How Do I Avoid Stamp Duty in NSW? Expert Tips

Stamp duty is a tax that is imposed on certain transactions in Australia,
including the purchase of a property. In New South Wales (NSW), stamp duty is a significant cost for home buyers, and can add thousands of dollars to the cost of buying a home. Fortunately, there are ways to avoid paying stamp duty in NSW, and in this blog post, we’ll look at some of the expert tips you can use to save money when buying a home.

First, it’s important to understand how stamp duty works in NSW. Stamp duty is calculated as a percentage of the purchase price of the property, and the rate varies depending on the value of the property. For properties valued up to $650,000, the stamp duty rate is 2.25%, and for properties valued between $650,000 and $1 million, the stamp duty rate is 3.5%. For properties valued over $1 million, the stamp duty rate is 4.5%.

Fortunately, there are several ways to avoid paying stamp duty in NSW. One of the most common ways is to take advantage of the First Home Buyers Assistance Scheme. This scheme is designed to help first home buyers purchase their first home, and it provides a range of incentives, including stamp duty concessions.
To be eligible for the scheme, you must be an Australian citizen or permanent resident, and you must be buying a property valued up to $650,000. If you meet these criteria, you may be eligible for a stamp duty concession of up to $17,000.

Another way to avoid paying stamp duty in NSW is to take advantage of the New Home Grant Scheme. This scheme is designed to help people purchase newly built homes, and it provides a grant of up to $10,000 to eligible buyers. To be eligible for the scheme, you must be an Australian citizen or permanent resident, and you must be buying a newly built home valued up to $750,000.

Finally, you can also avoid paying stamp duty in NSW by taking advantage of the Off-the-Plan Concession. This concession is designed to help people purchase off-the-plan properties, and it provides a stamp duty concession of up to $24,000. To be eligible for the concession, you must be an Australian citizen or permanent resident, and you must be buying an off-the-plan property valued up to $800,000.

These are just some of the ways you can avoid paying stamp duty in NSW. It’s important to remember, however, that these schemes and concessions are subject to change, so it’s always best to speak to an expert mortgage broker to make sure you’re taking advantage of the most up-to-date incentives.

At Ello Lending, we’re experts in the Australian mortgage market, and we’d love to answer any questions you have about buying a home in NSW. We can help you to understand the different schemes and concessions available, and we can help you to find the best home loan for your needs. So if you’re looking to buy a home in
NSW, get in touch with us today and let us help you to save money on stamp duty.