20/10/2006 - 14:57

Median house price pushes Perth stamp duty: REIWA

20/10/2006 - 14:57

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First home buyers in Perth and Melbourne are now paying the most expensive rates of stamp duty in Australia on a median priced home - hitting more than $18,000 (see table).

Median house price pushes Perth stamp duty: REIWA


First home buyers in Perth and Melbourne are now paying the most expensive rates of stamp duty in Australia on a median priced home - hitting more than $18,000.

Figures released last week from the Real Estate Institute of Western Australia show that a median priced house in Perth is now $450,000.

However, Victoria's property buyers are still worse off because their median property price is $375,000, a purchase which will set back the buyer much the same as a $450,000 transaction in WA.

City Median price Regular buyer First home buyer
Perth$450,000 $18,200 $18,200
Darwin$350,000$12,800 $7,300
Hobart $277,000 $8,630 $4,630
Brisbane $326,000 $3,400 $1,600
Sydney $523,000 $19,000 $5,170
Melbourne $375,000 $18,160 $18,160
Canberra $380,000 $13,900 $13,100
Adelaide $286,500 $10,700 $10,700

First home buyers securing a home at that price will now pay $18,200 in stamp duty.
In Melbourne stamp duty rates for first home buyers securing a median priced house is approaching $18,400.
REIWA President Rob Druitt said stamp duty in WA had exploded by more than 240 per cent in recent years, and was particularly hard on first home buyers.

"First home buyers in every other capital city other than Melbourne pay lower rates of stamp duty on a median priced home," Mr Druitt said.
"In Sydney, first home buyers pay no stamp duty at all on homes valued up to $500,000, and we should have a similar system in WA," he said.
Rates of stamp duty for first home buyers purchasing a median priced home varied from $1,600 in Brisbane to $18,160 in Melbourne based on the June quarter data.
Mr Druitt renewed his call for the state government to set the tax-free threshold for first home buyers at the median price.
"The tax-free threshold for first home was capped at the median price in 2004, when the median was $250,000 and 46 per cent of all homes were under that price.
"However, since then the median has rocketed to $450,000 and fewer than 5 per cent of homes are under this price.
"It is unrealistic and unfair to expect first home buyers to find a home in the current market under $250,000, and they should be given a fair go," Mr Druitt said.
Interstate rates of stamp duty on median priced homes: About the data: These figures are indicative only.
In some capitals there are some modest variances.
The Perth median is the REIWA preliminary measure for the September quarter 2006.
All other medians are from the June quarter 2006.
While REIWA would not normally present medians from different quarters, it is apparent that WA's recent strong growth will still ensure that first home buyers in Perth and Melbourne will be paying the highest rates of stamp duty on a median priced home, even after September quarter medians from all other capitals are known in a few weeks time.











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