Cost of buying a home in Australia
Buying a home in Australia adds roughly 3–6% of the purchase price in taxes and fees on top of the price itself — mainly transfer tax or stamp duty, notary or legal fees, and land-registration costs. On a €300,000 home that is about €9,000 to €18,000. Costs vary by region and property type; estate-agent fees are usually separate. As of 2026.
In Australia the dominant purchase cost is transfer duty — still widely called stamp duty — and it is levied by the state or territory, not by the Commonwealth. Each has its own graduated scale, so the same price produces a different bill in New South Wales, Victoria and Queensland, and the total lands somewhere around 3% to 6% of the price (2026) once conveyancing, the title search and registration are added. Duty is assessed on the greater of the price paid and the property's market value, which matters whenever a sale is not at arm's length, and first-home concessions can remove it entirely below a threshold.
Duty is a state tax, and the scales are not comparable
There is no national transfer duty. Each state and territory sets its own bands and thresholds, and they were not designed to line up: two jurisdictions can quote a similar top rate and still produce noticeably different amounts on the same purchase, because the price at which each band starts is different. Comparing states therefore means running the actual price through each scale rather than comparing headline percentages — the headline is the rate on the last dollar, not the rate on the purchase.
The scales are also steep in the middle. Because duty is graduated and the bands were set years apart from the prices they now meet, a modest increase in price can push a purchase into a band that adds disproportionately to the bill. It is one of the few costs in a transaction where negotiating the price down by a small amount can save more than the amount itself, and it is worth checking where the nearest threshold sits before settling on an offer.
Concessions, and the annual-tax alternative
Every state runs concessions, and they are the largest single variable for a first purchase: full exemption below one threshold, a tapering discount up to a second, and nothing above it. Eligibility usually turns on being a first-time buyer, on the property becoming your home rather than an investment, and on moving in within a set period. Off-the-plan and new-build purchases sometimes attract their own treatment. These thresholds are revised often — they are the part of this page most likely to have moved.
Some jurisdictions have offered an alternative to paying duty up front: an annual property tax instead, chosen at purchase. The trade is the classic one between a large one-off cost and a smaller recurring one, and it turns on how long you expect to hold the property — short holds favour the annual charge, long holds favour paying once. Where such a choice exists it is generally irreversible for that owner, so it is worth modelling both against a realistic holding period rather than a hoped-for one.
FAQ
- Is transfer duty calculated on the price or the value?
- On the greater of the two. Where a property changes hands at less than market value — between family members, or as part of a larger arrangement — duty is assessed on the market value rather than on what was actually paid, and the revenue office can require a valuation. In an ordinary arm's-length sale the two are the same and the price governs.
- Do foreign buyers pay a surcharge?
- Yes, in every state and territory that levies duty, and it is substantial — an additional surcharge on top of the ordinary duty, plus in most places an annual land tax surcharge on top of ordinary land tax. Foreign investment approval is separately required before purchase in most cases. Between the surcharge and the approval fee, a non-resident purchase can cost several times what the same purchase costs a resident.
- What else is in the {costLow}%-{costHigh}% besides duty?
- Conveyancing — a solicitor or licensed conveyancer to run the transfer — a title search and the searches a lender requires, registration of the transfer and of the mortgage, a building and pest inspection where the contract allows one, and lender fees. Duty is by far the largest of these, which is why the range is wide: below a first-home threshold the other items dominate, and above it duty dwarfs them.
Important
This is a general overview, not legal or financial advice. Buying costs in Australia vary a lot by region, property type (new vs existing), price and whether it's a first home; estate-agent fees are usually separate. Figures are a reference as of 2026 and change — get a precise quote before you commit.