Stamp duty for first home buyers will be cheaper in Queensland

Queensland Premier Steven Miles has announced another significant spending measure in Tuesday’s budget as he prepares for an October election.

Queensland Premier Steven Miles, who is facing a crushing election defeat later this year, has announced another major spending measure in Tuesday’s state budget.

The Labor government is increasing the stamp duty discount for Queenslanders buying their first home, saving them up to $17,350.

“I want young Queenslanders to have more opportunity than their parents including the opportunity to own their own place. I want that for my kids too,” Mr Miles said on Sunday.

“This is a real cost of living measure, that will also help deliver inter-generational prosperity.

“The concessions will put the dream of owning a first home within reach of more Queenslanders.”

Queensland Premier Steven Miles has announced several major budget measures to help with the cost of living. Picture: NewsWire / Glenn Campbell

Mr Miles, who replaced Annastacia Palaszczuk last December, is preparing for a tough battle at the October 26 election, with polls indicating it will be a struggle for Labor to win a fourth term.

The government has already announced measures in the budget they say are aimed at addressing the cost of living but also with an eye on the election.

They include slashing public transport fares to 50c, $1000 off electricity bills for every household, a 20 per cent discount on car registration for 12 months and more fair play vouchers for kids sport.

The government says the stamp duty concession would make it easier for Queenslanders to buy a home.

The threshold for the first homeowner concession on stamp duty will increase from $500,000 to $700,000, with the concession then phasing out up to values of $800,000.

The first home vacant land concession threshold will also be increased, rising from $250,000 to $350,000, with the concession then phasing out up to values of $500,000.

It is estimated about 10,000 buyers will benefit from the budget measure.

Queensland Treasurer Cameron Dick, Premier Steven Miles and Housing Minister Meaghan Scanlon have announced another measure to help first home buyers. Picture: NewsWire/Tertius Pickard

To offset the demand from increased purchasing power for first home buyers with increased transfer duty concession thresholds, the Miles government has increased the foreign investor land tax surcharge to 3 per cent.

Queensland’s land tax foreign investor surcharge remains lower than the other major states, with both NSW and Victoria setting their surcharges at 4 per cent.

Quotes from Deputy Premier and Treasurer Cameron Dick said foreign buyers will face higher charges to offset the cost of the new measure.

“Foreign investors have had a great run in Queensland, but they compete with Queensland families for real estate, so it’s only fair that they contribute to helping more young Queenslanders into their first home,” Mr Dick said.

“Our approach to revenue ensures tax relief is always offset so we can continue to deliver services and infrastructure, whereas the LNP will cut services because they just reduce revenue to help multinationals.”

Housing Minister Meaghan Scanlon said stamp duty concession was on top of the boosted

First Home Owner Grant and the Queensland government’s participation in the Albanese government’s Help to Buy program.

“As part of the scheme, eligible homebuyers will receive support to purchase their home with an equity contribution of up to 40 per cent for new homes and 30 per cent for existing homes.”

Originally published as Stamp duty for first home buyers will be cheaper in Queensland