First home owner and off-the-plan duty changes

Changes have been introduced to the value caps for vacant land and established homes in WA that qualify for the first home owner concessional rate of duty, along with measures to extend and expand the off-the-plan duty concession.

The changes apply to transactions entered into from 21 March 2025.

RevenueWA expects to configure its systems to apply the new rates in early May 2025. Any eligible transactions entered into on or after 21 March 2025 that settle before the changes are implemented can be reassessed for a refund of duty after settlement.

Transfer duty – First home

First home owners buying an established or new home, or buying vacant land and then entering onto a contract to build a home on it and receiving a first home owners grant, can apply to be assessed at the first home owner rate of duty.

When the unencumbered value of a first home in Perth and Peel is:

• up to $500,000 – no duty is payable;
• between $500,001 and $700,000 – $13.63 per $100, or part thereof, above $500,000 is payable;
• over $700,000 – full duty is payable, and no reduced rate applies.

When the unencumbered value of a first home in regions outside Perth and Peel is:

• up to $500,000 – no duty is payable;
• between $500,001 and $750,000 – $11.90 per $100, or part thereof, above $500,000 is payable;
• over $750,000 – full duty is payable, and no reduced rate applies.

When the unencumbered value of vacant land purchased by an eligible first home buyer anywhere in WA, is:

• up to $350,000 – no duty is payable;
• between $350,001 and $450,000 – $15.39 per $100, or part thereof, above $350,000 is payable;
• over $450,000 – full duty is payable, and no reduced rate applies.

Off the plan duty concession

For new off-the-plan homes within strata developments:

• the expiry date of the existing duty concession is extended from 30 June 2025 until 30 June 2026;
• no duty is payable for dwellings purchased before construction has commenced up to $750,000, with a 50% duty concession for properties valued above $850,000; and
• a 75% duty concession is available for dwellings purchased while under construction up to $750,000, with a 37.5% duty concession for properties valued above $850,000.

This applies to all dwellings within strata and community title schemes, including townhouses and villas, not just multi-tiered developments.

Publication updates

The By Lawyers Purchase of Real Property (WA) guide has been updated, including the commentary and the Retainer Instructions – Purchase of Real Property.