Stamp Duty Exemption on 2nd property if 1st property isn't a PPR

Discussion in 'Legal Issues' started by grommet, 10th Jul, 2019.

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  1. grommet

    grommet New Member

    Joined:
    27th Jul, 2017
    Posts:
    2
    Location:
    Melbourne
    Hi everyone,
    I am planning to buy my first investment property,
    And I'm trying to clarify,
    In Victoria, If I choose not to live in this house and purely rent it out,
    Am I still able to receive the Stamp Duty Exemption on my 2nd property if I make that my PPR?
    Or am I only eligible for the Stamp Duty Exemption if its my first home?
    Cheers!
     
  2. Lindsay_W

    Lindsay_W Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    1,561
    Location:
    QLD
    Straight off the State Revenue Office of Victoria Website:

    You may be entitled to a concession from duty when you buy a property that you intend to live in as your home for a continuous period of 12 months, within 12 months of settlement.

    Eligibility
    This concession is available to all homebuyers (not just first home owners) whose property is valued up to $550,000 and who:

    • Start using the property as their PPR within 12 months of becoming entitled to possession of the property (which usually occurs at settlement), and
    • Live in the property for a continuous period of at least 12 months.
    If you buy the property with others, at least one of you must satisfy these requirements. It is not necessary, however, for the same purchaser to occupy the home for the entire 12 months.

    If these requirements are not met, duty will be assessed at the standard rate. We may, however, exercise discretion to vary the residence requirements where there is a good reason to do so.
     
  3. KateAshmor

    KateAshmor Victorian Conveyancing Lawyer Business Member

    Joined:
    25th Jun, 2015
    Posts:
    439
    Location:
    Melbourne
    Generally speaking: yes, but have a good read through the State Revenue Office website, as wisely referenced by @Lindsay_W :D
     
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