Stamp Duty
- Thread starter keenas
- Start date
Hi keenas,
buying what off the plan? Apartment, or house/duplex? Some more info...
You shouldn't be paying the full amount of stamp duty as it would be levied against the finished product (end value).
You will pay an amount equivalent to the land component that the property has apportioned to it, i.e: less if it is an apartment in a large development and more if it house and land package or a duplex, townhouse or similar.
The benefit is the amount you save by B.O.F. against buying when the product is finished...higher value has higher stamp duty levied against it.
I have purchased in QLD (brand new 4 BR box on land) as a house and land package and only paid stamp duty on the land at outset.
buying what off the plan? Apartment, or house/duplex? Some more info...
You shouldn't be paying the full amount of stamp duty as it would be levied against the finished product (end value).
You will pay an amount equivalent to the land component that the property has apportioned to it, i.e: less if it is an apartment in a large development and more if it house and land package or a duplex, townhouse or similar.
The benefit is the amount you save by B.O.F. against buying when the product is finished...higher value has higher stamp duty levied against it.
I have purchased in QLD (brand new 4 BR box on land) as a house and land package and only paid stamp duty on the land at outset.
Strictly speaking you pay stamp duty on the value of the property at the time of signing the contract. Prior to construction commencing, that's only on the land component.
In many appartment buildings, the land value of the individual units is quite low, so the stamp duty is minimal.
Keep in mind though, the building depreciates (goes down in value over time), whilst the land becomes more scares, so it goes up in value. Properties with the best capital growth tend to be those with a high land value.
In many appartment buildings, the land value of the individual units is quite low, so the stamp duty is minimal.
Keep in mind though, the building depreciates (goes down in value over time), whilst the land becomes more scares, so it goes up in value. Properties with the best capital growth tend to be those with a high land value.
In Queenland, the term stamp duty isn't used anymore; the terms are mortgage duty and transfer duty. Mortgage duty was previously stamp duty on the loan; it has been abolished from July 1st, 2008. Transfer duty was previously called stamp duty on the property. See PT_Bear's post and the OSR website for more info.
http://www.osr.qld.gov.au/taxes/duties/faq/transfer/index.shtml
http://www.osr.qld.gov.au/taxes/duties/faq/transfer/index.shtml
