May 23, 2017
Chris Le Claire
On 1 July 2017 the Victorian Office of State Revenue is changing how it calculates stamp duty on off the plan purchases.
Currently, the stamp duty is calculated on the 'improved value' of the land. That means that until the building starts to come out of the ground it is calculated on the land value alone, split between all the apartments in the complex.
This is not just a first home purchase concession, this is available to everyone, owner occupier or investor.
What does this mean? If you exchange before 30 June 2017 the stamp duty is under current system. From 1 July 2017, it is calculated on the value of the purchase. For example a $500,000 purchase could cost approximately $2,500 in stamp duty if you exchange before 30 June or approximately $25,000 from 1 July.
The stamp duty concession alone is not enough of a reason to invest, however if you are already looking to invest then it's definitely worthwhile to consider. I work with several property specialists that have quality stock available, so if you would like to explore your options, please let me know. You can reach me anytime on 0416 226 624 or on firstname.lastname@example.org.