How QLD Stamp Duty Actually Works

Queensland calls it transfer duty, but most people still call it stamp duty. Whatever you call it, it’s one of the biggest costs when buying property in QLD – and knowing exactly how it’s calculated can save you from a very nasty surprise at settlement.

Stamp duty is usually the biggest line on your settlement statement after the deposit itself. It’s also the one everyone forgets to factor in until they’re squinting at a quote and wondering why they need another ten grand. Here’s how QLD transfer duty actually works, what concessions you might qualify for, and how to avoid the traps.

If you’d rather just punch in your numbers, run them through our stamp duty calculator – it handles the four most common scenarios (owner-occupier, first home buyer, investor, and foreign buyer) using the current QRO rates.

TLDR:

Queensland stamp duty (officially “transfer duty”) is calculated on your purchase price and can be your biggest cost after the deposit. First home buyers buying under $700,000 pay zero. Owner-occupiers get a discounted rate. Investors and buyers through companies or trusts pay the full general rate. Foreign buyers cop an extra 8% on top. You’ve got 30 days from contract going unconditional to pay it – not settlement day. Run your numbers through our calculator or talk to us before you sign if your situation’s anything other than straightforward.

 

What stamp duty actually is (and what it’s officially called)

In Queensland, “stamp duty” is officially “transfer duty” – the tax the state collects when property changes hands. It’s paid by the buyer, calculated on the contract price, and lodged with the Queensland Revenue Office (QRO). The rate you pay depends on three things: the purchase price, whether you’ll live in the property, and whether it’s your first home.

It’s usually the biggest upfront cost after your deposit, so knowing roughly what you’re up for before you sign the contract is pretty important.

The general rate (investors and everyone who doesn’t qualify for a concession)

If you’re buying an investment property, or buying through a company or trust, or you’re not going to live in the place, you pay the general transfer duty rate. It’s a sliding scale – the higher the price, the higher the rate on the top slice:

• Up to $5,000 – no duty
• $5,001 to $75,000 – 1.5% of the amount over $5,000
• $75,001 to $540,000 – $1,050 plus 3.5% of the amount over $75,000
• $540,001 to $1,000,000 – $17,325 plus 4.5% of the amount over $540,000
• $1,000,001 and above – $38,025 plus 5.75% of the amount over $1,000,000

On a $750,000 investment property, you’d pay around $26,775 in general duty.

The home concession (owner-occupiers)

Buying to live in it yourself? You qualify for the home concession rate, which is noticeably cheaper than the general rate – especially on properties under $350,000. The first band drops from 1.5% all the way down to 1%, and the concession stacks from there.

The catch: you have to move in within 12 months of settlement and live there for at least 12 months. Move out early or rent it out within that window and QRO claws back the difference between what you paid and the general rate. So if you’re planning to buy a place, live in it for a few months, then rent it out – don’t claim the home concession.

The first home concession (this is the big one)

If it’s genuinely your first home anywhere in the world, and you meet the eligibility criteria, the first home concession can knock your transfer duty all the way down to zero:

• Established homes up to $700,000 – full exemption, you pay nothing
• Established homes between $700,000 and $800,000 – partial concession on a sliding scale
• Brand new homes (contract dated 1 May 2025 or later) – full exemption, no price cap
• Vacant land to build your first home on – full exemption, no price cap

To qualify, you need to be an Australian citizen or permanent resident, over 18, and move in within 12 months. You also can’t have owned property before – anywhere, not just Australia. If you owned a studio in London in your twenties, that disqualifies you. It’s worth flagging if your situation’s unusual, because the “previously owned overseas” test trips people up.

Foreign buyers and the 8% AFAD surcharge

If you’re not an Australian citizen or permanent resident, Additional Foreign Acquirer Duty (AFAD) adds 8% of the property value on top of whatever standard transfer duty you’d owe. So on a $750,000 home:

• Home concession rate: $19,600
• AFAD (8%): $60,000
• Total: $79,600

Rules around companies and trusts with foreign interests get complicated fast – if there’s any foreign ownership or control in the buying entity, AFAD can apply. Get advice before you sign.

When you actually have to pay it

Transfer duty is payable within 30 days of the contract going unconditional – not at settlement. In practice, most buyers pay it through their solicitor at settlement, and the solicitor lodges everything with QRO. But if settlement gets delayed past that 30-day window, interest and penalties start ticking up. This is one of the things we handle for you as part of a standard conveyance so you’re not fielding QRO letters on top of everything else.

The concessions and edge cases the calculator doesn’t cover

Our calculator handles the four main scenarios, but there are plenty of situations where the numbers aren’t that clean:

• Off-the-plan concessions
• Mixed-use properties (shop downstairs, flat upstairs)
• Partial interest transfers (buying 50% from a parent, say)
• Related-party discounts
• Deceased estate transfers
• Trust structures (discretionary, family, unit, SMSF)
• The “previously owned a home overseas” edge cases

If any of these apply, the number your solicitor calculates can be meaningfully different from a generic online estimate. Worth a quick call before you sign anything.

Common traps we see every week

Claiming the home concession when you shouldn’t. If you’re buying as an investor and tick the owner-occupier box to save on duty, QRO will eventually catch it and send a bill for the difference plus interest and penalties. Not worth it.

Forgetting that unit trust purchases trigger AFAD. If any unit holder is a foreign person and their combined interests hit 50% or more, AFAD applies to the whole transaction, not just their slice.

Missing the first home concession by a few dollars. On an established home at $701,000 you lose tens of thousands in duty savings compared to $700,000. Worth negotiating hard at that threshold.

Settling late and forgetting the 30-day clock. If your settlement is delayed for any reason, QRO interest starts accruing 30 days after contract goes unconditional. Keep your solicitor across the dates.

The bottom line

Stamp duty isn’t rocket science, but the concessions and exceptions matter – the difference between the general rate and the first home concession on a $650,000 house is about $23,000. Worth getting right.

If you want a ballpark figure, our calculator will get you 90% of the way there in about 15 seconds. If your situation’s anything other than standard – trusts, foreign buyers, off-the-plan, mixed-use, related-party – give us a shout and we’ll run the exact number on your contract before you sign.

QLD stamp duty worked examples: what does it actually cost?

Rates are one thing. Real dollars are another. Here’s what transfer duty actually looks like at a few common price points using current QRO rates.

$500,000 established home (first home concession, eligible buyer): $0. Full concession applies on established homes at or below this price point.

$500,000 established home (home concession, owner-occupier): $8,750. You’re living in it but it’s not your first home – so you get the cheaper owner-occupier rate, not the first home exemption.

$500,000 investment property (general rate): $15,925. No concession, full rate from the first dollar.

$600,000 established home (home concession): $12,850. You’re past the first home concession threshold for established properties, so you pay the home rate.

$600,000 investment property (general rate): $20,025. The 4.5% band kicks in above $540,000 and it adds up quickly.

$750,000 home (home concession): $19,600. Around $7,175 cheaper than the general rate.

$750,000 investment property (general rate): $26,775. Still cheaper than most people expect for a property at that price, but a real number to plan around.

$800,000 investment property (general rate): $29,025. Every $50,000 over $540,000 adds $2,250 to your duty bill.

The difference concessions make: The gap between general rate and first home concession on a $500,000 property is $15,925. On a $650,000 property, the gap between general rate and home concession is around $7,000. These aren’t rounding errors – they’re real money worth qualifying for.

For exact calculations including your scenario, use our calculator or talk to our team before you sign.

Frequently asked questions about QLD stamp duty

Do I pay stamp duty when I sell a property in QLD?

No. Transfer duty is paid by the buyer, not the seller. As a seller, transfer duty isn’t your concern – though you’ll have your own transaction costs through your solicitor.

Can I add stamp duty to my home loan?

Lenders won’t usually lend you money specifically to cover stamp duty – they lend against the property’s value, not transaction costs. In practice, this means you need to have the stamp duty amount available as part of your deposit or genuine savings. Some lenders will lend above 80% LVR and include some costs, but stamp duty is generally expected to come from your own funds. Check with your broker before you sign.

Is stamp duty different for off-the-plan purchases in QLD?

Yes and no. The rate calculation is the same, but the timing can be different. For off-the-plan purchases, duty is typically assessed on the contract price at the time of signing – not the completed value. This is generally favourable for buyers since the value usually increases by the time the property is built. However, first home concession eligibility for off-the-plan is subject to its own rules, particularly around the $750,000 threshold for new homes. Get advice specific to your contract before assuming you qualify.

What happens to stamp duty if my purchase falls through after I’ve paid it?

If you’ve paid transfer duty and the contract is terminated (or rescinded), you can apply to QRO for a refund. The process depends on why the contract ended. Terminations during the cooling-off period or due to a contract condition are generally refundable. Your solicitor handles the refund application as part of winding up the matter.

Do I pay stamp duty on a property I inherit?

Generally no. Transfers from deceased estates to beneficiaries are usually exempt from transfer duty in Queensland. However, if the estate sells the property and then distributes cash, different rules apply. If you’re navigating an estate property transfer, it’s worth getting advice – the exemptions aren’t automatic in all cases.

 

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