First Home Buyers
Queensland stamp duty explained for home buyers
11 min read · By Daniel Lagden · 20 June 2026
The short version
- Transfer duty (stamp duty) is a state tax on property purchases, calculated on the price or value.
- For established first homes, eligible Queensland buyers pay no duty up to $700,000, with a sliding concession up to $799,999.99.
- For eligible contracts entered into on or after 1 May 2025, new homes and residential vacant land can qualify for a full concession reducing duty to nil, with no value cap on the residential portion.
- From 1 August 2026, Queensland says buyers will need to be Australian citizens, permanent residents or specified foreign retirees to access home concessions.
- Transfer duty and the First Home Owner Grant are separate, you may qualify for one, both or neither.
Transfer duty, still widely called stamp duty, is a state tax on the transfer of property and it is usually the largest single cost of buying in Queensland after the deposit itself. It is charged on the dutiable value of the property, which is normally the purchase price or the market value, whichever is higher. If you are buying your first home, you may pay substantially less than the standard rate, and on an eligible new home you may pay nothing at all.
Quick summary: everyone starts from the standard duty schedule. From there, three separate reductions can apply. The home concession cuts duty for anyone buying a home to live in. The first home concession cuts it further. The first home new home concession removes it entirely on an eligible new build, with no value cap. All figures below were confirmed against the Queensland Revenue Office in August 2026.
How is transfer duty actually calculated?
Duty is worked out on a sliding scale rather than as a flat percentage. Each band applies only to the portion of value inside it, which is why the effective rate creeps up as the price rises rather than jumping at a threshold. This is the standard schedule before any concession is applied.
| Dutiable value | Duty payable |
|---|---|
| Up to $5,000 | Nil |
| $5,000 to $75,000 | $1.50 per $100, or part, over $5,000 |
| $75,000 to $540,000 | $1,050 plus $3.50 per $100, or part, over $75,000 |
| $540,000 to $1,000,000 | $17,325 plus $4.50 per $100, or part, over $540,000 |
| Over $1,000,000 | $38,025 plus $5.75 per $100, or part, over $1,000,000 |
Worked example. On a $750,000 purchase, the first $540,000 attracts $17,325. The remaining $210,000 is charged at $4.50 per $100, which is $9,450. Standard duty is therefore $26,775. That is the figure a buyer who is not eligible for any concession would pay, and it is why the concessions below matter so much.
A separate surcharge of 8 per cent applies to acquisitions of residential land by foreign persons. That is additional to the duty above, not instead of it.
What is the home concession, and do I qualify?
The home concession is the broadest of the reductions and it is not limited to first home buyers. It applies where you are buying a residence you will actually live in, which means upgraders and downsizers can claim it too. It reduces the rate applied to the first portion of the value, and the maximum benefit is capped. Because it is easy to overlook, it is worth confirming with your solicitor that it has been claimed on any owner occupied purchase.
The condition attached to it is occupancy. This is a concession for buying a home, not an investment, and the obligations that come with it are covered further down.
What do first home buyers pay on an established home?
Eligible first home buyers pay no transfer duty on an established home up to $700,000. Above that the concession tapers rather than disappearing, so the duty climbs gradually until the ordinary home concession rate takes over.
| Home value | Duty payable |
|---|---|
| Up to $700,000 | Nil |
| $730,000 | $6,555 |
| $800,000 and above | Home concession rate, concession capped at $24,525 |
Two conditions on that table catch people out. Where the home is valued between $700,001 and $799,999 you must be paying market value, which is aimed at arrangements between family members. And you must never have held an interest in another residence anywhere in Australia or overseas, which is stricter than simply never having bought in Queensland.
New from 1 August 2026: for agreements entered into on or after that date, you must be an Australian citizen, a permanent resident, or a specified foreign retiree to claim the first home concession. This condition did not previously exist and it is recent enough that a lot of published guidance has not caught up.
What if I buy a new home instead?
This is the most valuable concession available in Queensland and the least understood. On an eligible new or substantially renovated home, transfer duty for a first home buyer reduces to nil, and there is no value cap on the home and the residential land attributed to it. A first home buyer purchasing an eligible new home at $500,000 and one purchasing at $1.1 million can both pay no duty.
The contract date is what matters, not the settlement date, and it must be 1 August 2025 or later. You also need a vendor statement confirming the property is a new or substantially renovated home. Vacant land bought to build a first home has its own concession, with the relief preserved provided construction begins within the required timeframe.
| Scenario | Transfer duty | Effect |
|---|---|---|
| No concession claimed | $26,775 | Full standard schedule |
| Established home, first home concession | Reduced, tapering above $700,000 | Partial relief |
| Eligible new home, first home new home concession | Nil | Full exemption, no value cap |
The practical implication is that for a first home buyer weighing an established home against a new build, duty can be worth tens of thousands of dollars in favour of the new build. That does not automatically make the new build the better purchase, since price, location, build quality and timeline all matter more in the long run. But it belongs in the comparison, and it frequently is not there.
Is transfer duty the same as the First Home Owner Grant?
No, and confusing the two leads to real budgeting errors. They are separate programs with separate rules, and you may be eligible for both, one, or neither.
| Transfer duty concession | First Home Owner Grant | |
|---|---|---|
| What it is | A reduction in tax you would otherwise pay | A cash grant paid to you |
| Amount | Up to full exemption on an eligible new home | $30,000 for contracts from 20 November 2023 |
| Value cap | No cap on an eligible new home | New home must be under $750,000 including land |
| Applies to | New or established, depending on the concession | New homes only |
Note the mismatch in the value caps, because it creates a real planning trap. A first home buyer purchasing a new home at $800,000 can access the full duty exemption, since that concession has no cap, but is over the $750,000 threshold for the grant and receives nothing. Between roughly $750,000 and $800,000 the arithmetic of a new build changes noticeably.
There is no expiry date on the first home new home duty exemption. Several broker and builder sites are circulating a 21 October 2026 deadline for it. The Queensland Revenue Office lists no such end date, and we checked directly rather than repeating it. Treat any published deadline on this with suspicion and confirm it at the source.
What do you have to do after settlement?
A concession is not unconditional. You must move into the home with your belongings and live there daily within one year of settlement, and that deadline cannot be extended. If circumstances change you have an obligation to tell the Revenue Office, and the events that trigger it are broader than most buyers realise.
- You fail to move in within one year of settlement.
- You sell, transfer or lease the property before you have occupied it.
- You lease out the whole property within one year of moving in. Renting out part of it while you continue to live there has been permitted since 10 September 2024.
- You demolish the home without having lived in it first.
Failing to disclose one of these does not make the problem disappear. It makes it a reassessment with interest attached later, which is a far worse outcome than a phone call at the time.
How does duty affect what you actually need to save?
Transfer duty is payable at settlement in cash and, unlike the loan, you cannot borrow it as part of the mortgage. It sits alongside conveyancing, searches, inspections, lender fees and any mortgage insurance in the pile of money you need on top of the deposit. On a $750,000 established purchase where no concession applies, that $26,775 is the single largest line in that pile by a wide margin.
This is exactly why buyers who model only the deposit come up short. Work out the duty position first, because whether you pay $26,775 or nothing changes how much deposit you can actually afford to put down, and therefore your loan size, your mortgage insurance position and your repayment.
General information only, current as at August 2026 and confirmed against the Queensland Revenue Office. Duty rates, concession thresholds and eligibility conditions change, and your circumstances determine what applies. Confirm your position with the Queensland Revenue Office or your solicitor before you rely on it. This is not legal or tax advice.
Run the numbers
Frequently asked questions
Do first home buyers pay stamp duty in Queensland?
Not on an eligible new or substantially renovated home, where the concession reduces duty to nil with no value cap. On an established home, eligible first home buyers pay nothing up to $700,000, with the concession tapering above that.
Is there a value cap on the first home new home concession?
No. The Queensland Revenue Office states there is no value cap for the home and the residential land attributed to it. Duty is still calculated separately on any land not used for residential purposes.
Does the contract date or the settlement date matter?
The contract date. For the first home new home concession the agreement must be dated 1 August 2025 or later, and for the residency condition on the first home concession the relevant date is 1 August 2026.
Can I claim a concession if I owned a property overseas?
No. The condition is that you have never held an interest in another residence anywhere in Australia or overseas, so an overseas property counts against you.
Can I rent out a room after claiming the concession?
Renting out part of the home while you continue to live there has been permitted since 10 September 2024. Leasing the whole property within one year of moving in triggers a disclosure obligation.
Can I add stamp duty to my home loan?
Not directly. Duty is payable in cash at settlement, so it has to come from your own funds. Some buyers release equity from another property to cover it, which is a different arrangement and needs planning in advance.
Do I pay duty if I am buying an investment property?
Yes, at the standard rates, because the home and first home concessions require you to live in the property. Investors should budget for the full schedule.
