Complete 2026 Victoria stamp duty guide: rates, first home buyer exemptions, off-the-plan concessions, and strategies to reduce your duty bill in VIC.
Stamp duty — formally known as land transfer duty in Victoria — is one of the largest upfront costs facing property buyers in 2026. With Melbourne's median dwelling price hovering between $950,000 and $1,000,000, a standard purchaser can expect to pay between $40,000 and $55,000 in duty alone before a single mortgage repayment is made. Understanding how Victoria's duty system works, which concessions apply to your situation, and how to structure your purchase to minimise the bill is essential planning for any Victorian buyer this year.
The Reserve Bank of Australia (RBA) held the cash rate steady at 4.35% in June 2026 following three consecutive increases earlier in the year. While borrowing power has been compressed by higher rates and APRA's serviceability buffer, the Victorian property market is showing signs of a buyer-friendly environment — auction clearance rates are fluctuating between 55% and 62%, and vendors are increasingly open to negotiation. For buyers who have done their homework on stamp duty, this combination of softer prices and available concessions creates a genuine window of opportunity.
This guide covers everything Victorian buyers need to know about stamp duty in 2026: the full rate schedule, first home buyer exemptions, pensioner concessions, off-the-plan duty reductions, and practical strategies to reduce your upfront costs. Whether you're purchasing in Melbourne CBD, Geelong, or Ballarat, the rules are the same — but the savings available to you can vary significantly based on your buyer profile and purchase structure.
What is land transfer duty in Victoria and how is it calculated? Land transfer duty (stamp duty) in Victoria is a state government tax calculated on the dutiable value of a property — the higher of the purchase price or market value. The rate is applied on a sliding scale starting at 1.4% for properties valued above $25,000, rising progressively to a top marginal rate of 6.5% for high-value properties. The State Revenue Office (SRO) Victoria provides an official online calculator for precise figures. Use our stamp duty calculator to estimate your costs instantly.
How much stamp duty will I pay on a $750,000 home in Victoria in 2026? For a standard purchaser (non-first-home buyer) purchasing an established home as a principal place of residence, the indicative duty on a $750,000 property is approximately $40,070. On a $500,000 property it is approximately $21,970, on a $1,000,000 property approximately $55,000, and on a $1,500,000 property approximately $80,000. First home buyers purchasing under $600,000 pay zero duty — a saving of up to $31,000.
Who qualifies for the Victorian First Home Buyer Duty Exemption in 2026? To qualify, you must: (1) be a genuine first home buyer who has never owned property anywhere in Australia; (2) be an Australian citizen or permanent resident; and (3) intend to occupy the property as your principal place of residence for at least 12 continuous months. A full exemption applies for properties valued up to $600,000. A tapered concession applies for properties between $600,001 and $750,000. Properties above $750,000 attract no first home buyer concession. See our first home buyer grants guide for the full picture on available assistance, and our understanding stamp duty guide for a deeper dive into how duty is calculated across Australia.
What is the off-the-plan stamp duty concession in Victoria? The off-the-plan concession reduces the dutiable value of a property by subtracting construction costs incurred after the contract date. This can substantially lower the duty payable. A temporary concession specifically for strata apartments and townhouses — regardless of buyer status or whether the property will be a principal place of residence — applies to contracts signed up to 21 April 2027, following an extension in the 2026-27 Victorian State Budget. This makes off-the-plan apartment purchases particularly attractive from a duty perspective right now. Learn more about off-the-plan home loans and how to finance these purchases.
Can pensioners get a stamp duty reduction in Victoria? Yes. Eligible pensioners and concession cardholders can access a one-off duty exemption or concession when purchasing a principal place of residence valued up to $750,000. To qualify, you must hold an approved Commonwealth concession card, purchase the property at market value, and intend to use it as your primary home. This is a once-only entitlement — it cannot be used again on a future purchase.
How does Victoria's stamp duty compare to other states? Victoria's stamp duty rates are among the highest in Australia for mid-to-high value properties. Queensland abolished stamp duty for first home buyers on new homes up to $700,000 in 2023. New South Wales offers a choice between stamp duty and an annual property tax for eligible buyers. Western Australia provides generous first home buyer concessions. Victorian buyers should factor the full duty cost into their budget planning and use available concessions wherever possible. Our borrowing power calculator can help you model the total upfront costs alongside your loan capacity.
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The following table shows indicative stamp duty costs for a standard purchaser (non-first-home buyer, established property, principal place of residence) at key price points in Victoria. First home buyers purchasing under $600,000 pay zero duty.
| Purchase Price | Standard Duty (Approx.) | First Home Buyer Duty | Effective Saving (FHB) |
|---|---|---|---|
| $400,000 | $14,440 | $0 (full exemption) | $14,440 |
| $500,000 | $21,970 | $0 (full exemption) | $21,970 |
| $600,000 | $31,070 | $0 (full exemption) | $31,070 |
| $675,000 | ~$36,000 | Partial concession applies | Varies |
| $750,000 | $40,070 | No concession (above threshold) | $0 |
| $1,000,000 | $55,000 | No concession | $0 |
| $1,500,000 | $80,000 | No concession | $0 |
| Metric | Melbourne | Regional VIC (Geelong/Ballarat/Bendigo) |
|---|---|---|
| Median Dwelling Price | $950,000 – $1,000,000 | $550,000 – $700,000 (varies by location) |
| Price Trend (2026) | Slight softening; dipped below $1M | Structural resilience; lifestyle migration demand |
| Auction Clearance Rate | 55%–62% (buyer's market) | Stronger demand; less auction-driven |
| Market Conditions | Buyer-leaning; vendor negotiation common | First home buyers and investors active |
| RBA Cash Rate | 4.35% (held June 2026; three hikes earlier in 2026) | |
| Competitive Home Loan Rates | From 5.99% p.a. (variable, comparison rate varies) | |
With Melbourne's median price around $975,000, a standard buyer faces approximately $53,000 in stamp duty — a significant upfront cost. Regional Victoria offers more affordable entry points where first home buyer exemptions are more likely to apply. Compare current home lending rates to understand your full cost of purchase, and explore first home buyer loan options if you're entering the market for the first time.
Victoria's stamp duty system is complex, but the savings available to eligible buyers are substantial — up to $31,070 for first home buyers purchasing under $600,000, and meaningful reductions for off-the-plan purchasers taking advantage of the temporary concession running until April 2027. In a market where Melbourne's median price is softening and regional Victoria is demonstrating resilience, 2026 presents genuine opportunities for well-prepared buyers who understand their duty obligations and available concessions. Read our 2026 Victoria First Home Buyer Guide for a comprehensive overview of grants, schemes, and loan options available alongside stamp duty concessions.
The combination of a buyer-leaning Melbourne market, competitive home loan rates from 5.99% p.a., and a range of duty concessions means that buyers who plan carefully can significantly reduce their total upfront costs. Whether you're a first home buyer targeting the $600,000 exemption threshold, a pensioner accessing the one-off concession, or an investor considering an off-the-plan apartment, understanding stamp duty is the foundation of smart property planning in Victoria. Explore our 2026 VIC Property Market Outlook to understand current conditions across Melbourne and regional Victoria.
Ready to take the next step? Our specialist mortgage brokers understand the Victorian market and can help you navigate stamp duty concessions, identify the right loan structure, and secure competitive rates. Book a free consultation with a homelending.au expert today — and make sure your 2026 Victorian property purchase is as cost-effective as possible from day one.
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