How to Calculate VIC Stamp Duty and Other Government Fees

Buying a First Home, Buying a Home, Buying Investment Property, Buying Property, Stamp Duty

How to Calculate VIC Stamp Duty

Updated 3 September 2020.

Important VIC Stamp Duty notes

Home Buyer concessions available.
First Home Buyer concessions available.
Off the plan concessions for buying off the plan.

Use this online stamp duty calculator if just want to find out how much stamp duty you’ll pay.

Standard Rate of VIC Stamp Duty (Transfer Duty)

Stamp Duty really is just a tax for nothing in return.

If you’re purchasing as an investor you’ll always pay the full amount of duty. Jump forward to the following concessions

Here’s how to calculate the VIC stamp duty:

Your Purchase Price	Standard Rate of VIC Stamp Duty
$0 – $25,000	1.4% of the property value
$25,001 – $130,000	$350 plus 2.4% of the amount over $25,000
$130,001 – $960,000	$2870 plus 6% of the amount over $130,000
More than $960,000	5.5% of the property value

VIC Stamp Duty Discounts

There are various VIC stamp duty exemptions or concessions, in here you’ll find all the details of the most common so that you can see whether or not you may be eligible.

Concessions for Home Buyers

Home Buyers in Victoria, are eligible for a concession of the stamp duty when the purchase price is up to $550,000 and you intend to occupy the property as your Principal Place of Residence (PPR) within the first year of ownership.

If your purchase price is over $550,000 you lose the concession eligibility completely.

How to calculate the stamp duty concession for home buyers in Victoria:

Purchase Price	Concessional Stamp Duty Rate for PPR	The Standard Rate	Your Saving for PPR
$130,001 to $440,000	$2870 plus 5% of amount over $130,000	$2870 plus 6% of amount over $130,000	1% rate reduction
$440,001 to $550,000	$18,370 plus 6% of amount over $440,000	Saving of $3,100

Use the online stamp duty calculator to do your own calculation.

First Home Buyers in Victoria

From the 1^st July 2017, First Home Buyers will receive additional incentives when purchasing brand new or established property.

For purchases up to $600,000 you’ll receive an exemption of stamp duty.
And if you’re purchasing between $600,000 and $750,000 there will be a discount.
All purchasers must meet the First Home Owners Grant eligibility criteria.

The rate of VIC stamp duty for amounts between $600,000 – $750,000 will be a sliding scale, and your concession amount will be reduced as you exceed $600,000.

Your Purchase Price	Regular Stamp Duty	New Stamp Duty
$605,000	$31,370	$1,046
$625,000	$32,570	$5,428
$650,000	$34,070	$11,357
$675,000	$35,570	$17,785
$700,000	$37,070	$24,713
$725,000	$38,570	$32,142
$745,000	$39,770	$38,444

To calculate your concessional rate of stamp duty use the stamp duty calculator.

If you’d like more information on the FHOG in Victoria, click here.

Off-the-Plan Purchases

The off-the-plan concession is calculated on the improved value of the property at the time of contract.

From 1 July 2017, it’s only available when you buy a principal place of residence (you must move in within the first 12 months of ownership for a continuous period of at least 12 months).

You must also meet one of the following two criteria:

First Home Buyer Concession – maximum dutiable value of $750,000 after the off the plan concession applied.
Home Buyer Concession- maximum dutiable value of $550,000 after the off the plan concession applied.

Example: You are purchasing a house and land package (or off the plan apartment) as a principal place of residence, and construction has already commenced. To determine the value of the property at time of contract, you would deduct the value of the works yet to be completed, and this would provide you with the current improved value of the land (this would become the dutiable value on which to calculate the stamp duty with the PPR concession). In this example, your dutiable value must meet one of the conditions above based on whether your a first home buyer or home buyer.

Foreign Investors

Foreign Investors pay the full rate of stamp duty, plus an additional duty of 8% of the purchase price.

Other Exemptions or Concessions of VIC Stamp Duty

There’s quite a few other scenario’s where you could be eligible for an exemption or concession of the stamp duty. Such as:

Pensioner exemption or concession
Young Farmer exemption or concession
Exemptions for charities and friendly societies

If you’re interested in searching some of these other duty exemptions and concessions, you can read more on the government website.

What Other Government Fees Will I Pay?

There are many possible fees that you could encounter, depending on the nature of your transaction, however in this article we’ll address only the 3 you’re most likely to encounter during a property transaction.

Transfer Registration
Mortgage Registration
Mortgage Discharge Registration

In the Victorian State Budget each year, the Treasurer will announce changes to the fees.

VIC Transfer Registration fee (when a ‘transfer of ownership’ is occurring)

When you purchase a property, there is a legal document that transfers the ownership of that property in to your name.

And the transfer of ownership has to be registered, and the State Government charges a fee for managing the register.

How to calculate the Transfer Registration fee in Victoria from 1 July 2019:

$86.50 + $2.34 for every whole $1000 portion of the Purchase Price
Maximum fee is $3,609

VIC Mortgage Registration fee (when you are borrowing money)

The mortgage gives the bank the right to sell your property if you don’t pay them back.

Mortgage Registration Fee as at 1^st July 2019 is $119.70.

The mortgage registration ensures that the mortgage can be viewed by a simple title search.

This therefore prevents you from selling your home and not paying back the lender – because the transfer of ownership wouldn’t be able to happen unless the previous mortgage was discharged.

VIC Mortgage Discharge Registration fee (when you are refinancing or selling)

This is payable when your existing mortgage is being discharged (released).

Mortgage Discharge Registration Fee as at 1^st July 2019 is $119.70.

This is usually payable when you’re refinancing or selling.

However, if you’re purchasing a property, your new lender may prepare a Mortgage Discharge and charge you this fee. Your solicitor arranging the settlement, will pass on that fee to the seller so that you’re not out of pocket.