The threshold above which stamp duty is charged on new homes for first home buyers will increase from $650,000 to $800,000, and from $350,000 to $400,000 for vacant land. 

However, the changes will only apply to newly-built homes and vacant land, not existing homes, and will only last for 12 months starting on 1 August 2020. 

The NSW government has forecasted more than 6,000 first home buyers will benefit from the changes. 

Buying a home or looking to refinance? The table below features home loans with some of the lowest variable interest rates on the market for owner occupiers.

Lender

VariableMore details
Online ExclusiveUp To $4K Cashback
  • Immediate cashback upon settlement
  • $2,000 for loans up to $700,000
  • $4,000 for loans over $700,000
Online ExclusiveUp To $4K Cashback

loans.com.au – Variable Basic Cashback Home Loan (Principal and Interest) (LVR < 70%)

  • Immediate cashback upon settlement
  • $2,000 for loans up to $700,000
  • $4,000 for loans over $700,000
VariableMore details
Refinance OnlyApply In Minutes
  • No application or ongoing fees. Annual rate discount
  • Unlimited redraws & additional repayments. LVR <80%
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
Refinance OnlyApply In Minutes

Unloan – Variable Rate Home Loan – Refinance Only

  • No application or ongoing fees. Annual rate discount
  • Unlimited redraws & additional repayments. LVR <80%
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
VariableMore details
Unlimited Redraws
  • No annual fees - None!
  • Get fast pre-approval
  • Unlimited additional repayments free of charge
  • Redraw freely - Access your additional payments when you need them
  • Home loan specialists available today
Unlimited Redraws

ubank – Neat Variable Home Loan (Principal and Interest) (LVR < 60%)

  • No annual fees - None!
  • Get fast pre-approval
  • Unlimited additional repayments free of charge
  • Redraw freely - Access your additional payments when you need them
  • Home loan specialists available today
VariableMore details
Unlimited RedrawsApply In Minutes
  • Low Deposit (<95% LVR) with No LMI required
  • Unlimited Redraw and additional repayments
  • No Application or ongoing fees
Unlimited RedrawsApply In Minutes

Sucasa – Ultra Low Rate (Variable) - <95% LVR - No LMI (New Purchases)

  • Low Deposit (<95% LVR) with No LMI required
  • Unlimited Redraw and additional repayments
  • No Application or ongoing fees
Important Information and Comparison Rate Warning

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of February 20, 2024. View disclaimer.

Premier Gladys Berejiklian said the move would give much needed support to the group, as well as the construction industry.

“Thousands of people will see their bank balances benefit from this change – it will help get more keys into more front doors of more new homes,” Ms Berejiklian said. 

“It will also boost housing construction across NSW and support jobs in the building industry at a time when we need them more than ever before.” 

NSW Treasurer Dominic Perrottet said the changes would save first home buyers $31,335 in stamp duty on a new $800,000 home. 

“The current scheme has already helped over 93,000 first home buyers since July 2017 and this will give the construction industry extra support as we face the challenges of COVID-19,” Mr Perrottet said. 

“We need to ensure our building sites keep ringing with hammers and saws as that means more people working, and first home owners will save money in the process.” 

First home buyers can also still access the $10,000 First Home Owner Grant, available to those buying a new home worth $600,000 or less, or buying land and building a new first home worth no more than $750,000. 

David Bare, Housing Industry Australia (HIA) Executive Director NSW, said the changes to stamp duty, coupled with HomeBuilder, would give a much needed boost to first home buyers.

“Following the release of the NSW HomeBuilder details on Saturday, today’s announcement makes sense and will support many first home buyers get into the property market sooner," Mr Bare said. 

“Combined with the existing $10,000 first home owners grant and the $25,000 HomeBuilder grant, first home buyers in NSW should be looking to a new home as a real option to take up home ownership."

Mr Bare added the changes would provide vital support to the construction industry which had seen many projects dry up in the wake of the pandemic. 

“More importantly, this 12 month package will provide a much needed boost to an industry for which hundreds of thousands of people in NSW rely on for employment," he said.

“The home building industry will play a critical part of NSW’s economic recovery from COVID-19 related challenges and the NSW Government should be applauded for listening to our calls for greater support."





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