James Symond, the chief executive officer of Aussie, has welcomed the Victorian government’s move to slash the cost of stamp duty by up to 50 per cent for newly built homes valued up to $1 million.
On Friday (20 November), the Victorian state government released its budget 2020-21, which included a range of new initiatives under a Big Housing Build package, totalling nearly $6 billion.
The package includes a stamp duty concession of up to 50 per cent for homes valued at up to $1 million.
Relief will be targeted at newly built or “off-the-plan” homes, which will receive a 50 per cent waiver.
It is for residential property contracts entered into from 25 November to 30 June 2021.
Existing homes will be eligible for a 25 per cent waiver.
A first home buyer, for example, purchasing an existing home worth $700,000 would be eligible for both the first home buyer duty concession and then the new 25 per cent waiver, totalling tax relief of some $18,500.
Following the announcement, the chief executive officer of major brokerage brand Aussie, James Symond, said he was pleased to see the budget provide direct stimulus to support the residential property market in Victoria.
He said: “The Victorian government understands the need to kickstart the state economy, as people emerge from lockdown with pent-up demand and enforced savings by not travelling or going out.
“The stamp duty relief offers first home buyers in Victoria a fighting chance at getting into the market sooner than they would otherwise and could have an immediate and positive impact on first home buyers and young families.
“It is a great time for Victorian next home buyers and those looking to enter the property market, with the power in their hands when it comes to getting a good home loan deal amid low mortgage rates and government initiatives.
“We would like to see even more support measures for home buyers continue,” he added.
Mr Symond also commended the Victorian government’s support for the emerging build-to-rent sector, which, “will support job creation and provide high-quality rental developments for Victorians”.
He concluded: “Many lenders are offering a range of competitive incentives and low rates for new customers. With the stamp duty cut, Victorian buyers are in a great position to buy a property, but they should seek expert advice from a mortgage broker to help with the finance application process.”
[Related: Victoria announces stamp duty waivers]
Annie Kane is the editor of The Adviser and Mortgage Business.
As well as writing about the Australian broking industry, the mortgage market, financial regulation, fintechs and the wider lending landscape – Annie is also the host of the Elite Broker and In Focus podcasts and The Adviser Live webcasts.
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