When is stamp duty needed?

[cimbom]

Hello,

I was just wondering at what stage in the buying process do you need to show that you have enough money to cover full stamp duty? I notice on the NSW gov't website it states that you have three months from exchange to pay it but would it be possible to get finance approved without showing that you have the full amount already saved? I just need about six weeks or so to put it together.

Thanks

 

[Aaron_C]

Usually you would need to show that after approval but you would need to show it before settlement otherwise the bank won't settle.

 

[pennyk]

Last year, our stamp duty was included in our borrowings for our new PPOR, and it was paid as part of the settlement process. So, we didnt need to save up for it at all.
In previous purchases, I think we have had to pay it prior to settlement, so I'm not sure if there has been a rule change.

 

[Jamie M]

Hello,

I was just wondering at what stage in the buying process do you need to show that you have enough money to cover full stamp duty? I notice on the NSW gov't website it states that you have three months from exchange to pay it but would it be possible to get finance approved without showing that you have the full amount already saved? I just need about six weeks or so to put it together.

Thanks

When you apply for the loan you need to demonstrate that you have sufficient "funds to complete" the purchase.

Cheers

Jamie