Ready to make the hop? What are the requirements for claiming the first home transfer duty concession?
Essentially there are two key criteria that need to be met:
- You meet the eligibility requirements; and
- The purchase of the property is not subject to a lease with a duration greater than six months beyond the settlement date.
You are entitled to claim the full first home transfer duty concession when you are acquiring your first residence when you are purchasing a home valued under $500,000.00 (and a reduced rate of transfer duty for properties valued between $500,000.00 and $550,000.00), and you:
- Have never claimed the first home concession
- Have never held an interest in a residence anywhere in Australia or overseas
- Be at least 18 years of age
- Move into it with your personal belongings and live there on a daily basis within 1 year of settlement; and
- Not dispose (sell, transfer, lease or otherwise grant exclusive possession) of all or part of the property before you move in.
To obtain an estimate of your transfer duty please find a link to a calculator below:
The property is subject to an existing lease
If you are buying a property which is subject to a tenancy in place, the existing tenants must move out when their lease expires or within 6 months of settlement, whichever is the earlier, for you to stay eligible for the concession.
You cannot decide to extend or renew the lease of the current tenant’s pass that 6-month date after settlement. You also cannot buy a home which you want to live in at some point but decide to rent it out first beforehand.
What happens if your circumstances change?
If post paying the transfer duty your circumstances change, you will have an obligation to contact the Queensland Office of State Revenue to have your applicable transfer duty reassessed to determine any additional duty that maybe payable.