If you are looking to acquire land for the purpose of building your first home, you may be able to save through the first home vacant land concession. Like most Government schemes, grants and concessions, your eligibility is subject to a specific set of criteria.
What is the first home vacant land concession and how does it work?
The first home vacant land concession allows you to claim a concession for stamp duty when acquiring vacant land to build your first home. The concession only applies to vacant land valued under $400,000 and can save eligible applicants up to $7,175.
Who is eligible?
To be eligible for the first home vacant land concession, you must meet these requirements:
- Never claimed the concession on another project
- Never held an interest in a residence anywhere in Australia or overseas
- Be paying market value if the vacant land is valued between $320,001 and $399,999
- Build your first home on the land, move in with your personal possessions and live there within 2 years of settlement
- Only build 1 one home.
How much stamp duty will I need to pay?
In QLD the first home vacant land concession is calculated at the stamp duty rate minus the first home vacant land concession. For example:
- If the vacant land is valued at $250,000, the duty payable is $0.00. This is because the value of the vacant land is valued under $250,000.
- If the vacant land is valued at $260,000, the duty payable is $825.00. The transfer duty without the concession is $7,525, this is because the vacant land is valued between $260,000 and $269,999.99, and a first home vacant land concession of $6,7000 applies.
- If the vacant land is valued at $400,000, the duty payable is $12,425.00.
For a specific calculation, you can use the Queensland’s governments, stamp duty calculator or view the rates for home concession to find out just how much duty you will have to pay when you buy vacant land.
How do I claim the first home vacant land concession?
To claim on the concession, you must complete forms provided by the Queensland government that must be included with your contract and if required, in your valuation when lodging them for stamping. When lodging your documents, you must include a cover letter with your name, address and details of your lodgement.
You can find and download the following forms from the Queensland government here:
- Claim for transfer duty concession first home vacant land
- For Non-Australian transferors and transferees, use the Identity Details Annexure.