WA Stamp Duty 2026-27: First Home Buyers Get Full Exemption Up to $500k

Western Australia's stamp duty regime for 2026-27 continues to offer the lowest headline rates of any Australian state for mid-range properties, but its first-home buyer exemption threshold is the narrowest in the country. Since 21 March 2025, first home buyers in the Perth metropolitan area and Peel region receive a full transfer duty exemption on properties up to $500,000, phasing out to $700,000. In regional WA, the phase-out ceiling rises to $750,000. For a $480,000 first home in greater Perth, an eligible buyer pays $0 stamp duty. A non-first-home buyer at the same price pays $11,115 plus 4.75% of the $120,000 excess over $360,000, totalling $16,815. The state's longstanding historical preference for lower stamp duty rates means a $650,000 Perth property still costs less in duty than an equivalent in Brisbane or Sydney. Foreign purchasers pay an additional 7% surcharge, and the $10,000 First Home Owner Grant stacks on top for new homes. Every dollar of stamp duty is an upfront cost that lenders do not finance, so the difference between full and concessional duty directly reshapes your real cash-to-close number and your borrowing power.

WA Transfer Duty Rates 2026-27: Full Tiered Scale

Western Australia's general transfer duty rates apply to all dutiable transactions unless a concession or exemption intervenes. The rates are calculated on the total dutiable value.

• For a dutiable value up to $120,000: 1.9% of the entire dutiable value.
• From $120,001 to $150,000: $2,280 plus 2.85% of the amount exceeding $120,000.
• From $150,001 to $360,000: $3,135 plus 3.8% of the amount exceeding $150,000.
• From $360,001 to $725,000: $11,115 plus 4.75% of the amount exceeding $360,000.
• Above $725,000: $28,453 plus 5.15% of the amount exceeding $725,000.

How much stamp duty on a $480,000 WA property?

For a non-first-home buyer purchasing a $480,000 home, the transaction falls into the $360,001–$725,000 bracket. The duty is $11,115 plus 4.75% of the amount above $360,000. The excess is $120,000, so the additional component is $5,700. Total transfer duty: $11,115 + $5,700 = $16,815.

This $16,815 is an upfront cost lenders do not finance — it must come from your savings on top of the deposit. If you are aiming for an 80% loan-to-value ratio to avoid lenders mortgage insurance, a $480,000 purchase requires a $96,000 deposit plus $16,815 in duty, pushing your total cash requirement above $112,000 before conveyancing.

How much stamp duty on a $650,000 WA property?

For a $650,000 Perth property, the calculation sits in the same bracket. The duty is $11,115 plus 4.75% of the $290,000 excess over $360,000. That additional component is $13,775. Total transfer duty: $24,890.

For comparison, a $650,000 property in Queensland attracts $22,275 and in Victoria about $34,070. WA sits at the lower end nationally for mid-range properties — a structural advantage that has historically made Perth's entry costs more accessible than the east-coast capitals.

How much stamp duty on a $900,000 WA property?

At $900,000 the property crosses into the top bracket. The duty is $28,453 plus 5.15% of the $175,000 excess over $725,000. That additional component is $9,013. Total transfer duty: $37,466.

First Home Buyer: Full Exemption Up to $500k in Metro and Peel

Since 21 March 2025, WA first home buyers receive a full transfer duty exemption on dwellings valued up to $500,000 in the Greater Perth metropolitan area and Peel region. Between $500,001 and $700,000, a sliding concessional rate applies, phasing out linearly. Above $700,000, no first-home concession is available on established homes in metro areas.

The exemption also covers vacant land purchases up to $350,000. Between $350,001 and $450,000, a phased concession is available. This land exemption is designed to support home builders — the buyer must intend to construct their principal place of residence on the land.

In regional Western Australia, the concession extends further. The full exemption ceiling remains $500,000 for dwellings, but the phase-out ceiling rises to $750,000 instead of $700,000. This regional uplift recognises that housing costs in coastal and mining-adjacent regional centres can exceed metro medians.

These thresholds are the lowest in Australia. New South Wales exempts first-home purchases up to $800,000 for both new and existing homes. Victoria exempts up to $600,000, phasing out to $750,000. Queensland exempts new homes with no price cap and existing homes to $700,000. WA's $500,000 floor reflects Perth's historically lower median dwelling prices, but with the Perth property market having experienced sustained growth since 2020, the practical reach of the concession has narrowed relative to the broader market.

How the phase-out works for a $580,000 first home in metro Perth

For a first home buyer purchasing a $580,000 established dwelling. The full standard duty on this property is $11,115 plus 4.75% × ($580,000 − $360,000), which equals $11,115 + $10,450 = $21,565. The concession fraction is ($700,000 − $580,000) ÷ ($700,000 − $500,000), which equals $120,000 ÷ $200,000 = 0.6. The duty payable is therefore $21,565 × 0.6 = $12,939. The concession saves $8,626.

At $625,000, the same formula yields a concession fraction of 0.375. Full standard duty is $23,703. Duty payable is $23,703 × 0.375 = $8,889, saving $14,814.

The $10,000 First Home Owner Grant stacks on top of the stamp duty concession for new homes. A first home buyer purchasing a $480,000 new townhouse in Perth pays $0 stamp duty and receives $10,000 FHOG. The grant is paid directly to the buyer, not as a duty reduction, and can be used toward the deposit or settlement costs.

Vacant land: up to $350,000 exempt

For first home buyers intending to build, vacant land purchases up to $350,000 attract no transfer duty. Between $350,001 and $450,000, a phased concession applies. Above $450,000, no concession is available. The land must be intended for the buyer's principal place of residence, and construction must commence within a specified timeframe.

Worked Example: $520,000 Perth Townhouse (First Home Buyer vs Non-First-Home)

Non-first-home buyer:

• Purchase price: $520,000
• Stamp duty: $11,115 + 4.75% × ($520,000 − $360,000) = $11,115 + $7,600 = $18,715
• 20% deposit: $104,000
• Conveyancing and incidentals: approximately $3,000
• Total upfront cash needed: approximately $125,715

First home buyer (metro, eligible for concession):

• Purchase price: $520,000
• Standard duty: $18,715
• Concession fraction: ($700,000 − $520,000) ÷ $200,000 = 0.9
• Duty payable: $18,715 × 0.9 = $16,844
• 20% deposit: $104,000
• Conveyancing and incidentals: approximately $3,000
• Total upfront cash needed: approximately $123,844

The concession saves $1,872 — a meaningful offset against conveyancing but not transformative. The structural gap between WA's first-home threshold and the east-coast states becomes most visible above $600,000, where WA's concession begins to phase out while NSW and Victoria still offer partial or full relief.

For a first home buyer purchasing a new home, the $10,000 FHOG further improves the position. At $520,000, the total concession plus grant value reaches $11,872 — covering the full stamp duty bill with $1,872 toward other costs.

Foreign Buyer Surcharge: 7% Additional Duty

Foreign purchasers in Western Australia face a 7% foreign buyer surcharge on top of the standard transfer duty. This surcharge applies to the entire dutiable value and is payable at settlement alongside the base duty.

• On a $480,000 apartment: standard duty of $16,815 plus surcharge of $33,600 (7% × $480,000) = $50,415 total.
• On a $650,000 house: standard duty of $24,890 plus surcharge of $45,500 = $70,390 total.
• On a $900,000 house: standard duty of $37,466 plus surcharge of $63,000 = $100,466 total.

WA's 7% foreign surcharge is the lowest among states that impose one. New South Wales charges 9%, Victoria 8%, Queensland 8%, South Australia 7%, and Tasmania 8%. The ACT and Northern Territory impose no foreign surcharge at all.

Foreign buyers typically face loan-to-value ratio caps of 60–70% from mainstream Australian lenders. On a $650,000 purchase, that means a deposit requirement of $195,000–$260,000 — and the $70,390 stamp duty bill is entirely additional. The total upfront cash can exceed $330,000 before any other costs.

How WA Stamp Duty Affects Your Borrowing Power

Stamp duty does not just affect your savings — it directly shapes your borrowing profile. APRA's serviceability buffer, confirmed at 3% in May 2026, means lenders assess your repayment capacity at the product rate plus three percentage points. On a typical loan, that means assessment at roughly 9% rather than the advertised rate near 6%. The buffer compresses borrowing capacity by approximately 30% relative to what the actual repayment would suggest.

Every dollar spent on stamp duty is a dollar not available for the deposit. That pushes your loan-to-value ratio higher. On a $650,000 purchase at the standard rate, stamp duty of $24,890 represents roughly 3.8% of the purchase price. If that money were directed into the deposit instead, the LVR on an 80% lend would drop from 80% to approximately 76.2% — potentially crossing lenders mortgage insurance thresholds and reducing or eliminating the LMI premium.

APRA's debt-to-income limit, which from February 2026 requires banks to keep high-DTI lending (≥6 times income) within 20% of new lending per portfolio, means borrowers with tighter income multiples face additional scrutiny. A larger deposit — made possible by a lower stamp duty bill — reduces the loan amount and improves the DTI ratio, keeping more borrowers within mainstream lending parameters.

Data Sources and As-At Date

All rates, thresholds, and policy details are sourced from the WA Department of Treasury and Finance and APRA announcements. Data current as at: July 2026. Confirm with RevenueWA before exchange. Stamp duty is assessed at the transaction date, and liability depends on your specific circumstances, eligibility, and the nature of the property.

FAQ

Does the WA first-home exemption apply to both new and existing homes? Yes. Unlike Queensland where the uncapped exemption is limited to new builds, WA's exemption and concession apply to both new and existing dwellings — provided the buyer meets all eligibility criteria including that the home will be their principal place of residence.

Can I claim both the FHOG and the first-home stamp duty concession? Yes, they stack. The $10,000 First Home Owner Grant is a cash payment administered separately from the transfer duty system. An eligible first home buyer purchasing a new home can receive both the stamp duty concession and the $10,000 grant.

Does the regional WA uplift ($750,000 ceiling) automatically apply? The regional uplift applies based on the property's location outside the metropolitan and Peel regions. The buyer does not need to apply separately — RevenueWA applies the relevant threshold based on the property address at assessment.

Is the 7% foreign surcharge refundable if I later become a permanent resident? Generally no. Foreign buyer surcharge is assessed based on your residency status at the transaction date. A subsequent change in visa or residency status does not trigger a refund of duty already paid.

How does off-the-plan affect stamp duty in WA? For off-the-plan purchases, the dutiable value is generally the consideration payable under the contract, which for pre-construction purchases can be substantially lower than the completed value. This can reduce the duty payable on new apartments — a meaningful advantage for buyers in multi-year construction projects.

Related Guides on ozLoan

• NSW Stamp Duty 2026-27: First Home Buyers Pay $0 Up to $800k
• QLD Stamp Duty 2026-27: First Home Buyers Pay $0 on New Homes with No Price Cap
• SA Stamp Duty 2026-27: Rates, Concessions, and First Home Buyer Relief
• First Home Buyer Upfront Costs 2026-27
• APRA Borrowing Power Rules 2026: Buffer, DTI Limits, and What They Mean

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This article provides general information only and does not constitute financial, legal, or tax advice. Stamp duty rates and policies may change. Confirm your specific liability with the WA Department of Treasury and Finance or a qualified conveyancer before exchange.