NSW Stamp Duty Exemption (FHBAS) in Sydney

If you're buying your first home in NSW for $800,000 or less, you pay zero stamp duty — none at all. On an $800,000 home, that saves you approximately $31,335 in upfront costs. For many first home buyers in Sydney's Hills District, Greater Western Sydney, and across NSW, this is the single largest source of government support available.

The First Home Buyers Assistance Scheme (FHBAS) is administered by Revenue NSW and applies to new homes, established homes, and vacant land. It provides a full exemption for eligible buyers under the threshold, and a sliding partial concession for properties valued between $800,001 and $999,999.

Book a free FHBAS assessment: we confirm your eligibility, calculate your exact stamp duty saving, and show how FHBAS fits with other schemes for your specific price range.

The simplest way to understand the benefit of the FHBAS is to compare what you would pay in stamp duty without the scheme against what you pay with it.

Full exemption — properties $800,000 and under

If you qualify and your home's dutiable value is $800,000 or below, you pay $0 stamp duty.

Figures are indicative estimates based on NSW transfer duty rates. Always confirm your exact figure using the Revenue NSW calculator for your specific purchase price.

Partial concession — properties $800,001 to $999,999

For properties in the $800,001–$999,999 range, the concessional rate operates on a sliding scale. The closer your purchase price is to $800,000, the larger the concession. The closer to $1,000,000, the smaller the benefit — tapering to zero at $1,000,000.

The concessional rate formula is set by Revenue NSW on a sliding scale. Always check the Revenue NSW FHBAS Calculator at revenue.nsw.gov.au for an exact figure before you exchange.

To receive the FHBAS exemption or concession, all of the following must apply at the time your contracts are exchanged.

1. You must be an individual, not a company or trust

The FHBAS is only available to individuals. Companies and trusts cannot access it (with very limited exceptions for legal guardian trustees).

2. At least one buyer must be an Australian citizen or permanent resident

At least one person named on the title must be an Australian citizen or permanent resident. Temporary visa holders are not eligible for FHBAS.

3. You must be 18 or over

At least one buyer must be aged 18 or older at the time of purchase.

4. Neither you nor your partner have previously owned property in Australia

This is the most important and most frequently misunderstood eligibility requirement. You — and your spouse or de facto partner — must never have previously owned or co-owned residential property anywhere in Australia. This applies regardless of:

• Whether your partner is named on the title of the property you are now buying
• Whether the previous ownership was an investment property or a home you lived in
• Which state or territory the property was in — the test is national, not just NSW

5. Neither you nor your partner have previously received FHBAS

The scheme is once-only per person and per couple. If you or your partner previously used FHBAS — even on a property that has since been sold — you cannot use it again.

6. The property must be in NSW and within the dutiable value thresholds

The scheme only applies to NSW properties and only where the dutiable value is within the thresholds:

• Homes: full exemption up to $800,000; partial concession $800,001–$999,999; no FHBAS benefit at $1,000,000+
• Vacant land: full exemption up to $350,000; partial concession $350,001–$449,999

Dutiable value is the higher of the purchase price and the property's assessed market value. If Revenue NSW or your lender assesses the property as being worth more than the contract price, the higher value is used.

7. You must use the property as your principal place of residence

• Move in within 12 months of settlement (existing homes) or within 12 months of completion (new homes / house and land)
• Live in the property continuously for at least 12 months as your principal place of residence

ADF exception: Members of the Australian Defence Force who are on the NSW electoral roll are exempt from the standard residency requirement, recognising that deployment can prevent them from meeting the occupation rule.

8. You must be buying 100% of the property

You must be acquiring the whole property, not just a share — except in certain mixed-eligibility scenarios with non-spouse co-buyers (covered in the edge cases below).

Buying with someone who is not eligible (but not your spouse)

If you are eligible but you are buying the property jointly with someone who is not eligible — for example, a sibling, a friend, or a parent — you may still be able to claim FHBAS on your share of the property.

To do this, you must be purchasing at least 50% of the property, and your ineligible co-buyer must not be your spouse or de facto partner. The exemption or concession applies to the dutiable value of your share only; the ineligible co-buyer pays duty at standard rates on their share.

Example: Josh and Liam (unrelated) buy a $700,000 Parramatta house 50/50. Josh has never owned property (eligible). Liam previously co-owned a unit (ineligible). Josh's 50% share = $350,000. Josh pays $0 stamp duty on his share. Liam pays standard duty on his $350,000 share (~$11,240). Total duty: ~$11,240 vs ~$26,990 if both paid in full.

Important: This partial-share workaround does not apply if your ineligible co-buyer is your spouse or de facto partner. If your partner has owned property, you lose the exemption entirely even if they are not on the title.

House and land packages: stamp duty on land value only

If you purchase a house and land package under two separate contracts — one for the land and one for the building — stamp duty is assessed on the land contract value only, not the combined package value. This is one of the most powerful planning opportunities for first home buyers in NSW growth corridors.

Example: A house and land package in Schofields totals $850,000, technically above the $800,000 FHBAS full exemption threshold. But if the land contract is $320,000 and the build contract is $530,000, stamp duty is assessed on $320,000 (the land) — comfortably within the full exemption threshold. With correct contract structuring, you pay $0 stamp duty on an $850,000 package.

Off-the-plan purchases: dutiable value and payment timing

For off-the-plan purchases where you intend to live in the property as your home, the dutiable value is typically the contract price. Owner-occupiers may defer stamp duty payment for up to 12 months from the contract date (or until settlement if that occurs sooner). This is a useful cash flow benefit, especially when construction timelines are long.

What is the dutiable value?

Dutiable value is the higher of: (a) the purchase price in the contract of sale; or (b) the property's unencumbered market value as assessed by Revenue NSW. For most arm's-length transactions, these are the same figure. For purchases below market value (for example, between family members or certain off-the-plan arrangements), Revenue NSW may assess a higher value and use that figure for duty.

Revenue NSW audits and compliance

Revenue NSW regularly cross-checks FHBAS applications against property ownership data from land registries across all Australian states and territories, ATO records, and lender data. There are substantial penalties for false or misleading applications — including repayment of the full duty avoided, plus interest and penalties that can exceed $10,000.

If you are unsure whether you or your partner qualify, the right approach is to check before you exchange contracts — not after.

The FHBAS application is not a separate standalone form you lodge months in advance. It is processed as part of your property purchase and coordinated by your solicitor or conveyancer at settlement.

Step 1 — Confirm eligibility before you make an offer

Before signing a contract, you and your broker or conveyancer should work through the FHBAS eligibility checklist:

• Have you or your partner ever owned or co-owned residential property anywhere in Australia?
• Has either of you previously used FHBAS?
• Is the property's dutiable value within the relevant thresholds?

Use Revenue NSW's Home Buyer Assistance Finder at nsw.gov.au as a starting point, then confirm the result with your solicitor or broker before you exchange.

Step 2 — Engage a solicitor or conveyancer

Your solicitor or conveyancer manages the FHBAS application as part of the conveyancing process. They prepare and lodge:

• First Home Buyers Assistance Scheme Application (form ODA 066B)
• Purchaser/Transferee Declaration (individual)

If you're working with us, we coordinate timing between your lender and your solicitor so the scheme is correctly reflected in your settlement figures.

Step 3 — Pay only the applicable duty (or none) at settlement

Once Revenue NSW confirms eligibility, you pay either $0 duty (full exemption) or the reduced concessional amount at settlement. You do not pay the full duty and then claim a refund; the exemption or concession is applied directly to the transaction.

Step 4 — Meet the residency requirements

After settlement, you must move into the property within 12 months (or within 12 months of completion for new builds) and live there continuously for at least 12 months as your principal place of residence. Revenue NSW audits this, so treat it as a real obligation, not a formality.

FHBAS stacks cleanly with every major first home buyer program in NSW. Structuring these correctly is where the total government support picture becomes most powerful.

FHBAS + First Home Owner Grant (FHOG)

For new homes priced under $600,000 (or house and land packages under $750,000), you can claim both the $10,000 FHOG and the FHBAS stamp duty exemption simultaneously.

Example: On a $580,000 new home, that is approximately $10,000 cash + ~$20,100 in duty savings = roughly $30,000 in combined support.

FHBAS + 5% Deposit Scheme (First Home Guarantee)

This is one of the most common and powerful combinations in NSW. For an eligible buyer purchasing an $800,000 established home with a 5% deposit:

• 5% Deposit Scheme: LMI avoided (~$31,000–$40,000+ saved)
• FHBAS: full stamp duty exemption (~$31,335 saved)

Total combined saving: approximately $62,000–$71,000+ in avoided costs.

FHBAS + Help to Buy

Help to Buy (shared equity) and FHBAS can also be combined. If you purchase through Help to Buy at a price under $800,000, you access zero stamp duty on top of the Help to Buy benefits. Between $800,001 and $999,999, the FHBAS concessional rate applies.

FHBAS + First Home Super Saver Scheme (FHSS)

FHSS allows you to withdraw up to $50,000 per person in voluntary super contributions (plus deemed earnings) for your deposit. That money simply increases your deposit; FHBAS then removes or reduces your stamp duty at settlement. The two programs are completely independent and stack cleanly.

Worked examples

Established (existing) homes

All existing residential properties — houses, townhouses, apartments, units, duplexes — are covered, provided the dutiable value is within the threshold. Unlike FHOG, there is no restriction to new homes.

New homes and off-the-plan purchases

New homes that have never been lived in (including off-the-plan apartments) are covered. For off-the-plan purchases, eligible owner-occupiers can defer duty for up to 12 months from the contract date, and FHBAS reduces or removes the duty payable.

Vacant land (with intent to build)

If you purchase vacant land with the intention of building your home, FHBAS applies with separate thresholds:

• Full exemption for land valued up to $350,000
• Partial concession for land valued $350,001–$449,999

To qualify, you must build a home on the land and move in within 12 months of completion, living there for at least 12 continuous months.

House and land packages (separate contracts)

Where land and building are under separate contracts, duty is assessed on the land value only — a key strategy to obtain a full exemption on packages whose total price exceeds $800,000.

What FHBAS does not cover

• Investment properties — owner-occupier use is mandatory
• Properties used solely for commercial purposes
• Purchases by companies or trusts (with narrow exceptions for legal guardian trustees)
• Second or subsequent property purchases

Stamp duty — formally known as transfer duty in NSW — is a tax on the purchase or transfer of property, administered by Revenue NSW under the Duties Act 1997. It is paid by the buyer and is assessed on the dutiable value of the property.

NSW stamp duty is calculated on a progressive (tiered) scale. The more expensive the property, the higher the marginal rate applied above each threshold.

Source: Revenue NSW. Always verify current rates at revenue.nsw.gov.au before you exchange.

When is stamp duty paid? In NSW, duty must be paid within three months of signing the contract for sale, or at settlement — whichever occurs first. In practice, your solicitor or conveyancer arranges payment at or before settlement. For off-the-plan owner-occupier purchases, payment can often be deferred for up to 12 months from the contract date.

RyRo Loan Centre is based in Norwest in Sydney's Hills District. We help first home buyers across Greater Sydney understand their FHBAS eligibility and capture every dollar of support available.

Hills District — where the $800,000 threshold matters most

Castle Hill, Kellyville, Rouse Hill, Baulkham Hills, Norwest, Bella Vista, Glenhaven, Dural, Cherrybrook, Pennant Hills, West Pennant Hills, Beecroft, Carlingford. The Hills has a strong market for new apartments and townhouses in the $650,000–$850,000 range. Buyers are often weighing whether to secure a property at or under $800,000 (full exemption) or stretch higher into the concessional bracket. That decision involves both market assessment and scheme strategy — we advise on both.

Northwest growth corridors — house and land structuring

Schofields, Box Hill, Marsden Park, Riverstone, The Gables, Windsor. House and land packages here typically range from $700,000 to $950,000+ in total. Many have land values between $280,000 and $400,000 — meaning, with dual-contract structuring, first home buyers can still access $0 stamp duty on packages well above $800,000. We coordinate this with developers and conveyancers for every house and land client we work with.

Greater Western Sydney — where full exemption is most accessible

Parramatta, Westmead, Merrylands, Blacktown, Penrith, Seven Hills, Guildford, Auburn, Granville and surrounding suburbs still have a large proportion of homes and apartments below the $800,000 full exemption threshold. Many buyers here can combine FHBAS with the 5% Deposit Scheme and, for new homes, FHOG — dramatically reducing upfront costs.

Before you make an offer

• Confirm that you have never owned or co-owned residential property in Australia — and that your spouse/partner has not either.
• Confirm at least one buyer is an Australian citizen or permanent resident.
• Confirm you are purchasing in NSW as an individual (not via a company or trust).
• Check that the property's dutiable value is under $800,000 (for full exemption) or under $1,000,000 (for any concession).
• Use the Revenue NSW Home Buyer Assistance Finder and stamp duty calculator to sanity-check your understanding.

House and land buyers

• Confirm there are two separate contracts (land + build) rather than a single combined contract.
• Confirm the land contract price itself falls within the relevant FHBAS threshold.
• Engage your solicitor before signing anything to verify the contract structure and duty position.

After exchange and settlement

• Your solicitor or conveyancer lodges the FHBAS application and Purchaser/Transferee Declaration with Revenue NSW.
• Ensure you have funds available for any concessional duty payable at settlement.
• Plan your move-in date to satisfy the 12-month residency requirement and keep evidence of occupancy (utilities, electoral roll, bank statements).

Key FAQs (short answers)

• How much stamp duty does a first home buyer pay on an $800,000 home in NSW? If eligible, $0. Without FHBAS, duty would be about $31,335.
• Does my partner's property history affect my eligibility? Yes. If your spouse/de facto has ever owned or co-owned residential property anywhere in Australia, you are ineligible for FHBAS, even if they are not on the title.
• Can I use FHBAS with FHOG, the 5% Scheme, Help to Buy and FHSS? Yes — FHBAS stacks with all of them, subject to each scheme's own rules.
• Is there an income test? No. There is no income cap for FHBAS.

Work with a specialist broker

When your eligibility and purchase price sit close to the scheme thresholds, the quality of your advice matters. We confirm your FHBAS position before you start making offers, map out which schemes you can stack, and coordinate your lender and conveyancer so the exemption is correctly applied at settlement.

Next step: book a free FHBAS and stamp duty assessment. No credit check, no obligation — just clear numbers and a plan tailored to your situation.