WA & SA First Home Buyer Loans 2026-27: $600K Stamp Duty Exemption vs Full Abolition

Western Australia and South Australia have taken two different paths on first home buyer stamp duty. WA has lifted exemptions three times through incremental threshold increases — the latest on 7 May 2026 taking the established home exemption to $600,000 and the concession to $800,000. SA went for full abolition on new builds, no questions asked, no price cap. Here is how each jurisdiction stacks up and which approach saves you more money.

WA: Three Rounds of Threshold Lifts

WA's approach has been gradual but aggressive. The 7 May 2026 changes represent the third round of stamp duty relief for first home buyers, building on previous adjustments.

Stamp Duty Exemption Thresholds

Established and new homes:

Full exemption: Up to $600,000 (up from $500,000)
Concessional rates: $600,001 to $800,000 (up from $700,000)
Previous exemption was $500,000; previous concession ceiling was $700,000
Maximum saving on an established home: $22,515

Vacant land:

Full exemption: Up to $450,000 (up from $350,000)
Concessional rates: $450,001 to $550,000 (up from $450,000)
Maximum saving on vacant land plus build: $25,390

FHOG: $10K, Now Decoupled

The WA FHOG provides $10,000 for newly built or substantially renovated homes, off-the-plan purchases, and owner-builder projects. Key change from 7 May 2026: FHOG eligibility is now decoupled from the FHO rate of duty value cap.

The property cap for FHOG was lifted from $750,000 to $800,000 for properties south of the 26th parallel. Properties north of the 26th parallel retain the $750,000 cap.

Combined benefit example: A first home buyer purchasing vacant land and building a new home can receive $10,000 FHOG plus up to $25,390 stamp duty saving — total benefit of up to $35,390.

Off-the-Plan Concession Extended

WA has extended its off-the-plan concession to 30 June 2028 and expanded it to survey-strata and community title (land) schemes from 12 March 2026. The pre-construction exemption threshold is $800,000, with tapering to 50% above $900,000.

Land Tax

WA's land tax threshold is $300,000 with a flat $300 charge from $300,001 to $420,000, then 0.25 cents per dollar from $420,001 to $1,000,000, rising progressively to 2.67 cents per dollar above $11,000,000. The principal residence exemption is available. A Metropolitan Region Improvement Tax of 0.14 cents per dollar above $300,000 applies in the Perth metro area.

Build-to-rent developments now receive a 75% land tax exemption (up from 50%, announced February 2026).

Foreign Buyers in WA

WA imposes a 7% foreign buyer stamp duty surcharge on the dutiable value of residential property acquired by foreign persons or entities, effective since 1 January 2019. A new foreign transfer duty exemption for build-to-sell developments (net addition of at least one dwelling) was introduced.

SA: Full Stamp Duty Abolition on New Builds, No Cap

South Australia's approach is simpler and more absolute. Since 6 June 2024, stamp duty has been fully abolished for first home buyers purchasing or building a new home, off-the-plan apartment, or vacant land to build a new home. There is no property value cap — the benefit applies regardless of price.

What Qualifies

Newly constructed homes
Off-the-plan apartments
Vacant land to build a new home
Contracts signed on or after 6 June 2024

What Does NOT Qualify

Established (existing) homes — no stamp duty relief at all for existing dwellings
Foreign purchasers (foreign ownership surcharge no longer eligible for relief from 13 February 2025)

Tightened Eligibility from 13 February 2025

SA tightened rules on 13 February 2025: applicants are now ineligible if they or their spouse have previously held any residential property interest anywhere in Australia. The foreign ownership surcharge portion is no longer eligible for FHB relief.

FHOG: $15K, No Price Cap

SA's FHOG is $15,000 for new builds — midway between NSW/VIC ($10,000) and QLD ($30,000). The property value cap was removed on 6 June 2024 (previously $575,000 metro / $450,000 regional). The application deadline is 12 months from completion of the eligible transaction.

Eligibility requires Australian citizenship, permanent residency, or NZ Special Category visa, at least 18 years of age, and 6 months continuous occupation as principal residence within 12 months of settlement.

Land Tax

SA's land tax threshold for 2026-27 starts at $936,000 (Threshold A, up from approximately $833,000 due to indexation). Rates range from 0.5% above $936,000 up to 2.4% above $3,504,000. Trust-held land has a much lower starting threshold of $25,000. Notably, SA does not impose a foreign owner surcharge on annual land tax — one of few states without this additional cost.

Seniors Downsizing Relief

From 25 March 2026, SA introduced stamp duty relief for seniors aged 60+ downsizing into new homes up to $2 million.

WA vs SA: Which Saves More?

For a $700,000 new house-and-land package:

WA: $0 stamp duty (under $800K concession threshold) + $10,000 FHOG = $10,000 net cash + stamp duty saving
SA: $0 stamp duty (full abolition, no cap) + $15,000 FHOG = $15,000 net cash + stamp duty saving

SA wins on cash benefit due to the higher FHOG. But for an established home:

WA: $0 stamp duty up to $600,000; reduced duty to $800,000
SA: $0 relief. Established homes get nothing in SA.

WA is the better choice if you want to buy an existing home. SA is better if you're committed to building new, especially at higher price points where WA's concession phases out above $800,000 while SA's abolition has no cap.

FAQ

Can I get the FHOG in WA without the stamp duty exemption? Now yes. From 7 May 2026, FHOG eligibility is decoupled from the FHO rate of duty value cap. You can still get $10,000 even if your property exceeds the stamp duty concession thresholds.

Does SA really abolish stamp duty with no upper price limit? Yes. Since 6 June 2024, there is no property value cap on the abolition. A $1.5 million off-the-plan apartment attracts $0 stamp duty for an eligible first home buyer. The only restriction is it must be a new build.

What if I previously owned property interstate? In SA, from 13 February 2025, any prior residential property ownership anywhere in Australia — by you or your spouse — disqualifies you. WA has similar rules about never having owned residential property in Australia.

Are land tax thresholds indexed in both states? SA indexes its land tax thresholds annually based on Valuer-General site value changes. WA has not indexed or changed its $300,000 threshold recently.

Which state is better for foreign buyers? Neither is particularly foreign-friendly. WA charges 7% surcharge stamp duty. SA charges 7% surcharge and no longer allows foreign buyers to claim FHB relief on the surcharge portion. Both still have 7% surcharges, below NSW's 9% and matching the general range. SA's lack of foreign owner surcharge on annual land tax is a minor advantage for holding investment properties.