Effective 1 May 2025, there will be changes to the first home concessions issued to eligible first home owners in Queensland.
The new measures cover 2 categories.
- First Home (New Home) Concession
- First Home (Vacant Land) Concession – this new measure replaces the previous Home (Vacant Land) Concession
Legislative Changes – Effective 1 May 2025
| First Home Concession | No change |
| First Home – New Home Concession | No cap on new home value: Full transfer duty relief |
| First Home – New Home – Vacant Land Concession | No cap on new home – vacant land value: Full transfer duty relief |
Definition of First Home – New Home
A new home is a home that:
- has not been previously occupied or sold as a place of residence; or
Definition of Substantially Renovated Home
A substantially renovated home has the same meaning of this term in A New Tax System (Goods and Services Tax) Act 1999 (Cth);
- the home must be renovated to be a state of new or near new; and
- the home, as renovated, has not been previously occupied or sold as a place of residence; and
- the seller must be registered for GST and the sale must attract GST.
Definition of Residential Vacant Land
To be eligible to claim for First Home – New Home – Vacant Land Concession, the land must adhere to the requirements of a residential vacant land.
Residential vacant land is vacant land, or the part of the vacant land, on which the residence is to be constructed, and includes the curtilage that is to be attributable to the residence if the curtilage is used for residential purposes.
What Documents Do I Need to Submit to as Proof of New Home
Amongst other documents, recipients of this concessions are required to provide evidence that the home is a new home.
- New Build
- A statement from the seller confirming that the home has not been previously occupied or sold as a place of residence.
- Off-the-plan purchases are exempted from this requirement.
- Substantially Renovated Home
- A statement from the seller confirming that the sale of the home was a taxable supply under the GST Act and was sold in the course of the seller’s business, that the home has not been previously occupied or sold as a place of residence, since the renovation, and the type and extent of the renovations.
- Tax invoice that shows the GST component of the home purchase price.
FAQs
- My contract is signed before 1 May 2025 and settlement is on 2 May 2025. Will I be eligible?
- No. The contract must be signed after 1 May 2025.
- Do I need to be an Australian Citizen or Permanent Resident (PR) to claim the new concessions?
- No. You can claim the concession as a foreigner, provided you meet the eligibility criteria. Additional foreign buyer duty may apply.
- I am buying an existing property as my first home that I am going to substantially renovate, will I be eligible for the First Home – New Home concession?
- No. The home must already have been renovated. If you buy an existing home, it is not a new home.
They may, however, be eligible for the first home concession instead, which is for first homes other than new homes.
- I was partially gifted the new home or vacant land. Am I still eligible for the new concessions?
- No. To be eligible for First Home (New Home) Concession or First Home (Vacant Land) Concession, full market value of the property must have been paid.
What this means for you and how HTW Legal Group can help?
Are you a first home buyer looking to purchase a place to call home in Queensland? At HTW Legal, we understand the complexities of property law and the importance of clear communications for property transactions. Our experienced property conveyancing team specialises in providing tailored legal solutions, ensuring your investments align with the latest regulations.
- Help you understand the latest updates, eligibility, prepare the forms and contracts required as a First Home Buyer
- Conduct thorough due diligence before you commit to your first home purchase
- Keep you updated on regulatory changes that could affect your purchase process
📞 Contact HTW Legal Group today for a consultation.
