Queensland moves to abolish stamp duty for first home buyers

The Queensland government has introduced legislation to remove stamp duty on new builds and land for eligible first home buyers from January 2025.

The Real Estate Institute of Queensland (REIQ) welcomed the proposed changes aimed at improving housing affordability.

“With Queensland’s home ownership rate sitting at 63.5%, the lowest of any state in the nation, this is a welcome measure to help more people achieve the Great Australian Dream,” REIQ Acting CEO Kat Beavon said.

Queensland faces unique housing pressures with population growth of 2.3 per cent, exceeding the national rate of 2.1 per cent.

The state recorded a population increase of 125,800 in the year to June.

“Eliminating stamp duty for first home buyers purchasing new builds eases upfront cost burdens. Coupled with the ability to rent out rooms within the first homes, these are practical steps to remove financial hurdles and restraints,” Ms Beavon said.

The REIQ called for broader reform to abolish stamp duty across all property transactions through a gradual transition to a broad-based land tax.

“Stamp duty is one of the most significant barriers to home ownership for many Queenslanders,” Ms Beavon said.

The peak body argued the tax discouraged housing turnover and delayed property ownership aspirations.

Ms Beavon noted the opportunity to negotiate improved GST outcomes with the Federal Government following recent support from the Housing Minister for phasing out stamp duty.