Who Pays Stamp Duty When Selling Property?

by Chris McKern

January 29th, 2026

BlogSelling My PropertyGetting Ready to Sell

Do You Pay Stamp Duty When Selling a Property?

No. Stamp duty is the buyer's responsibility, not the seller's.

But that doesn't mean selling is cost-free. Understanding all the expenses involved in selling your property—and what your buyer will face—helps you price your home correctly and avoid surprises at settlement.

Avoid Costly Selling Mistakes

A great real estate agent will help you understand the ins and outs of selling, including all the costs involved. They'll also help you understand your property's true value—so the final sale price minus costs meets your expectations.

Find a Real Estate Agent

What Is Stamp Duty?

Stamp duty (now officially called land transfer duty in most states) is a state government tax on property transactions. It's charged when ownership of land or property transfers from one party to another.

Key points:

Who pays: The buyer, not the seller
When it's paid: At settlement (usually within 30 days)
How it's calculated: As a percentage of the purchase price or market value (whichever is higher)
Who collects it: State and territory governments

The buyer doesn't receive the property title until stamp duty is paid. Your buyer's conveyancer or solicitor calculates the amount and handles the payment.

How Stamp Duty Affects Sellers

While you don't pay stamp duty when selling, it can still impact your sale:

Impact on Buyer Affordability

Stamp duty adds significantly to a buyer's costs—often tens of thousands of dollars. This can:

Reduce the pool of buyers who can afford your property
Affect offers as buyers factor in total purchase costs
Slow decision-making as buyers calculate their full budget

Impact on Your Next Purchase

If you're selling to buy another property, you'll pay stamp duty on your new home. Factor this into your budget when planning your move.

What Costs Do Sellers Actually Pay?

While stamp duty isn't your responsibility, selling a property does come with costs:

Cost	Typical Range	Notes
Agent commission	1.5%–3.5% of sale price	Varies by location and agent
Marketing fees	$2,000–$10,000+	Photography, listings, signage, etc.
Conveyancing / legal fees	$800–$2,500	Title transfer, contract preparation
Capital gains tax	Varies	If selling an investment property
Mortgage discharge fees	$150–$600	To release your existing mortgage
Building / pest reports	$300–$800	If providing to buyers

Example: Selling Costs on a $800,000 Property

Important: These costs come out of your sale proceeds. An experienced agent can help you understand the true net amount you'll receive—and whether your sale price expectations are realistic.

How Much Does Stamp Duty Cost Buyers?

Understanding what your buyer pays helps you appreciate their position during negotiations.

Stamp Duty by State (2025)

Stamp duty is calculated on a sliding scale—the more expensive the property, the higher the rate.

Victoria

Cost	Amount
Agent commission (2.2%)	$17,600
Marketing	$4,000
Conveyancing	$1,500
Mortgage discharge	$350

Property Value

Stamp Duty Rate

Up to $25,000

1.4%

$25,001–$130,000

$350 + 2.4% of amount over $25,000

$130,001

Source: State Revenue Office Victoria

New South Wales

State	Exemption Threshold	Concession Range
NSW	Up to $550,000 (exempt)	$550,001–$650,000 (reduced)
VIC	Up to $600,000 (exempt)	$600,001–$750,000 (reduced)
QLD	Up to $500,000 (exempt)	Land under $250,000 (exempt)
SA	Concessions available	Varies by property type
WA	Concessions available	Varies by property value

‍Source: NSW Office of State Revenue

Example: Stamp Duty on a $750,000 Property

State	Approximate Stamp Duty
NSW	~$29,240
VIC	~$40,070
QLD	~$26,775
SA	~$32,330
WA	~$29,452

These are significant costs that buyers must pay on top of their deposit. This is why some buyers negotiate harder on price—they're factoring in total purchase costs.

Stamp Duty Exemptions and Concessions

Your buyer may qualify for reduced or zero stamp duty, which can make your property more attractive:

First Home Buyer Exemptions

State	Exemption Threshold	Concession Range
NSW	Up to $550,000 (exempt)	$550,001–$650,000 (reduced)
VIC	Up to $600,000 (exempt)	$600,001–$750,000 (reduced)
QLD	Up to $500,000 (exempt)	Land under $250,000 (exempt)
SA	Concessions available	Varies by property type
WA	Concessions available	Varies by property value

Tasmania and Northern Territory have different arrangements.

Other Exemptions May Apply For:

Off-the-plan purchases
Deceased estates
Transfer to a spouse
Young farmers
Certain pensioners

Eligibility Requirements (General)

To qualify for most exemptions or concessions, buyers typically must:

Be an Australian citizen or permanent resident over 18
Be purchasing their first property
Live in the property for 6–12 consecutive months
Not receive the First Home Owner Grant (in some states)
Purchase below certain price thresholds (up to $1.5 million in some cases)

Stamp Duty FAQs

When do buyers pay stamp duty?

Stamp duty is typically paid at settlement. Buyers usually have up to 30 days to pay, though this varies by state:

NSW: 3 months (12 months for eligible off-the-plan)
VIC: ~30 days
NT: ~60 days

How do buyers pay stamp duty?

Payment options vary by state but typically include:

Credit card
Electronic funds transfer
BPAY
Cheque or money order

Is stamp duty part of the house deposit?

No. Stamp duty is paid separately, on top of the deposit. Buyers need to budget for both.

Can stamp duty be added to a mortgage?

Some lenders allow stamp duty to be capitalised into the loan, but this increases the total amount borrowed and interest paid over time.

Understanding Your True Sale Position

Before listing your property, understand the full picture:

What You'll Receive (Net Proceeds)

Sale Price minus:

Agent commission
Marketing costs
Conveyancing fees
Mortgage payout
Capital gains tax (if applicable)

= Your net proceeds

What You'll Need for Your Next Property

Purchase Price plus:

Stamp duty
Conveyancing fees
Building/pest inspections
Moving costs
Any immediate repairs or improvements

= Total cost of your next home

An experienced agent can help you calculate both sides of this equation—so you know exactly where you stand before making any decisions.

How a Great Agent Helps You Avoid Costly Mistakes

Selling a property involves many moving parts. The right agent will:

Accurately value your property – So you set realistic expectations
Explain all selling costs – No surprises at settlement
Advise on timing – When to sell for best results
Market effectively – Attract qualified buyers
Negotiate strongly – Maximise your sale price
Coordinate the process – Work with conveyancers, buyers, and other parties
Help you understand buyer perspectives – Including their stamp duty burden

When you understand the full cost picture—for both you and your buyer—you can make smarter decisions and avoid costly mistakes.

Find a Real Estate Agent

Ready to sell? Compare agents in your area to find one who will guide you through the process and help you achieve the best possible outcome.

LocalAgentFinder helps you:

Compare performance data – Sales history, average days on market
Review commission rates – Understand what you'll pay
Read homeowner reviews – Real feedback from sellers
Understand marketing fees – Know your total costs upfront
Find local expertise – Agents who know your market

Why Sellers Choose LocalAgentFinder:

Free service – No cost, no obligation
Side-by-side comparison – Evaluate multiple agents
Transparent information – Fees, commissions, and performance
Trusted since 2007 – Connecting Australian homeowners with top agents

Know Your True Position Before You Sell

A great agent will help you understand your property's value and all the costs involved—so the final sale price minus expenses meets your expectations.

Compare Agents Now

Key Takeaways

Sellers don't pay stamp duty – It's the buyer's responsibility
Sellers pay other costs – Commission, marketing, conveyancing, CGT (if applicable)
Stamp duty affects buyers significantly – Often $20,000–$50,000+ on typical properties
First home buyers may be exempt – Thresholds vary by state
Understanding costs helps pricing – Know your net proceeds before listing
A great agent guides you – Avoiding costly mistakes and maximising your outcome

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Tools for sellers

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