ACT Stamp Duty 2026-27: No Foreign Surcharge, First Home Buyer Concession Up to $1,020,000

The ACT is unique among Australian jurisdictions in two critical ways for property buyers: it has no foreign purchaser conveyance duty surcharge, and its first-home buyer concession now has no income test from 1 July 2026. For a foreign buyer or a high-income first-home buyer, the ACT can be the lowest-stamp-duty jurisdiction in the country — a fact that is often overlooked because Canberra’s property market is smaller than Sydney or Melbourne’s.

ACT conveyance duty for 2026-27 uses two separate rate scales: owner-occupier (concessional) and investor (general).

The owner-occupier concessional scale applies lower rates to buyers who will live in the property as their principal place of residence. The investor (general) scale applies higher rates to investment properties. The difference between the two scales is significant — an owner-occupier saving thousands compared to an investor at the same purchase price.

For a $700,000 Canberra property under the owner-occupier concessional scale: duty is approximately $19,600. Under the investor scale, the same property attracts approximately $28,202. The occupier status determination depends on whether you (or a related person) intend to occupy the property as your principal place of residence within 12 months of settlement.

Home Buyer Concession Scheme (HBCS): zero duty up to $1,020,000

Since 1 July 2026, the ACT’s Home Buyer Concession Scheme has removed the income test entirely. Previously, eligibility was capped by an income threshold that excluded higher-earning first-home buyers. Now, any first-home buyer (and certain other eligible home buyers) purchasing a property with a dutiable value up to $1,020,000 pays zero conveyance duty — with no income cap.

The HBCS provides a full exemption up to $1,020,000 of dutiable value. Above $1,020,000, the concession phases out on a sliding scale, meaning you receive a partial reduction rather than a full exemption. The removal of the income test is a game-changer for two-income professional couples in Canberra, where APS and private-sector salaries often pushed households above the old income thresholds.

Eligibility requirements: at least one buyer must be an Australian citizen or permanent resident, must occupy the home as a principal place of residence for at least 12 months within 12 months of settlement (or completion), and must not have owned residential property in Australia in the previous two years. The property can be new or established — there is no new-home requirement for the HBCS, which is a significant advantage over states like SA that limit first-home relief to new homes only.

No foreign purchaser conveyance duty surcharge

The ACT does not impose a foreign purchaser surcharge on conveyance duty. While NSW charges 9%, Victoria 8%, Queensland 8%, SA 7% and WA 7% on top of standard duty, the ACT charges foreign buyers the same duty as Australian citizens and permanent residents. This is a major differentiator for foreign investors and temporary residents considering property in Australia — Canberra is the only capital city where the stamp duty bill for a foreign buyer is the same as for a local.

However, the ACT does impose a foreign owner land tax surcharge: 0.75% per annum on the unimproved land value of residential property owned by foreign persons. This is an annual ongoing charge, not a one-off duty. At current land values, the annual cost is typically in the hundreds to low thousands of dollars — significantly less than the 4% foreign owner land tax surcharge in NSW (which adds thousands per year).

No First Home Owner Grant (FHOG)

The ACT abolished the First Home Owner Grant in July 2019. There is no FHOG available in the ACT for any purchase. The policy rationale was that the HBCS (stamp duty concession) provides a larger and more targeted benefit than a cash grant, since stamp duty is typically a larger transaction cost than $7,000–$10,000 at ACT property price levels. The HBCS with no income test and a $1,020,000 threshold provides a duty saving that often exceeds $20,000–$30,000 — far more than the abolished FHOG.

How the ACT compares to surrounding NSW

The ACT is surrounded by NSW, and many people live in one jurisdiction and consider buying in the other. The stamp duty difference can be substantial. For an Australian citizen first-home buyer purchasing a $750,000 home: in the ACT, duty is zero (HBCS). In NSW (Queanbeyan or adjacent areas), the same buyer qualifies for the FHBAS full exemption only up to $800,000 — but the NSW FHBAS also requires zero prior property ownership (not just a two-year lookback like the ACT’s HBCS). For a buyer who owned property more than two years ago, the ACT is the clear winner.

For a foreign buyer purchasing a $700,000 investment property: ACT duty at the investor scale is approximately $28,202. In NSW, the same buyer pays approximately $28,200 in standard duty plus 9% foreign surcharge ($63,000) — total $91,200. The ACT’s no-surcharge policy saves this buyer over $63,000 upfront, though the ongoing 0.75% land tax surcharge in the ACT partially offsets the upfront saving over time.

Conveyance duty on commercial property in the ACT

The ACT also imposes conveyance duty on commercial property at the general (investor) scale. The owner-occupier concessional scale does not apply to commercial purchases. Buyers of commercial property should budget for the full investor-scale duty at the applicable rate for the dutiable value.

How to budget for ACT stamp duty

For a first-home buyer (or home buyer meeting the HBCS eligibility criteria): if your purchase price is under $1,020,000, your duty is zero. Above that, your duty is a partial amount under the sliding scale. Confirm your eligibility with the ACT Revenue Office or your conveyancer before making an offer.

For an investor or non-eligible buyer: budget for duty at the investor (general) scale. For a $600,000 investment property, the duty is approximately $22,600. For the same property as an owner-occupier: approximately $15,200 — a $7,400 difference that rewards buyers who intend to live in the property.

For a foreign buyer: budget for the same duty as above, plus the ongoing annual foreign owner land tax surcharge of 0.75% of unimproved land value, billed through the ACT Revenue Office each year.

Information sources

All ACT conveyance duty rates, HBCS thresholds, the removal of the income test (1 July 2026), the absence of a foreign conveyance surcharge, and FHOG abolition are sourced from the ACT Revenue Office as at July 2026. Owner-occupier and investor rate scales are per the Duties Act 1999 (ACT) and associated determinations. Foreign owner land tax surcharge details are per the Land Tax Act 2004 (ACT).

Frequently asked questions

Does the ACT really have no foreign buyer stamp duty surcharge?

Correct. The ACT does not impose a foreign purchaser surcharge on conveyance duty. Foreign buyers pay the same duty as Australian citizens and permanent residents. The ACT imposes a 0.75% annual foreign owner land tax surcharge instead, which is an ongoing charge, not an upfront one.

What changed with the HBCS on 1 July 2026?

The income test was removed. Previously, first-home buyers above a certain income threshold were ineligible for the concession. From 1 July 2026, any eligible home buyer purchasing a property with a dutiable value up to $1,020,000 pays zero conveyance duty, with no income cap.

Is there a FHOG in the ACT?

No. The ACT abolished the First Home Owner Grant in July 2019. The Home Buyer Concession Scheme (stamp duty relief) is intended to provide a larger benefit than the FHOG. At ACT property prices, the HBCS duty saving typically exceeds $20,000.

Does the HBCS apply to both new and established homes?

Yes. The ACT’s Home Buyer Concession Scheme applies to both new and established (existing) homes, with no distinction. The property must be intended as your principal place of residence for at least 12 months.

Next step: calculate your ACT stamp duty

The ACT’s unique combination of no foreign conveyance surcharge, a generous HBCS with no income test, and no FHOG means each buyer’s duty calculation depends heavily on their residency, property use and eligibility. Speak with an Arrivau licensed mortgage consultant for a personalised duty estimate and borrowing capacity assessment — we respond within one business day.

General information disclaimer

This article is general information only and is not personal financial, tax, legal or credit advice. ACT conveyance duty rates, concessions and thresholds can change. Arrivau Pty Ltd (ABN 81 643 901 599) provides credit assistance as an ASIC Credit Representative, CRN 530978. Obtain independent legal and duty advice from a licensed ACT solicitor or conveyancer before purchasing property.