The Victorian Government announced the abolition of stamp duty for first home buyers who purchase new or established homes from 1 July 2017.
Main features summarised
Purchases of $600,000 or less are exempt from paying stamp duty.
Reduced duty will apply for purchases between $600,001 and $750,000.
You must be eligible for the First Home Owner Grant (FHOG) – see link below.
The home must be used as your principle place of residence for a continuous period of 12 months starting within 12 months of completing your purchase.
The exemption does not apply to contracts signed before 1 July 2017.
How much deposit do I need
The deposit that you need to purchase an established home will vary depending on the lender and loan product chosen. The following table is a guide to the minimum deposit required.
Purchase price Deposit required
$400,000 $24,500 to $34,500
$500,000 $30,000 to $42,500
$600,000 $35,000 to $50,000
Most lenders require that 5% of the purchase price be ‘genuine savings’. This means the money must have been saved or held for a minimum of 3 months prior to purchase.
For more information the following link is recommended