NSW property stamp duty is the common name for transfer duty, a state tax that generally applies when property in NSW is purchased or transferred. The amount is usually calculated on the property’s dutiable value, which Revenue NSW defines as the higher of the purchase price or market value.
That rule matters when a property is transferred between family members, gifted, sold below market value or acquired through another non-arm’s-length arrangement. A lower price does not necessarily produce lower duty.
This guide explains stamp duty in NSW for home buyers and investors using the 2026–27 rates published by Revenue NSW. Rates, thresholds and schemes can change, so calculate the amount for the contract date and obtain professional advice for the transaction.
NSW Property Stamp Duty at a Glance
Transfer duty applies to many property transactions in New South Wales, including purchases of residential property, investment property and vacant land. The purchaser or transferee is generally responsible for the duty payable.
Revenue NSW applies a sliding scale to the dutiable value. Premium duty can apply to high-value residential property, while eligible first home buyers may receive an exemption or concessional rate.
The solicitor or conveyancer usually arranges the assessment and payment as part of settlement. Duty is generally due by the earlier of settlement or three months after signing the contract.
Property type can affect eligibility, so confirm any stamp duty concession before relying on a stamp duty NSW estimate.
What Is Transfer Duty?
Transfer duty is a state government tax levied on acquisitions and transfers of dutiable property. Many people still call it stamp duty or land transfer duty.
It is separate from land tax, mortgage registration charges, transfer fees and other government fees. Those property costs should be budgeted separately.
Who Has to Pay Stamp Duty?
A person buying property in NSW will generally pay stamp duty unless a specific exemption or concession applies. This includes an owner-occupier, an investor and a person who acquires an interest in an existing property.
Different rules can apply to trusts, companies, foreign buyers, deceased estates, relationship breakdowns and other transfers. Do not assume a transfer is exempt because no cash changes hands.
How Property Value Determines Duty
Revenue NSW calculates duty on the higher of the consideration and the property’s unencumbered market value. Consideration is broadly what the seller receives for the transfer.
The value of the property is assessed without subtracting a mortgage. Home loan repayments and borrowing capacity do not reduce the dutiable value.
Purchase Price versus Market Value
In an ordinary arm’s-length sale, the property purchase price is usually accepted as market value. A competitive auction can provide strong evidence because unrelated buyers are bidding openly.
If a parent sells a $900,000 home to an adult child for $600,000, the relevant value may still be $900,000. Duty would then be calculated on the higher amount, subject to Revenue NSW assessment. For more on family transfers, read our guide to transferring property to family.
When A Property Valuation Signed By A Valuer Is Required
Formal evidence may be required where there is no consideration, consideration is non-monetary, the parties are related, no selling agent is involved, one legal firm represents both sides, the transaction involves a fractional interest, or Revenue NSW doubts the stated amount.
Revenue NSW says an accepted valuation must be prepared by a suitably qualified person, show full market value in the property’s present condition, relate to the transaction date or an acceptable period, and indicate that an inspection occurred.
Current NSW Duty Rate for 2026–27
The general stamp duty rates below apply to the 2026–27 financial year and were last checked on 30 July 2026. Revenue NSW adjusts general and premium thresholds annually for CPI.
NSW stamp duty rates table (2026–27)
Dutiable value | Transfer duty rate |
$0 to $18,000 | $1.25 per $100, minimum $20 |
$18,001 to $38,000 | $225 plus $1.50 per $100 over $18,000 |
$38,001 to $103,000 | $525 plus $1.75 per $100 over $38,000 |
$103,001 to $387,000 | $1,662 plus $3.50 per $100 over $103,000 |
$387,001 to $1,290,000 | $11,602 plus $4.50 per $100 over $387,000 |
Over $1,290,000 | $52,237 plus $5.50 per $100 over $1,290,000 |
These are marginal bands, not one flat percentage applied to the entire property price. Always use the official duty calculator for an estimate.
Premium Rate for Residential Property
For 2026–27, premium duty applies to residential property above the published $3,870,000 threshold. The premium rate is $194,137 plus $7 for every $100 over $3,870,000.
Special treatment may apply where residential land exceeds two hectares or part of a property has business use. A solicitor or conveyancer should determine the correct calculation.
How to Calculate Stamp Duty
First establish the dutiable value. Then select the rate year using the contract date, or the transfer date where there is no contract.
Apply the relevant formula, then check whether an exemption, concession, surcharge or premium rate changes the result. Include the estimate among the upfront costs before signing.
Use the Official NSW Stamp Duty Calculator
The Revenue NSW calculator is the authoritative online starting point. Enter the transaction type, date, dutiable value and purchaser information accurately.
A commercial stamp duty calculator can be useful for broad planning, but it may contain old thresholds or simplified assumptions. Confirm the result with the official NSW stamp duty calculator and legal representative.
Revenue NSW Calculator Limitations
An estimate is not an assessment. The revenue office may request evidence, change the dutiable value or apply rules not captured by a simple duty calculator.
For related-party, trust, foreign purchaser, business-use or unusual property purchases, obtain advice before relying on an online figure.
Stamp Duty Exemptions and Concessions
Stamp duty exemptions and concessions depend on detailed eligibility rules. A full stamp duty exemption is not automatic merely because the buyer has not previously owned property.
The NSW Government offers assistance for eligible first-home purchases, as well as specific exemptions or concessions for certain other transactions. Each scheme has its own documentation, timing and residence requirements.
First Home Buyers Assistance Scheme
For relevant transactions under the current settings, an eligible first home buyer may pay no transfer duty on a new or existing home with a dutiable amount of $800,000 or less. A concessional rate applies above $800,000 and below $1 million.
For eligible vacant land, the exemption threshold is $350,000, and the concession range is above $350,000 and below $450,000. These thresholds and eligibility rules should be checked for the liability date.
Australian Citizen and Permanent Resident Rules
The First Home Buyers Assistance Scheme includes purchaser and prior-ownership rules. For current transactions, occupation must start within 12 months after completion and continue for at least 12 months.
Do not infer eligibility from the terms Australian citizen, permanent resident or first home buyer alone. Have the conveyancer check every purchaser and the intended use as a primary residence.
Recent Changes to NSW Stamp Duty
- First Home Buyer Choice, which let first home buyers pay a yearly property tax instead of stamp duty, closed to new applications on 1 July 2023. Buyers who opted into it before then are not affected.
- For contracts from 1 July 2023, first home buyers pay no duty on a home worth up to $800,000, and a reduced amount (a concession) below $1 million. For vacant land, there is no duty up to $350,000 and a concession below $450,000. These thresholds are not indexed, so they don’t rise each year.
- The general and premium rate bands rise with CPI (inflation) each year.
Vacant Land and House and Land Packages
If you purchase vacant land, duty is generally calculated on the dutiable value of what is acquired. A separate construction contract may have a different duty result from one combined contract.
House and land packages and off-the-plan agreements require careful contract review. Improvements included in the transaction can affect what is dutiable.
Off-the-Plan Payment Deferral
An eligible off-the-plan buyer intending to use the completed home as a principal place of residence may be able to defer payment for up to 12 additional months. The deferral is not available for an investment property or a holiday home.
The Revenue NSW rules include purchaser-status, contract and occupation requirements. A legal representative should manage the application and notify Revenue NSW if circumstances change.
Foreign Purchaser Surcharge
A foreign person acquiring residential-related property may have to pay surcharge purchaser duty in addition to ordinary transfer duty. Revenue NSW states that the current surcharge is 9 per cent of dutiable value.
The definition of a foreign person can be complex for individuals, corporations and trusts. Status may also affect an off-the-plan deferral or other assistance.
Foreign Buyers Should Check before Exchange
Foreign buyers should obtain advice before entering the contract, particularly where a trust or company is involved. A future change in residency may not remove liability arising at the transaction date.
The surcharge is a separate state tax and can materially change stamp duty costs. Do not rely on a general home loan or property calculator.
Investment Property and the Property Market
First-home assistance and principal-place concessions may not apply when purchasing property for investment. An investor should budget for ordinary duty unless eligibility for a specific relief is confirmed.
Duty is an acquisition cost and can affect total cash required, loan structure and investment returns. Interest rates and the property market do not directly change the statutory formula, but they can affect affordability and the right property choice.
When Must Duty Be Paid?
Revenue NSW says duty is generally payable by the earliest of settlement or three months after the agreement, transfer or deed. Daily interest can apply when payment is overdue.
The solicitor or conveyancer normally pays on the purchaser’s behalf. Verify account details because duty-payment scams can target property settlements.
Add Duty to Upfront Costs
Budget the deposit, duty, legal work, searches, inspections, lender charges and other fees. Transfer duty is not usually covered by the property value used to calculate an ordinary home loan.
A higher-than-expected valuation for duty can create an additional cash requirement. Confirm funding before exchange rather than treating duty as a later property cost.
Official guidance: Revenue NSW transfer duty guidance; Revenue NSW duty calculation guidance; Revenue NSW First Home Buyers Assistance Scheme.
Frequently Asked Questions
Can a Low Purchase Price Reduce Duty?
Only where that price also reflects the accepted market value. A discounted family transfer can still be assessed on full market value.
Does a First Home Buyer Always Receive a Concession?
No. First home buyers must meet the scheme rules and value thresholds, apply correctly and satisfy residence requirements.
Can I Still Pay Stamp Duty Annually in NSW?
No. First Home Buyer Choice closed to new applications on 1 July 2023. Buyers who opted into the annual property tax before then are not affected.
Is Stamp Duty the Same as Land Tax?
No. Transfer duty commonly arises when property is acquired, while land tax is a separate annual tax that may apply to landholdings.
When Should I Obtain a Market Valuation for Duty?
A valuation may be required when the transaction is not at arm’s length, the consideration is below market value, or Revenue NSW requests evidence. Confirm the requirements with your conveyancer or adviser.
Get Professional Advice on Value and Duty
Understanding stamp duty starts with the correct dutiable value, rate year and purchaser status. A current valuation can be especially important for related-party, gift, fractional-interest and other non-arm’s-length transfers.
Duo Tax can assist with independent property valuation services for suitable transfer-duty purposes. Your solicitor or conveyancer can then calculate the duty, lodge documents and advise on exemptions, concessions and payment.
General information only: This article reflects public information checked on 30 July 2026. It does not take into account your circumstances and should not be relied on as legal, tax or financial advice. Obtain advice from a qualified conveyancer, solicitor, valuer or tax professional before acting.
