Stamp Duty: An Additional Cost When Purchasing Property
Aside from the purchase price of your new property you need to be mindful of additional fees and charges to pay. You’re probably aware of some of these costs and there may be others you’re not aware of, so let’s take a look at one of these additional costs – Stamp Duty! To avoid any nasty surprises, we encourage you to make yourself aware of the Stamp Duty applicable on the property you intend purchasing.
There are two types of Stamp Duty applicable to the purchase of a property –
- Stamp Duty on the registration of your mortgage; and
- Stamp Duty on the transfer of property.
Stamp Duty is a tax payable to State and Territory governments, which means that the amount you pay will depend entirely on which State or Territory your property is located in. This amount will also vary according to the purchase price of your new property.
Some States and Territories apply Stamp Duty concessions to certain purchasers, like people building a new home. However, even if a concession is applicable to you, you need to factor Stamp Duty into your budget because it can add a significant amount to the cost of your new property.
Do your research and check the SA Revenue Office for Stamp Duty calculators and further up-to-date information on this subject or Call a Broker now to discuss.