This is a genuinely big change, and it’s brand new. If you read an older guide (or an out-of-date page) telling you that the ACT stamp duty concession is “income-tested” or capped at a certain property value, that information is now wrong. As of 1 July 2026, the rules are far simpler and far more generous. Here’s what actually applies now.
What changed on 1 July 2026
Until 30 June 2026, the ACT’s Home Buyer Concession Scheme (HBCS) waived stamp duty for first home buyers, but only if your household income was under a threshold, and (more recently) within a property value limit. Plenty of buyers missed out because they earned slightly too much or bought slightly above the cap.
From 1 July 2026, both of those tests are gone:
- No income threshold. It no longer matters how much you or your partner earn.
- No property price cap. It no longer matters how much the property costs.
If you’re an eligible first home buyer, you pay zero conveyance duty, full stop. This completes a long-running ACT tax reform and makes the Territory the first in Australia to remove stamp duty entirely for first home buyers.
What “stamp duty” means in the ACT
Stamp duty, called conveyance duty in the ACT, is a tax the territory government charges when property changes hands. It’s calculated on a sliding scale based on the property’s value, and historically it’s been one of the largest upfront costs of buying, running into the tens of thousands on a typical Canberra home.
For a non-first-home-buyer, conveyance duty still applies at standard rates. But for eligible first home buyers, from 1 July 2026, the bill is simply zero.
Who qualifies now
The generous part is that income and property value no longer matter. But there are still eligibility requirements you need to meet. To pay zero stamp duty as an ACT first home buyer, you generally need to:
- Be an individual (18 or over), not a company or trust
- Not have held an interest in residential property in Australia in the past five years, this is the “first home buyer” test, and notably it’s a five-year window rather than “never owned”
- Live in the property as your principal place of residence for a continuous 12 months, starting within a year of settlement (or of the certificate of occupancy for vacant land)
Meet those, and the conveyance duty on your purchase is waived entirely. Note the five-year rule: even some previous owners who haven’t held property in the last five years can now qualify.
How much this saves you
Because the saving is now uncapped, it scales with the property price. A rough sense of ACT conveyance duty at standard rates:
- $600,000 property: roughly $16,000-$17,000 in duty, now $0
- $800,000 property: roughly $22,000-$24,000 in duty, now $0
- $1,000,000 property: roughly $30,000+ in duty, now $0
Under the old capped scheme, a buyer purchasing above the value limit would have paid full duty. Now, that same buyer pays nothing. For higher-value Canberra purchases in particular, this change is worth substantially more than it was under the old rules.
You can estimate standard duty for any value with a property calculator, then confirm your exemption with the ACT Revenue Office or a broker.
What this means for your deposit and borrowing
Removing the stamp duty bill changes the maths of buying in two useful ways.
First, you need less cash at settlement. Stamp duty was often the second-largest cash cost after the deposit. Removing it means the total cash you need drops by tens of thousands, which can bring a purchase forward by months or years.
Second, more of your savings can go toward the deposit. With no duty to fund, the cash you’d have set aside for it can strengthen your deposit position, potentially lowering your LVR, reducing or avoiding LMI, and improving your rate tier. See how much deposit you really need for how those pieces fit together.
How it stacks with federal support
The ACT stamp duty exemption works alongside the federal First Home Guarantee (which lets eligible buyers purchase with a 5% deposit and no LMI). Combined, an eligible Canberra first home buyer can now potentially buy with a small deposit, no LMI, and no stamp duty, the strongest first-home-buyer position available anywhere in Australia right now.
Want to know exactly what this change means for your purchase? A 15-minute call runs your numbers under the new rules, deposit, cash needed at settlement, and how it stacks with federal schemes.
Book a 15-min call -> · 0461 117 777
What to confirm before you buy
Even with the simpler rules, a few things are worth nailing down before you sign a contract:
- That neither buyer has held property in Australia in the past five years, joint applications fail if either party has.
- Your residency intention, you must live in the property for a continuous 12 months.
- That the exemption is correctly claimed at settlement, in the ACT this is a self-assessment made through your conveyancer when the transaction is lodged, so make sure they apply the correct concession.
Because the rules changed so recently, it’s also worth making sure any adviser, calculator, or contract you’re relying on reflects the post-1-July-2026 position, not the old capped scheme.
The bottom line
As of 1 July 2026, stamp duty is no longer a barrier for ACT first home buyers: no income test, no property cap, just zero duty for eligible buyers. It’s one of the most significant housing-affordability changes in the country, and it lowers the cash needed to buy your first home in Canberra.
If you’d like to understand what the change means for your specific situation, book a 15-minute call with Harbir.
Or call 0461 117 777 | Email info@creditstar.com
Frequently Asked Questions
Q1. Do first home buyers pay stamp duty in the ACT?
Ans. No. From 1 July 2026, eligible ACT first home buyers pay zero conveyance duty (stamp duty), regardless of income or property value. The ACT is the first jurisdiction in Australia to abolish it entirely for first home buyers.
Q2. Is there still an income test for the ACT stamp duty concession?
Ans. No. The income threshold was removed from 1 July 2026. It no longer matters how much you or your partner earn.
Q3. Is there a property price cap?
Ans. No. The property value limit was also removed from 1 July 2026. The exemption applies regardless of the property’s price.
Q4. What is conveyance duty in the ACT?
Ans. Conveyance duty is the ACT’s name for stamp duty, a tax charged when property changes hands, calculated on a sliding scale based on value. For eligible first home buyers from 1 July 2026, it’s zero.
Q5. Who is eligible for the zero stamp duty?
Ans. Individual buyers (18+) who haven’t held an interest in Australian residential property in the past five years, and who will live in the home as their principal residence for a continuous 12 months.
Q6. Do I have to be a first-time owner ever, or just recently?
Ans. The test is a five-year window, you must not have held an interest in residential property in Australia in the past five years. Some previous owners who’ve been out of the market for five-plus years can now qualify.
Q7. How much can I save?
Ans. It depends on the property value, since duty scales with price. On a typical Canberra home the saving is often $16,000-$30,000+, and because there’s no longer a cap, higher-value purchases save even more.
Q8. Do I have to live in the property?
Ans. Yes. You must move in within 12 months of settlement (or the certificate of occupancy for vacant land) and live there as your principal residence for a continuous 12 months.
Q9. How do I claim the exemption?
Ans. It’s a self-assessment made through your conveyancer when the transaction is lodged with the ACT Revenue Office. Make sure your conveyancer applies the correct concession for a post-1-July-2026 transaction.
Q10. Can I combine the stamp duty exemption with the First Home Guarantee?
Ans. Yes. The ACT stamp duty exemption and the federal First Home Guarantee (5% deposit, no LMI) stack, creating one of the strongest first-home-buyer positions available in Australia.
This guide is general information only and doesn’t take into account your personal situation. The ACT stamp duty rules changed on 1 July 2026 and the ACT Revenue Office is still updating its published material, confirm current eligibility with the ACT Revenue Office or a broker before relying on any specific detail. For advice specific to your circumstances, book a call with Harbir Hundal, Credit Representative 506564 of BLSSA Pty Ltd ACN 117 651 760, Australian Credit Licence 391237.
