Stamp duty waived, first homeowners grant expanded for all first home buyers who buy or build new homes

The state government has announced a major new policy to help first homeowners build or buy new homes.

The state government has announced major changes to stamp duty concessions and the First Home Owners Grant scheme.

Stamp duty will be abolished for all first home buyers who build or buy new homes in South Australia – and the first homeowners grant eligibility will be expanded.

Ahead of this week’s state budget, Premier Peter Malinauskas announced that eligibility for stamp duty exemptions and the grant will no longer depend on the value of the property.

Previously, the concessions had only applied for properties with a value of up to $650,000.

From this week, they will be available to all first home owners who buy a new home, off-the-plan, a house and land package or vacant land to build on.

“Starting on Thursday, when that budget is handed down, there will no longer be a dollar of stamp duty for any new build for any new homebuyer in South Australia,” Mr Malinauskas said on Tuesday.

“This is one of the biggest shake-ups and tax reductions that we’ve seen when it comes to the cost of building and land in our state in its history.

Master Builders SA chief executive Will Frogley, Premier Peter Malinauskas and Treasurer Stephen Mullighan make the announcement at Seaton on Tuesday. Picture: NewsWire/Roy VanDerVegt

“And we’re able to do it because we’ve been thinking hard about the investments that we make as a government and prudent budget management.”

Mr Malinauskas said the announcement went “one better” on Labor’s pledge to introduce no new taxes.

“(This) has a very specific objective – and that is to see more new homes being built,” he said.

“The only serious way that you address a housing crisis is to increase housing supply.”

Master Builders SA chief executive Will Frogley said the concessions will save eligible buyers $50,000 on a $750,000 property.

“That’s a heck of a lot of money for anyone, but especially a first homebuyer,” he said.

He said the policy was “a huge win” and “something that we’ve dreamed of for a long time”.

“Make no mistake, this is a great day for any South Australian who dreams of building their own home,” he said.

Opposition Leader David Speirs said it was disappointing there is no relief for people who want to buy an existing property. Picture: NCA NewsWire/Morgan Sette

“It’s also a great day for builders, suppliers, tradies, apprentices and the more than 80,000 South Australians who are employed in our industry.”

Property Council SA executive director Bruce Djite also welcomed the announcement, and said the organisation looks forward to the release of the government’s Housing Roadmap on June 25.

“Demand side measures must also be balanced by policy that alleviates the more complex supply side constraints and attracts investment, incentivises projects and unlocks industry capacity to deliver housing,” he said.

Opposition Leader David Speirs said the Liberals had been calling for the current threshold for stamp duty relief to be lifted.

“Today’s announcement is an acknowledgement that the current scheme has been a spectacular failure as the eligibility criteria is far too restrictive,” he said.

Mr Speirs said it was disappointing there was no relief for people who want to buy an existing property.

“Not all first home buyers can or want to build a new home, which is why we’ve been calling on the Malinauskas Labor Government to introduce a $10,000 stamp duty reduction on established properties valued up to $750,000,” he said.

“A Speirs Liberal government elected in 2026 is committed to providing stamp duty relief for first home buyers who wish to purchase an existing home.”

Current stamp duty on a $1m property is $48,830, on a $800,000 property is $37,830 and on a $600,000 property is $26,830.