Stamp Duty VIC 2026: First Home Buyer Guide

Victoria has some of the highest stamp duty rates in Australia — but also offers genuine first home buyer exemptions and concessions that can eliminate the cost entirely for properties under $600,000. Understanding your options could save you tens of thousands.

VIC stamp duty rates 2026

Victoria's stamp duty rates are progressive and apply to both residential and commercial property:

Quick examples

• $600,000 property: ~$21,970 stamp duty
• $800,000 property: ~$33,970 stamp duty
• $1,000,000 property: ~$46,170 stamp duty
• $1,500,000 property: ~$73,670 stamp duty

These are eye-watering numbers. Use our VIC Stamp Duty Calculator for an exact figure for your situation.

First home buyer concessions in Victoria

Stamp duty exemption and concession

• Up to $600,000: Full stamp duty exemption (you pay $0)
• $600,001–$750,000: Sliding-scale concession (partial exemption)
• Above $750,000: Full stamp duty applies

The $600,000 threshold is a challenge in Melbourne, where the median house price is above $900,000. It's more realistic for units and apartments, or for houses in outer suburbs and regional areas.

First Home Owner Grant ($10,000)

Victoria offers a $10,000 grant for first home buyers purchasing or building a new home valued up to $750,000. Requirements:

• Must be a brand new home (never previously occupied)
• Property value up to $750,000
• You must be an Australian citizen or permanent resident
• Must live in the home for at least 12 continuous months
• Neither you nor your partner can have previously owned residential property in Australia

Foreign buyer surcharge

Foreign purchasers in Victoria pay an additional 8% surcharge on top of standard stamp duty. This is among the highest in Australia.

On a $900,000 property: standard duty (~$37,000) + 8% surcharge ($72,000) = approximately $109,000. This is a significant barrier and has contributed to reduced foreign investment in Victorian property.

Melbourne vs regional Victoria

The stamp duty picture varies dramatically across Victoria:

• Inner Melbourne: Median house $1.1M+ → stamp duty $50,000+. First home buyer concession barely relevant at these prices.
• Middle/outer Melbourne: $650,000–$850,000 → stamp duty $23,000–$35,000. Some first home buyer benefit for cheaper properties.
• Geelong/Ballarat/Bendigo: $500,000–$650,000 → stamp duty $17,000–$23,000. Full first home buyer exemption often available.
• Regional Victoria: $350,000–$500,000 → stamp duty $10,000–$17,000. Full exemption for first home buyers. $10,000 FHOG for new builds.

Stamp duty for investment properties in VIC

Investors pay the standard stamp duty rates with no concessions. Victoria doesn't impose an additional investor surcharge (beyond the standard rates), but the rates themselves are already among Australia's highest.

For investors, stamp duty adds to the cost base for CGT purposes — so it reduces your capital gains tax when you eventually sell.

Tips for reducing stamp duty in Victoria

1. Buy under $600,000 as a first home buyer — full exemption saves up to ~$22,000
2. Check whether you fall under $600,000 or $750,000 — getting under those thresholds can materially cut your upfront duty
3. Buy off-the-plan — you may only pay stamp duty on the land value at contract time (not the completed value)
4. Buy vacant land and build — stamp duty only applies to the land purchase, not the construction cost
5. Consider regional Victoria — lower prices mean lower stamp duty, and the FHOG is available for new builds
6. Negotiate hard on price — a $10,000 reduction in price saves ~$600 in stamp duty directly, plus reduces your deposit and LMI needs

Stamp duty VIC vs other states

Victoria has some of the highest stamp duty rates in Australia:

• vs QLD: QLD is cheaper at almost every price point, and offers far more generous first home buyer concessions (up to $700,000)
• vs NSW: Similar rates, but NSW has higher thresholds for first home buyer exemptions ($800,000)
• vs ACT: The ACT is transitioning away from stamp duty entirely, replacing it with higher land tax

Compare costs across every state with our All-States Stamp Duty Calculator.