In Melbourne, the Victorian Government has introduced significant stamp duty concessions for off-the-plan apartments, townhouses, and units. These measures aim to make homeownership more accessible, especially for families seeking affordable housing options in a competitive market.
Off-the-plan concessions allow buyers to pay reduced stamp duty by deducting construction costs incurred after the contract date from the property's purchase price. This results in a lower "dutiable value," upon which stamp duty is calculated. For instance, purchasing a $620,000 apartment with $465,000 allocated for construction could reduce the dutiable value to $155,000, significantly lowering the stamp duty owed.
Increased Housing Supply: By making off-the-plan properties more affordable, these concessions encourage developers to build more homes, increasing the availability of housing options for families.
The expanded off-the-plan stamp duty concession is available for contracts signed between 21 October 2024 and 21 October 2025. During this period, there are no price caps, and the concession applies to all buyers, including first home buyers, owner-occupiers, investors, and foreign purchasers, provided the property is part of a strata subdivision .
The Victorian Government's off-the-plan stamp duty concessions provide a valuable opportunity for families to enter the housing market with reduced upfront costs. By understanding the eligibility criteria and benefits, families can make informed decisions that align with their financial goals and housing needs.
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