Extra Support for First Home Buyers in State Budget

• Stamp duty concessions increased to help Western Australians buy their first home
• Support now available for homes valued up to $600,000, increased from $530,000
• First home buyers will pay no transfer duty on homes valued up to $450,000
• Reforms will provide total savings of up to $15,390 and benefit almost 5,000 first home buyers each year
• Part of Cook Labor Government's $1.1 billion housing and homelessness package

The Cook Labor Government will overhaul stamp duty concessions to help Western Australians buying their first home, with tax cuts to benefit almost 5,000 first home buyers each year and increase the maximum value of the concession to $15,390.

As part of the 2024-25 State Budget, the Cook Government will increase the first home buyers transfer duty concession threshold for established homes from $530,000 to $600,000, and the exemption threshold from $430,000 to $450,000.

This means Western Australians buying their first home will pay no stamp duty on purchases up to $450,000 and will receive a concessional stamp duty rate on properties valued up to $600,000.

Under the new system a first home buyer purchasing a $450,000 property will pay no stamp duty, providing a total saving of $15,390. A first home buyer purchasing a $530,000 home will receive the maximum additional saving of $7,180 under the revised thresholds.

The stamp duty reforms are expected to benefit almost 5,000 first home buyers each year, at a cost of around $20 million per annum.

The changes will apply to agreements entered into from today, 9 May 2024.

This is the first time the property value thresholds for the first home buyer transfer duty concession scheme have been amended since July 2014.

The measure forms part of the Cook Government's $1.1 billion housing and homelessness package in the 2024-25 State Budget, to boost housing supply and affordability across the State.

The stamp duty concession for established homes is complementary to the State Government's First Home Owner Grant - which provides a $10,000 payment to first home buyers who are building a new residential property - as well as transfer duty exemptions on vacant land for first home buyers of up to $300,000 and concessions up to $400,000.

As stated by Premier Roger Cook:

"Buying your first home is one of life's biggest milestones, and I want every Western Australian to have the opportunity to get into a home.

"These sensible changes will deliver real savings for Western Australians looking for their first home, helping to turn the dream of home ownership into reality for thousands of people each year.

"My Government is doing everything we can to make housing more affordable across the State, as part of my commitment to always do what's right for WA."

As stated by Treasurer Rita Saffioti:

"This is an important measure to assist first home buyers purchasing a home, especially given the growth in house prices since the property value thresholds for this scheme were last changed in 2014.

"This additional assistance provides targeted relief to first home buyers, supporting them in purchasing a home that will meet their needs. It may also allow first home buyers to move out of existing rental housing, freeing up homes to rent.

"We're doing everything we can to increase housing affordability in Western Australia, and this initiative is one of many that we are introducing to achieve this."

As stated by Finance Minister Sue Ellery:

"Legislation to support the increased thresholds will be introduced into the Parliament later this month and I will make a pre-enactment determination allowing the legislation to be applied from when the system changes are implemented.

"This will ensure eligible purchasers benefit from these changes as soon as possible, to help them buy their first home.

"Any first home buyers eligible for the new thresholds who need to pay duty under the previous thresholds at settlement can apply for a refund when the system changes are implemented."