A government plan to dissolve stamp duty on new homes priced less than $800,000 and cut thousands for residences up to $1 million is set to benefit the NSW building industry and the state’s first home buyers.
NSW premier Gladys Berejiklian states that a shift in stamp duty thresholds would facilitate new home building and open up employment opportunities as a facet of the governmental COVID-19 Recovery Plan—promising financial benefits for many people, on a large scale, and boosting home construction in NSW.
The threshold for the charging of stamp duty first-time house buyers will elevate from $650,000 to $800,000, with the concession decreasing on more elevated values before topping off at $1 million.
The government predicts that more than 6000 first home buyers will reap the benefits of this plan, saving qualified first homebuyers thousands.
The stamp duty threshold set on vacant lands will elevate from $350,000 to $400,000 and will top out at $500,000.
The shift in thresholds will only affect new houses and vacant lands, as opposed to standing houses, and will sustain for a yearlong interval, starting 1 August 2020. Other purchases will instead reap benefits from established plans.
Treasurer Dominic Perrottet states that—in terms of stamp duty–the plan alterations would save first home purchasers up to $31,335 on a new $800,000 residence. More money and more jobs, in short, add up to a win win.