BUYING a home in Queensland involves more than just the price on the contract.
One of the biggest additional costs is stamp duty, officially called transfer duty. This state tax is calculated on a property’s dutiable value, usually the higher of the sale price or market value, and can add tens of thousands of dollars to the total cost.
While stamp duty often feels like an unnecessary burden, it’s best understood as part of the overall cost of home ownership, much like the interest paid on your home loan.
“Take John and Mary, for example,” explains a local real estate agent. “They buy a $1 million home, which is a pretty typical figure for many Queensland families.
“They take out a full 30-year loan, and by the time it’s paid off, they’ll have spent around $750,000 or more in interest alone at a guestimate.
“That means their $1 million home actually costs about $1.75 million in total.”
He continues, “Most people don’t realise this. They’re often shocked by the $40,000 or so they’ll pay in stamp duty, but when you compare it to the interest bill, stamp duty is actually a much smaller portion of the overall cost – and both are simply part of owning a home.”
The good news is that over time, property values generally rise.
“If history repeats, that same home could easily be worth $3 million in 30 years,” he adds.
From May 1, Queensland introduced major reforms to make home ownership more accessible for first-time buyers. Eligible first home buyers purchasing a new property or vacant land to build on may be exempt from paying stamp duty altogether, provided they meet the eligibility criteria.
Stamp duty remains a vital source of revenue for the Queensland Government, funding essential public services and infrastructure. According to the Property Council, the 2025–26 Queensland Budget anticipates $7.2 billion in stamp duty revenue and $2.8 billion from land tax.
Before making any property decisions, it’s important to speak with a licensed financial specialist or mortgage broker to understand your borrowing capacity and the full costs involved.
This article provides general information only and should not be taken as financial, legal, or taxation advice.
