Home News Stamp duty puts additional burden on Australian households

Stamp duty puts additional burden on Australian households

Font size :

According to the latest report from the Housing Industry Association, the average burden associated with stamp duty upon residential property purchases for a non-first home buyer owner-occupied amounted to $17,811. That is equivalent to almost four months’ worth of average income. That also means that Australian households are shelling out more than $90 per month just to cover stamp duty.

Households in Victoria, New South Wales, and the Northern Territory are the worst hit, with average additional monthly mortgage repayments ranging from $112 to $117 due to stamp duty. Those in Queensland and Tasmania have it the easiest, but the stamp duty in the latter is still equivalent to 3.5 per cent of the cost of a non-first home buyer median range purchase.

HIA’s report comes after lobby groups fight for an easing of the taxes levied upon housing purchases. According to HIA chief economist Harley Dale, the stamp duty was not a fair burden upon ordinary Australians.

“The tax element of housing is incredibly high. Frankly, it is too high and it doesn’t make sense in terms of trying to let people get a leg up into the housing industry and put a roof over their heads,” Dale said.

He also lamented the fact that the federal government has not moved to appoint a housing minister.

“It’s quite a stark omission from the Turnbull government cabinet that there is no minister for housing,” Dale said. “I think that’s quite a big miss in terms of allocation of the importance of various aspects of the Australian economy.”

With interest rates at their lowest for more than 50 years, there are some great rates available. The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this - Compare Home Loans now

Mortgage News and Articles

MyState refunds over-charged interest and fees to customers MyState refunds over-charged interest and fees to customers

These errors were the result of shortcomings in MyState’s manual administration processes, ASIC said Read more

House prices return to more affordable levels in mining towns House prices return to more affordable levels in mining towns While the end of the mining boom has had a negative impact on property prices, homes in the region have become more affordable ... Read more

Borrowers should anticipate a possible rate hike Borrowers should anticipate a possible rate hike Some experts advise borrowers to look for a fixed loan that allows extra repayments so that they can whittle down the balance sooner ... Read more

Why choosing the right mortgage is hard for first-home buyers Why choosing the right mortgage is hard for first-home buyers Many feel overwhelmed by the sheer range of products and interest rates on offer, a new survey reveals ... Read more

More mortgage news and articles

Sponsored Links

Friday, Jul 28, 2017
Top Featured Rates
Top Bank Rates

Get help choosing the right home loan

Let us help you find the right home loan for your needs.

Tell us a bit about your circumstances:
  • Purpose of mortgage
  • Household Income
    $
  • How much do you want to borrow?
    $
  • How much deposit do you have?
    $
  • How much is your house worth?
    $
  • How much do you still owe on your mortgage?
    $
  • What type of mortgage do you have?


  • How much is your new home?
    $
  • How much do you want to borrow?
    $
  • How soon do you want a mortgage?
Next
  • First name
  • Last name
  • Where do you live?
  • Phone number

Special Offers

Related Keywords