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Ray White Victoria welcomed the state government’s move to provide a discount on stamp duty for those purchasing new and established homes valued up to $1 million, up until June 30 next year.
The measures equate to discounts of 50 per cent, up to $27,500, on the purchase of newly built homes while Victorians buying established homes in the same price bracket and over the same period will benefit from a 25 per cent stamp duty saving, valued at up to $13,750.
Ray White Victoria and Tasmania chief executive officer Stephen Dullens expected many budding buyers who were forced to pause their plans during the stage four coronavirus lockdown to use the discounts to “make up for lost time”.
“These measures are great for potential sellers who have been holding back because they were uncertain about the market,” he said.
“This will encourage people back into listing and help market conditions return to something as normal as can be.
“Not only for buyers and sellers as we know increased real estate activity provides additional benefits for many industries across the Victorian economy - removalists, tradespeople and retailers all benefit from an increased level of transactions.
“Stamp duty has long been a barrier for people to buy a new home - any support for purchasers is welcome to help get them onto their first step or next step of the property ladder.”
The government is also planning to deliver a 50 per cent stamp duty concession on the purchase of commercial and industrial properties in regional areas from January 2021.
According to budget documents, the Victorian Homebuyer Fund will also provide $500 million to accelerate Victorians into home ownership, with the fund to contribute to the purchase price in exchange for a proportionate equity interest in the property.
This fund will support the purchase of both established and newly built homes, and will reduce the size of the deposit required.
The $20,000 first home owner grant will also be extended for anyone buying or building a new home in Victoria – to 30 June 2021, with budget papers outlining that “this extension gives more Victorians the opportunity to live locally and enter the property market for the first time, while also supporting jobs in regional Victoria”.
"We congratulate the Victorian state government on these measures as all members of the Victorian community work collectively to rebuild our state economy after the challenges of this year's restrictions,” Mr Dullens said.
