Stamp Duty WA: First Home Buyer Concessions Explained

What is stamp duty and why does it matter?

Stamp duty, officially called transfer duty in Western Australia, is a state government tax on the transfer of property. It is calculated as a percentage of the purchase price and is payable by the buyer at settlement. It is one of the largest upfront costs in a property purchase, often exceeding the cost of legal fees, building inspections, and loan establishment costs combined.

For a buyer purchasing an established home at $600,000 in Perth without any concession, stamp duty is approximately $22,515. An eligible first home buyer at the same price pays nothing, because $600,000 is the duty-free ceiling. That single threshold is worth more than most buyers realise: it is the largest concession in the WA first home buyer package, larger than the $10,000 First Home Owner Grant by a factor of two.

Getting the thresholds right matters for budgeting. Stamp duty cannot be added to your mortgage. It must be paid from your own funds at settlement. A buyer who has saved exactly enough for a 5% deposit but not accounted for stamp duty will have a problem at settlement.

The first home buyer thresholds in detail

Established homes

For eligible first home buyers purchasing an existing or new residential property anywhere in WA, for contracts entered into on or after 7 May 2026:

Purchase price	Duty payable (first home buyer)	Full duty (no concession)	Saving
$500,000	$0	~$17,765	~$17,765
$600,000	$0	~$22,515	~$22,515
$650,000	~$8,075	~$24,890	~$16,815
$700,000	~$16,150	~$27,265	~$11,115
$750,000	~$24,225	~$29,740	~$5,515
Above $800,000	Full duty	Full duty	$0

These thresholds are statewide for contracts from 7 May 2026, so the previous Metropolitan/Peel and regional split no longer applies to the first home owner rate. Figures are calculated on the published rate of $16.15 per $100 above $600,000 and the general rate scale, and are indicative only. Use our WA stamp duty calculator to estimate your exact duty at any price point.

Vacant land

For first home buyers purchasing vacant residential land to build on in WA, separate thresholds apply:

Land price	Duty payable (first home buyer)
Up to $450,000	$0
$450,001 to $550,000	Concessional, at $20.14 per $100 above $450,000
Above $450,000	Full duty payable

For house and land packages, stamp duty is assessed on the land component only, not the combined value of land plus construction. This is a meaningful advantage for first home buyers building new. A $250,000 block with a $350,000 construction contract attracts duty on $250,000 only, and at the first home buyer concession rate, that may be zero duty. If you are weighing up building new, our guide to house and land finance in Perth covers the two-contract structure, settlement timing and when the grant actually arrives.

Who qualifies for the first home buyer concession

The WA first home buyer stamp duty concession has its own eligibility criteria, which are separate from (though similar to) those for the WA First Home Owner Grant and the federal First Home Guarantee.

• Individual purchaser only. The concession is not available to companies or trusts. All buyers on the contract must be individuals.
• First home buyer in Australia. You must not have previously owned a residential property in any Australian state or territory, either solely or jointly.
• No prior concession or grant. You must not have previously received a first home buyer duty concession or first home owner grant in any state or territory.
• Principal place of residence. You must intend to live in the property as your principal place of residence within 12 months of settlement, and continue to do so for a continuous period of at least 12 months.
• Joint buyers must all qualify. If you are purchasing jointly, all buyers on the contract must meet the eligibility criteria. If one buyer has previously owned property, neither buyer can claim the concession on that transaction.

How stamp duty interacts with your deposit and borrowing capacity

Stamp duty affects your finances in two ways that first home buyers often underestimate.

It must be paid from savings, not borrowed

Stamp duty cannot be capitalised into your home loan. It is due at settlement and must be paid from funds you already have. This means your deposit savings need to cover both the deposit itself and any applicable stamp duty.

For a first home buyer purchasing at $600,000 in Perth, the duty is nil because $600,000 is the duty-free ceiling. With a 5% deposit ($30,000), you would need a minimum of $30,000 in savings available at settlement, plus other upfront costs including legal fees ($1,500-$3,000), building inspection ($400-$700), and loan establishment costs ($300-$700).

It affects how your genuine savings are assessed

When lenders assess your application for a home loan, they look at your total available funds and how much will remain after settlement. If stamp duty consumes a significant portion of your savings, lenders will factor this into their assessment of your financial position. A broker can map out exactly what you need to have in savings to satisfy both the deposit requirement and the lender's post-settlement funds test.

Stacking concessions: combining all available benefits

WA first home buyers purchasing a new property at or under $600,000 can potentially access all of the following at once:

The combined value of these four entitlements on a $600,000 new build in Perth can reach $50,000-$55,000 in real dollar terms, between the stamp duty saving, the grant, the LMI saving, and the tax advantage on super contributions. This is not theoretical. It is accessible to eligible Perth buyers who structure their purchase correctly.

The coordination between these schemes is where an experienced broker and conveyancer add significant value. Timing the applications correctly, ensuring lenders accept all relevant contributions as genuine savings, and structuring the construction contract appropriately all require hands-on knowledge of how the schemes interact in practice.

How stamp duty is claimed

You do not apply for the first home buyer stamp duty concession separately from your property purchase. It is claimed through your conveyancer or settlement agent as part of the standard transfer process. When you instruct a conveyancer, tell them you are a first home buyer. They will include the eligibility declarations in the transfer documentation and calculate the concessional duty amount.

The State Revenue Office assesses the transfer and issues the duty assessment before settlement. If you are eligible, the concessional rate is applied automatically. There is no separate application form or waiting period. The concession is confirmed as part of the normal settlement process.

To estimate your duty before you reach settlement, use our WA stamp duty calculator. It covers both the current March 2025 rates and the proposed 7 May 2026 rates so you can see the difference.

Frequently asked questions