Login
First home buyers in ACT exempt from paying stamp duty
First home buyers in the ACT will soon be exempt from stamp duty under new budget reforms designed to reduce upfront purchase costs and help more residents enter the market.
The ACT government has announced first home buyers will be exempt from paying stamp duty from 1 July as part of its 2026–27 budget, delivering on an election pledge.
The territory currently has an exemption for homes under $1 million for purchasers who meet certain income eligibility requirements, but the expansion of the policy will make it the first jurisdiction to fully abolish the tax for first home buyers.
Stamp duty exemptions will also be expanded to pensioners, eligible National Disability Insurance Scheme (NDIS) participants, and all home buyers who have not owned property in the last five years.
Chief Minister Andrew Barr said stamp duty had long been one of the biggest upfront hurdles to entering the housing market, but now more Canberrans could purchase properties sooner.
He also said extending stamp duty relief to pensioners will give older Canberrans more choice to downsize and match their housing to their needs, freeing up larger homes for growing families.
In addition, the government will also roll out a major package of tax cuts to support the development of the ‘missing middle’.
The reforms will include removing stamp duty on all new unit-titled properties bought by owner-occupiers and continuing the concession for owner-occupiers buying off-the-plan units.
The government will also expand the stamp duty concession to all turn-key units, and introduce a time-limited 50 per cent reduction in the codified Lease Variation Charge for missing middle developments.
Additionally, the Canberra House Pattern Book will be rolled out, featuring a collection of pre-approved plans for missing-middle homes selected through a design competition.
Home owners, developers, and builders will be able to access the ready-to-build designs for $1000, and projects can proceed without a development application, providing greater certainty and accelerating project delivery timeframes.
Treasurer and Minister for Planning and Sustainable Development, Chris Steel, said the reforms will allow overall development costs to be lowered and more ‘missing middle’ housing projects to be brought forward sooner.
“Every Canberran that buys a new unit-titled ‘missing middle’ home to live in won’t pay a cent in stamp duty,” he said.
“The Pattern Book will fast-track more low-rise ‘missing middle’ homes that are well-designed and will fit in well with Canberra’s streets and climate.”
Want to see more stories from trusted news sources?
Make Smart Property Investment a preferred news source on Google.
Click here to add Smart Property Investment as a preferred news source.