VIC First Home Buyers Benefit from Increased Stamp Duty Discount
It’s been one month now since the stamp duty discount for first home buyers has increased from 40 per cent to 50 per cent. This change occurred from 1 September 2014 and means that buyers can take advantage of having more money in their back pocket to use to purchase their first new home.
Currently on a property worth $300,000, buyers would need to pay over $11,000 in stamp duty. However, with this 50 per cent discount now in place, first home buyers are able to save over $5,000. Compare this with a $600,000 property, (the discount cap), stamp duty equates to more than $31,000 and first home buyers can save over $15,500 which is massive.
With such great savings available, this provides the ideal opportunity for first home buyers to take the plunge and buy their first home especially as they can also take advantage of the $10,000 First Home Owner Grant with the potential of saving approximately $25,000. This is definitely not to be sniffed at.
As housing prices are getting more expensive, it is becoming harder to enter the market. First home buyers should use these savings to their advantage and start off with a property that is within their budget and work up from there. By thinking of your first home as an investment and purchasing in an area that has strong growth potential, this can mean that you will benefit from quick capital growth which can be used to fund your next 10 per cent deposit on property two.
However, when starting out we realise that this can be extremely confusing and hard to know where to begin. At iBuyNew we make this process as easy as people and are here to guide you every step of the way. The time to act is now so if you are seriously thinking about getting on that property ladder and want to know more about Stamp Duty savings, contact the iBuyNew team today where we will gladly help you find that first home.
If you want to see for yourself how much Stamp Duty you can save in Victoria or in any Australian state, take a look at our Stamp Duty Calculator.
Published on 14th of July 2015 by Marty Stanowich