Stamp duty — officially called transfer duty in NSW — is a state government tax on property purchases. It’s often the largest upfront cost after the deposit. This guide explains the NSW rates, exemptions, and strategies for 2026.
Standard Stamp Duty Rates FY25-26
| Property Value | Rate |
|---|---|
| AUD 0 - 16,000 | AUD 1.25 per AUD 100 (minimum AUD 10) |
| AUD 16,001 - 35,000 | AUD 200 + AUD 1.50 per AUD 100 over AUD 16,000 |
| AUD 35,001 - 93,000 | AUD 485 + AUD 1.75 per AUD 100 over AUD 35,000 |
| AUD 93,001 - 351,000 | AUD 1,500 + AUD 3.50 per AUD 100 over AUD 93,000 |
| AUD 351,001 - 1,168,000 | AUD 10,530 + AUD 4.50 per AUD 100 over AUD 351,000 |
| Over AUD 1,168,000 | AUD 47,295 + AUD 5.50 per AUD 100 over AUD 1,168,000 |
Quick reference — standard stamp duty for common Sydney purchase prices:
| Purchase Price | Standard Stamp Duty |
|---|---|
| AUD 500,000 | AUD 17,235 |
| AUD 650,000 | AUD 24,460 |
| AUD 800,000 | AUD 31,585 |
| AUD 1,000,000 | AUD 40,585 |
| AUD 1,200,000 | AUD 49,055 |
| AUD 1,500,000 | AUD 65,555 |
| AUD 2,000,000 | AUD 93,055 |
These are the full rates. First home buyers may qualify for significant reductions (see below).
First Home Buyer Concessions
Under the First Home Buyers Assistance Scheme (FHBAS), eligible buyers pay:
| Purchase Price | Standard Duty | FHBAS Duty | Saving |
|---|---|---|---|
| AUD 600,000 | AUD 22,360 | AUD 0 | 100% |
| AUD 700,000 | AUD 26,860 | AUD 0 | 100% |
| AUD 800,000 | AUD 31,585 | AUD 0 | 100% |
| AUD 850,000 | AUD 33,835 | AUD 4,760 | 86% |
| AUD 950,000 | AUD 38,335 | AUD 15,670 | 59% |
| AUD 1,000,000 | AUD 40,585 | AUD 22,418 | 45% |
Full exemption: Properties up to AUD 800,000. Partial concession: AUD 800,001 to AUD 1,000,000.
For a AUD 850,000 unit, the FHBAS saves you AUD 29,075. This is a significant amount that can cover your deposit gap, legal fees, and moving costs.
First Home Buyer Choice — Annual Property Tax
Eligible first home buyers can opt for an annual property tax instead of upfront stamp duty (properties up to AUD 1,500,000).
Annual rates (FY25-26):
- Owner-occupier: AUD 400 + 0.3% of land value
- Investor: AUD 1,500 + 1.1% of land value
This is most advantageous for buyers who plan to own for fewer than 10 years, or who prefer to preserve cash for the deposit.
Foreign Buyer Surcharge
Foreign persons purchasing residential property in NSW pay an additional 8% surcharge on the purchase price, on top of standard stamp duty. Foreign buyers also pay a 4% land tax surcharge annually on residential land they own.
Example: A foreign buyer purchasing a AUD 1,000,000 apartment pays AUD 40,585 standard duty + AUD 80,000 surcharge = AUD 120,585 total.
When Is Stamp Duty Payable?
Stamp duty must be paid within 3 months of settlement (or 3 months from exchange for off-the-plan purchases). Late payment attracts interest at the market rate plus 8% (currently 11.85% as of April 2026).
Other Stamp Duty Scenarios
Off-the-plan purchases: Duty is calculated on the contract price. For off-the-plan, you may be eligible for a 12-month deferral if the property is your principal place of residence.
Deceased estates: Transfers to a beneficiary under a will are generally exempt.
Transfer between spouses/de facto partners: Transfers of the family home or investment property between spouses may be exempt under certain conditions.
Change of ownership percentage: If you change the ownership split on an existing property, duty may apply to the portion being transferred.
Practical Tips
- Budget correctly: Stamp duty must be paid from your own funds — most lenders won’t capitalise it into the loan
- Use the NSW Revenue online calculator: revenue.nsw.gov.au provides a free calculator that factors in all concessions
- Factor in timing: You need the funds available at settlement, not at exchange
- Consider First Home Buyer Choice carefully: Calculate your break-even point for property tax vs stamp duty
- Off-the-plan: You may have up to 15 months to pay if construction hasn’t started
Data note: Stamp duty rates and thresholds reflect FY25-26 NSW legislation. FHBAS and FHBC rules current as of April 2026. Foreign buyer surcharge rates current as of 2026. This is general information only — consult a licensed conveyancer or solicitor for advice specific to your purchase.