First Home Buyers in Brisbane Now Allowed to Rent Out a Room Under New Queensland Stamp Duty Rules
First Home Buyers in Brisbane Now Allowed to Rent Out a Room Under New Queensland Stamp Duty Rules
First home buyers in Brisbane, Queensland, can now benefit from the stamp duty concession while renting out a room in their new home, thanks to recent changes in the state’s conveyancing laws. Previously, first-time property owners were restricted from renting out part of their home within the first year of occupancy to qualify for the first home buyer stamp duty exemption. However, under new rules that came into effect on September 10, 2024, first home buyers can now lease out a room or space in their property while still claiming the stamp duty concession, as long as they continue to live in the home themselves.
This new flexibility applies to leases starting between September 10, 2024, and June 30, 2025. The change is expected to benefit many Queensland residents, particularly in Brisbane, where rental vacancy rates are at a record low, hovering around 1%. In fact, approximately 21,000 first-home buyers each year had previously been prevented from renting out part of their home due to the old rules, which meant they missed out on the stamp duty concession.
What Does This Mean for First Home Buyers in Brisbane?
Under Queensland’s stamp duty concession program, first-home buyers can avoid paying stamp duty on properties valued at $700,000 or less. With house prices in Brisbane remaining relatively high, the ability to rent out part of the property provides an opportunity for buyers to help cover costs while still taking advantage of this significant financial benefit.
Read more on the new Queeensland Stamp Duty Concession changes here.
Why This Matters in Brisbane's Current Rental Market?
With Brisbane’s rental vacancy rate at just 1%, the city’s rental market is extremely tight, making it difficult for many residents to find affordable accommodation. For first-home buyers, being able to rent out a room or space within their home offers a potential income stream, easing the financial pressures of homeownership. It also provides additional housing options for renters in the Brisbane and greater residential area.
How Do These Changes Affect Conveyancing and Stamp Duty in Queensland?
These updates to Queensland’s stamp duty rules are part of the state government's broader effort to make homeownership more accessible while addressing the challenges in the local rental market. If you’re a first-home buyer in Brisbane, it’s important to work with an experienced conveyancer who understands the latest changes to stamp duty regulations and can help guide you through the process of claiming the concession.
For those planning to buy in Brisbane, whether you're renting out part of your new home or not, now is the time to seek professional legal advice on how these changes may impact your property purchase and eligibility for the stamp duty concession.
In Summary:
First-home buyers in Brisbane can now rent out a room in their new home and still qualify for the stamp duty concession, as long as they remain living in the property.
The new rules apply to leases starting between September 10, 2024, and June 30, 2025.
This change provides more rental options in Brisbane's competitive market while supporting first-time buyers with the cost of homeownership.
Work with a qualified conveyancer to navigate these changes and ensure you maximise your stamp duty savings.
If you're looking for expert conveyancing advice or need assistance with your first home purchase in Brisbane, contact Horrocks Solicitors today to ensure you make the most of Queensland's latest stamp duty reforms.