Victoria Stamp Duty Waiver 2020: Save Up to 50%

The Victoria stamp duty waiver applied to contracts signed between 25 November 2020 and 30 June 2021, on properties valued under $1 million. Two tiers were available.

For new builds and off-the-plan homes, buyers received a 50% discount. A first home buyer purchasing a new build at $700,000 would have paid around $12,356 after stacking the existing first home buyer concession with this new discount, compared to the standard rate of $37,070.

For existing homes, a 25% discount applied. That same first home buyer at $700,000 would have paid around $18,534 after concessions. Upgraders and investors buying a new build at $700,000 paid approximately $24,713, down from $37,070.

Commercial and industrial property buyers in regional Victoria also benefited, with a 50% stamp duty concession on those purchases brought forward to January 2021. Use our stamp duty calculator to see what you would pay on a property purchase today.

The $5.3 billion Big Housing Build was the largest single component of the package. The program aimed to deliver more than 12,000 new dwellings across Victoria:

The project was forecast to support an average of 10,000 construction jobs each year across four years. A quarter of all investment was directed toward regional Victoria, spreading the economic and housing benefits well beyond Melbourne.

For buyers trying to understand their purchase budget, knowing how much you can borrow based on your income and expenses is a practical first step.

The Victorian Home Buyer Fund was a $500 million shared equity scheme designed to help Victorians buy a home sooner. Rather than requiring a full deposit, the government would contribute to the purchase price in exchange for a proportionate ownership stake in the property.

This reduced how much buyers needed upfront and made it possible to qualify for a home loan earlier. The fund applied to both new builds and established homes.

Shared equity schemes like this are particularly relevant for first home buyers in a changing market. Our article on what a stabilising property market means for first home buyers explains how market conditions affect your options.

To stimulate new rental supply, the budget introduced a 50% land tax discount for eligible build-to-rent developments. This applied from 1 January 2022 through to 2040. Those developments were also exempt from the Absentee Owner Surcharge over the same period, making Victoria more attractive to institutional rental investment.

For first home buyers building in regional Victoria, the $20,000 First Home Owners Grant was extended until 30 June 2021. In metropolitan Melbourne, the grant remained at $10,000.

An additional $111 million was allocated to planning and system reforms aimed at unlocking housing supply and attracting private sector construction investment. The government intended these reforms to speed up approvals and reduce barriers for new development across the state.