Stamp duty concessions and exemptions for first home buyers in Victoria are designed to assist with the cost of purchasing property, but eligibility criteria and amounts vary. As of December 2025, most first home buyers don’t pay stamp duty on properties valued up to $800,000.
Currently in Melbourne, the Victorian State Revenue Office (SRO) operates a tiered system. For properties valued between $800,000 and $1,000,000, a concession applies, reducing the stamp duty payable. Properties over $1,000,000 generally attract full stamp duty rates. It’s important to realise that these thresholds are subject to change; the SRO has announced changes effective from 2027, increasing the threshold to $960,000. When preparing to sell in the Eastern Suburbs, we often see buyers factoring potential stamp duty savings into their offers, particularly for properties under $800,000. This can influence buyer interest and ultimately, the final sale price. In 2026, we anticipate continued strong demand from first home buyers taking advantage of these concessions, especially in areas like Balwyn and Doncaster where family-friendly homes are highly sought after. A buyer’s ability to utilise these concessions doesn’t directly impact the selling process, but it’s a factor our experienced agents consider when advising on pricing strategies.
Understanding these concessions is crucial for both buyers and sellers, as they can significantly impact affordability and market dynamics.