoria, it's administered by the State Revenue Office (SRO) and is payable by the buyer, not the seller. It applies to:
Stamp duty is typically due within 30 days of settlement. In practice, your conveyancer or solicitor handles the payment as part of the settlement process. If you're using a mortgage, the lender needs to know the stamp duty amount upfront because it affects how much cash you need on settlement day.
In suburbs like Williams Landing and Point Cook, where median house prices range from $680,000 to $780,000, stamp duty can easily add $35,000 to $42,000 to your purchase costs. That's a significant amount of money that many buyers don't fully account for when budgeting.
For first home buyers, however, there's good news — Victoria offers generous exemptions and concessions that can dramatically reduce or even eliminate your stamp duty bill. We'll cover those in detail in Section 3.
Some buyers ask whether they can borrow extra to cover stamp duty. The short answer is: sometimes. If you're borrowing less than 80% of the property's value, some lenders will allow you to capitalise stamp duty into the loan. However, this increases your total debt and the interest you'll pay over time. At Brokio, we help you weigh up whether this makes sense for your specific situation.
Victoria uses a tiered rate system for calculating stamp duty. The more expensive the property, the higher the rate on each portion of the price. Here's how it works in 2026.
These rates apply to the dutiable value of the property (usually the purchase price or market value, whichever is higher):
Here are some common price points in Melbourne's western suburbs:
If you're buying a property valued above $2 million, Victoria applies a premium rate of 6.5% on the total value. This is sometimes called the "mansion tax" and mainly affects inner-city and prestige suburbs — it's unlikely to impact most buyers in Melbourne's west, but it's worth knowing about.
Non-Australian residents and foreign buyers pay an additional 8% surcharge on top of the standard stamp duty. This is one of the highest foreign buyer surcharges in Australia and applies to the full purchase price.
The stamp duty calculation can be complex, especially with concessions and exemptions in the mix. The SRO's online calculator is helpful, but if you want to know exactly what you'll pay and how it fits into your borrowing plan, talk to Brokio — we calculate this for every client as part of our service.
If you're a first home buyer in Victoria, the government offers substantial stamp duty relief. This is one of the biggest financial advantages available to first-timers, and it can save you tens of thousands of dollars.
If you're buying your first home (or vacant land to build on) and the property is valued at $600,000 or less, you pay zero stamp duty. That's a saving of up to $31,070 — money that stays in your pocket or goes toward your deposit.
To qualify, you must:
If the property is valued between $600,001 and $750,000, you'll receive a sliding scale concession. The discount reduces proportionally as the price approaches $750,000. For example:
On top of the stamp duty exemption/concession, first home buyers in Victoria can also receive the $10,000 First Home Owner Grant for new homes valued at up to $750,000. This grant can be used toward your deposit or purchase costs. Note: the FHOG applies to new homes only (including newly built, off-the-plan, or substantially renovated properties) — not established homes.
Many properties in Melbourne's west fall right in the sweet spot for these concessions. If you can find a property under $600,000 — perhaps a townhouse in Williams Landing or Tarneit — you'll pay no stamp duty at all. Even at the $700,000 mark (typical for a 3-bedroom house in Point Cook), you'll still save over $12,000 compared to what a non-first-home-buyer would pay.
At Brokio, we help first home buyers understand exactly which concessions they qualify for and factor them into the total cost calculation. Book a free consultation and we'll map out your complete buying costs.
Beyond the first home buyer exemptions, Victoria offers several other stamp duty concessions that could save you money — depending on your circumstances.
Buying an apartment or townhouse off the plan (before it's built or while under construction) comes with a stamp duty reduction in Victoria. The concession works by allowing you to deduct the construction component from the dutiable value — meaning you only pay stamp duty on the land value at the time of contract, not the finished product.
This can result in significant savings, especially for new developments in growth areas like Tarneit, Truganina, and parts of Williams Landing where there's plenty of new construction. For example:
Note: The off-the-plan concession has specific rules about when the contract is signed relative to construction, so timing matters. Your conveyancer will advise on this.
If you hold a Commonwealth Seniors Health Card or a Pensioner Concession Card, you may be eligible for a stamp duty exemption on properties up to $330,000, or a concession on properties between $330,000 and $750,000. This is separate from the first home buyer concession and is designed to help downsizers and retirees.
Even if you're not a first home buyer, you'll pay standard rates (as outlined in Section 2) if the property will be your principal place of residence. The higher "investor" rates and surcharges don't apply to owner-occupiers in most cases.
If you're buying vacant land to build your home on, separate stamp duty thresholds apply. For first home buyers, the exemption applies to vacant land up to $400,000, with a concession for land valued between $400,001 and $500,000. In Melbourne's west, vacant land in new estates often falls within these thresholds, making it an attractive pathway for first-timers — especially when combined with a construction loan (see our separate guide on construction loans).
While not directly relevant to Williams Landing or Point Cook, buyers looking at regional Victorian properties may benefit from additional regional concessions designed to encourage population dispersal from Melbourne. If you're considering an investment property in regional Victoria, ask Brokio about the potential savings.
Stamp duty is a fixed cost set by the government, so there's no negotiating it. However, there are some legitimate strategies to minimise what you pay.
If you're a first home buyer, the $600,000 exemption threshold is your golden number. A property at $599,000 means zero stamp duty, while $601,000 triggers the concession (but you'll still pay something). It's worth negotiating hard to get under that threshold — even $1,000 can make a $31,000 difference.
Buying vacant land and building separately can dramatically reduce your stamp duty. You pay stamp duty on the land value only, not the construction cost. For example:
This is particularly relevant in growth areas like Tarneit and Truganina where new land estates are being released regularly.
As discussed in Section 4, off-the-plan purchases let you pay stamp duty on the land value at the time of contract rather than the completed property value. This can save $15,000–$25,000 depending on the development.
Make sure you claim every concession you're entitled to. We've seen buyers miss out on thousands because they didn't realise they qualified. Your conveyancer should identify these, but it pays to be informed yourself.
Government concessions and thresholds can change with state budgets (typically announced in May/June). If you're buying near a threshold and there are rumours of increased concessions, it might be worth waiting — but this is a gamble. Property prices don't wait for policy changes.
While not directly reducing stamp duty, the First Home Super Saver (FHSS) scheme lets you salary-sacrifice up to $15,000 per year (and $50,000 in total) into your superannuation to save for a deposit. The tax benefits mean you save faster, which might help you reach a purchase price where better concessions apply.
At Brokio, we run the numbers on all these strategies for every first home buyer we work with. Sometimes a slightly different approach can save you tens of thousands. Book a free consultation and we'll show you the options.
Stamp duty isn't just a cost — it's a critical piece of your borrowing puzzle. At Brokio, we factor it into every home loan calculation from day one.
When we assess your borrowing capacity and deposit requirements, we don't just look at the property price. We calculate your total cost to purchase, including:
For a $700,000 property in Williams Landing, a non-first-home-buyer might need approximately $180,000–$185,000 in total upfront costs (20% deposit + stamp duty + fees). A first home buyer, with the concession, might need $165,000–$170,000. That $15,000+ difference matters.
Lenders want to see that you've saved your deposit through genuine savings — money that's been in your account for at least 3 months (some require 6 months). Stamp duty paid from savings doesn't count toward your deposit, so you need to plan for both. We help you understand exactly how much to save and by when.
If your LVR allows it, some lenders will let you add stamp duty to your home loan. The advantage: you keep cash in hand. The disadvantage: you pay interest on that amount for the life of the loan. On a $37,000 stamp duty bill at 6%, that's over $2,000 per year in extra interest. We'll help you weigh up whether this makes sense for your situation.
Stamp duty must be paid at settlement, and your conveyancer handles this as part of the process. However, if you're buying at auction, remember that you'll need your 10% deposit on the day, with stamp duty due at settlement (typically 30–90 days later). This gives you a small window to organise funds if needed.
Every buyer's situation is different. Your stamp duty, concessions, deposit requirements, and total costs depend on your specific circumstances — first home buyer status, property type, price, and financial situation.
At Brokio, we provide a complete cost breakdown before you start looking at properties. No surprises. No hidden costs. Just a clear picture of what you need.
Ready to understand your full buying costs? Book a free consultation with Brokio. We'll calculate your stamp duty, identify every concession you qualify for, and show you exactly how much you need to get into the Melbourne property market. Our office is at 601/87 Overton Road, Williams Landing VIC 3027 — or call us for a phone consultation.
Ready to explore tailored loan options? Contact Brokio today and let us guide you through your mortgage, car loan, personal loan, or investment property loan journey with confidence.
