Video with Sumit Joshi, RyRo Loan Centre
The 5% Deposit Scheme and NSW stamp duty together
- 1:26
- Posted 3 September 2025
- Read the transcript
What this video covers
How the federal 5% Deposit Scheme changed from 1 October 2025, and why first home buyers in NSW still need to plan for stamp duty above the exemption threshold.
Related: 5% Deposit Scheme
Transcript
What Sumit says
0:00I've got a question from one of you saying Sumit, I know from 1st of October, there are some changes in First Home Buyer, could you please clarify? Of course I can. From 1st of October, now there are basically two qualifying questions.
0:12Am I a First Home Buyer? Am I a permanent resident or citizen of Australia? If the answer is yes, you can buy any property throughout Australia and all you need is 5% deposit.
0:24In the description below, there are property price thresholds which are set by the federal government across different states, different suburbs. As long as you fall within that category, all you need is a deposit of 5% and that's all. You will not be charged mortgage insurance at all.
0:39However, this grant is by federal government, 5%. You still need to pay stamp duty in your respective states. In New South Wales, specifically, there is no stamp duty up to $800,000 purchase price. There is a discount between $800,000 to $1 million and those details are on my website under
0:56stamp duty calculator. DM me if you have any questions, there is a link below as well. But you still need to provision for the stamp duty. If you are buying a property in New South Wales, for example, for $1.5 million, there
1:07is a stamp duty of $65,000 plus 5%. So you still need funds to cover for stamp duty. Any questions? DM me.
1:16Send me a message.
Transcribed from the video and lightly corrected. General information only, not advice for your situation. See our disclaimer.
More videos
Sumit · 1:35What banks look at before they lend
The three things a bank looks at before it lends on your first home: your total income (including overtime and bonuses), the debts you already have, and the savings you have for the deposit and stamp duty.
Sumit · 1:07Buying a home in NSW, step by step
The six steps from finding a home to settlement in NSW: the initial deposit, the contract, the five day cooling off period, the 10% deposit and settlement, usually about 42 days after the contract is signed.
Sumit · 0:24First home buyer? Questions to ask first
The questions a first home buyer should answer before they apply: do you qualify for the government scheme, which lender suits your situation and how much savings you need.
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