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{{propApi.successMessage}} {{region}} Change locationOpposition pledge to remove stamp duty for first home buyers welcomed (Vic)
Opposition pledge to remove stamp duty for first home buyers welcomed (Vic)
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“HIA has long called for measures that will help first home buyers overcome the financial barrier to purchasing a new home.
“The rate at which stamp duty is charged is most punitive in Victoria: equivalent to 5.3 per cent of the property’s value.
“With the median house price in Melbourne nudging $1 million, Victorian first home buyers face the prospect of paying almost $55,000 in stamp duty - that’s $55,000 most home buyers would rather put towards their new home than see vanish into the state’s coffers.
“For first home buyers, stamp duty is a significant barrier to home ownership. It is one of the biggest upfront costs when purchasing a home.
“Not only are first home buyers paying more than they should to purchase a new home, but their housing choices are being compromised. Unless they borrow more to cover the cost of stamp duty they are forced to search for and purchase a less expensive home in a potentially less optimal location, than if stamp duty was not levied.
“The benefits of removing stamp duty for first home buyers extends beyond financial savings. It expands the choice of housing options to meet the needs of growing families and the pursuit of education and employment opportunities.
“The outlook for home building in Victoria can’t rely on a few interest rate cuts from the RBA and will only improve if policymakers reduce the direct and indirect costs on home buyers, investors and builders,” concluded Mr Wojtkiw.
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