WA extends stamp duty relief

Now, complexes that are in the process of being built are eligible for the reduction, in a move that will cost the government approximately $13.9 million.

Buyers of apartments under construction who sign an eligible contract will receive a transfer duty concession of up to 75 per cent of the concession currently available for off-the-plan purchases, capped at $50,000.

There are several tiers of concessions available, depending on the price of the home. They are:

- A 75 per cent concession on properties valued up to $650,000.

- A sliding scale concession of 75 per cent to 37.5 per cent on properties valued between $650,000 and $750,000.

- 37.5 per cent concession for properties valued at $750,000 or more.

The reduced fees are available for purchases from 31 August 2023 until 30 June 2025, which is when the off-the-plan concession reduction is due to wind up.

The plan delivers significant savings for buyers. The purchaser of an apartment worth $650,000, for example, will see their transfer duty cut by $18,668.

The state’s Treasurer Rita Saffioti hinted that the prior plan of restricting the stamp duty concession to just pre-construction dwellings had actually slowed the development of some apartment complexes.

“We want to make sure that apartment developments aren’t being held up, and extending the concession to include apartments under construction will remove another constraint preventing projects getting underway,” Ms Saffioti said.

“Our government is doing everything we can to boost housing supply, and the extension of the transfer duty concession to purchases of apartments under construction is a direct response to feedback we have received from industry,” she added.

The state is looking to speed up the readiness of land on which this type of housing can be built, with the government also announcing a $15.45 million investment in 15 infill sites that could eventually support 1,500 new apartments.

As part of the government’s $80 million Infrastructure Development Fund, the grant helps developers cover the upfront costs associated with connecting water, electricity and sewerage infrastructure.