VIC Government extend stamp duty abolition for off the plan properties to October 2026
Homebuyers in Victoria are set to benefit from extended stamp duty savings, with the Allan Labor Government announcing a $61 million investment in the 2025/26 State Budget to continue the off the plan stamp duty concession until October 2026.
This move is part of the Victorian Government’s ongoing efforts to boost housing supply, make homeownership more affordable, and stimulate apartment and townhouse construction across the state.
What Is the off the plan stamp duty concession?
Introduced in October 2024, the expanded off the plan stamp duty concession allows buyers of new apartments, units, and townhouses to significantly reduce or eliminate stamp duty costs. Previously set to expire in October 2025, the initiative has now been extended for another 12 months.
Unlike earlier schemes, the concession is not limited to first home buyers or owner-occupiers. It is available to any buyer purchasing an eligible off the plan apartment or townhouse, with no price caps on the property value.
How much can homebuyers save?
Since the expanded concession launched, eligible buyers have saved an average of $24,517 in stamp duty. In some cases, savings can be even higher. For example, someone purchasing a $620,000 off the plan apartment may now pay just $4,000 in stamp duty, compared to the standard $32,000 — a saving of around $28,000.
The savings are calculated based on how much construction has occurred at the time of sale. The earlier a buyer purchases, the more they can save.
Which properties qualify?
Eligible properties include new apartments or townhouses in strata subdivisions, where common property like driveways or hallways is shared. The key criteria:
The property must be off the plan
It must be a new build
It must form part of a strata subdivision
Why the Victorian Government is extending the concession
The extended stamp duty relief is aimed at making it cheaper and faster to build new homes, especially for young people and first-time buyers struggling in the current housing crisis.
Victorian Premier Jacinta Allan said the initiative is about supporting those locked out of the housing market.
“That’s why we’re slashing stamp duty for off the plan units and townhouses – to build more homes and make them cheaper to buy.”
Treasurer Jaclyn Symes said the measure responds directly to feedback from the property industry.
“This isn’t just great news for homebuyers trying to get into the market. It’s also a huge win for homebuilders.”
More homes near transport and jobs
The Budget also includes a $24 million investment to create 50 new ‘Train and Tram Zone’ Activity Centres in Melbourne’s inner and middle suburbs. This is designed to support the construction of more apartments and townhouses in high-demand areas close to public transport, jobs, and essential services.
Additionally, funding will support two new Precinct Structure Plans at Clyde South and Derrimut Fields, paving the way for 13,200 new homes and 8,600 jobs in Melbourne’s growth corridors.
Key takeaways for buyers and developers
Stamp duty savings extended until October 2026
Applies to all eligible off the plan homes – not just first home buyers
No price cap on eligible properties
Potential to save tens of thousands on stamp duty
Further government investment to accelerate new home construction
