Stamp duty axed for Queensland first-home buyers – what your clients need to know

From May 1, Queensland’s new stamp duty rules officially took effect—providing a major boost to first-home buyers purchasing new homes or vacant land to build a new home.

Under the updated rules, eligible first-home buyers no longer pay any transfer (stamp) duty, regardless of the property’s value. Previously, concessions applied only to properties valued under $700,000, with partial relief up to $800,000.

“Now we have abolished stamp duty, Queenslanders building their first home won’t pay a single cent in stamp duty,” Queensland Premier David Crisafulli said.

“This is just one of the ways we’re delivering a place to call home for more Queenslanders, by also unlocking the land needed for new housing and kick-starting new housing developments with the infrastructure they need.”

The Queensland government estimated the reform could stimulate construction demand, potentially delivering an additional 800 new homes.

PropTrack has broken down how the scheme works, helping brokers better understand the eligibility criteria and ongoing requirements so they can guide first-home buyer clients through the opportunity with confidence.

What is the concession and who can access it?

The First Home (New Home) Concession applies to:

• New homes that have never been occupied or sold
• Off-the-plan properties
• Vacant land where a new home will be built
• Substantially renovated homes that haven’t previously been lived in

To qualify, the contract must be signed on or after May 1. Earlier contracts may still be eligible for previous concession tiers.

Importantly, there is no property value cap for this concession, although duty may still apply to any non-residential land included in the purchase.

Eligibility criteria for the First Home Concession

Applicants don’t need to be Australian citizens or permanent residents, but must:

• Be individual purchasers, aged 18 or over
• Have never owned property, including overseas
• Not have claimed the vacant land concession before
• Plan to live in the home within one year of settlement
• Pay market value for the property
• Provide proof that the property is a new or substantially renovated home

If a property is co-purchased, each party can apply for different concessions, provided each meets the relevant criteria. The Queensland Revenue Office’s calculator can help estimate the final stamp duty in mixed-concession cases.

What happens after a client claims the concession?

After claiming the concession, buyers must meet several ongoing conditions:

• No part of the property can be sold or transferred before moving in
• No part of the property can be rented or leased before occupancy
• Leasing part of the home is allowed post-move-in, if the lease begins on or before September 20, 2024
• Renting the entire home is permitted only after one full year of residence

Failure to meet these conditions may result in the partial or full concession being revoked.

Important caveats and exceptions

While the new concession is generous, buyers should be aware of certain exclusions:

• The concession does not apply to knockdown-rebuilds where an existing home is demolished
• Buyers of properties that include non-residential land, such as farming areas, must provide a valuation of the residential portion—only that portion qualifies
• Foreign acquirer duty may apply to non-resident buyers

Industry response: Brokers well-placed to help

The Mortgage & Finance Association of Australia (MFAA) has welcomed the policy, noting the important role brokers play in guiding buyers through government schemes.

“Many first-home buyers use the services of a mortgage broker,” said MFAA CEO Anja Pannek (pictured).

“With their expertise and skills, mortgage brokers are best placed to help first-home buyers understand the many different federal and state-based home buying grants and schemes, and other incentives, such as the Queensland transfer duty concession. Their ultimate goal is to assist Australians to achieve their dreams of homeownership.”

According to the MFAA’s 2025 Value of Mortgage and Finance Broking Report, 45% of brokers’ owner-occupier clients are first-home buyers, compared to just 30% in the general market.

How much could your clients save?

Under Queensland’s earlier rules, a buyer of a new home valued at $750,000 might have paid around $9,000 in stamp duty. Now, those funds can be redirected toward deposits, moving costs, or home upgrades. In some cases, buyers could save as much as $24,525, PropTrack reported.

Prior to this latest development, the Queensland government launched a parliamentary inquiry into housing affordability and supply to accelerate construction and address long-term housing shortages—making the stamp duty reform one of several strategies aimed at boosting new home builds across the state.

For more information, follow this link to the realestate.com.au article.