Most buyers budget carefully for the deposit and then stop counting. The purchase price feels like the number that matters, so everything else gets filed away as paperwork.
Brisbane has made that assumption expensive. Median dwelling values have pushed past the million-dollar mark, and the taxes, concessions and loan decisions attached to a purchase now move real money in both directions.
The upside is that Queensland is unusually generous to first home buyers at the moment. Several of the rules also changed during 2026, so advice you read a year ago may already be out of date.
Here is what is actually on the table, and where buyers quietly lose money without noticing.
Key Takeaways
- Transfer duty is the highest upfront cost after your deposit, and Queensland concessions can reduce it to nothing.
- First home buyers of new homes pay no transfer duty at all, with no price cap, for contracts signed from 1 May 2025.
- The $30,000 First Home Owner Grant did not fall back to $15,000 in July 2026. It continues for eligible new home contracts.
- From 1 August 2026, home concessions are limited to Australian citizens, permanent residents and specified foreign retirees.
- Loan structure, not just the headline rate, decides what a purchase really costs over the years you hold it.
The Cost Most Buyers Underestimate
Transfer duty, still widely called stamp duty, is a one-off state tax charged when property changes hands in Queensland. It is calculated on the dutiable value of the property, which is usually the price you pay or the market value, whichever is higher.
That figure can run into the tens of thousands. What surprises people is how many buyers are entitled to pay far less, or nothing at all.
The general home concession is available even if you have owned property before, provided you move in within a year of settlement. It saves eligible buyers up to $7,175.
First home buyers purchasing an established home get a bigger break. The first home concession is worth up to $24,525 and applies to homes valued under $800,000. If the home is valued at $700,000 or less, the concession is full, and no duty is payable.
There is one detail investors should note early. Duty is generally not deductible in the year you buy. It sits in your cost base and becomes relevant later, when you sell and calculate capital gains, which is why a clear grasp of stamp duty costs is worth having before you model any purchase.
Queensland’s First Home Incentives Are Better Than Most People Assume
If you are buying or building a brand new home, the numbers change dramatically.
For contracts signed on or after 1 May 2025, first home buyers of a new home can claim a concession that reduces transfer duty to nil, and that applies regardless of what the home is worth. The same full concession is available on vacant land bought to build a first home.
Sitting alongside that is the First Home Owner Grant. It is worth $30,000 for eligible new homes valued under $750,000 including land, and despite widespread reporting that it would revert to $15,000, the Queensland Government has confirmed the increased grant continues for eligible contracts signed from 1 July 2026 onwards.
There is no grant for established homes, which is the single biggest misunderstanding first home buyers have about it.
Federally, the scheme formerly known as the Home Guarantee Scheme now runs as the Australian Government 5% Deposit Scheme. Eligible first home buyers can purchase with a 5% deposit and avoid lenders’ mortgage insurance, with a price cap of $1,000,000 across Brisbane, the Gold Coast and the Sunshine Coast, and $700,000 in other parts of Queensland.
One recent change deserves attention. From 1 August 2026, buyers must be an Australian citizen, permanent resident or specified foreign retiree to claim a transfer duty home concession. Temporary residents will generally pay duty at standard rates, plus the 8% additional foreign acquirer duty that applies to residential land bought by foreign acquirers in Queensland.
Where Loan Structure Quietly Decides The Outcome
Incentives are only half the story. The way your finance is built determines whether you can actually access them, and what the loan costs you once the excitement fades.
A $750,000 cap sounds generous until a few upgrades on a build contract push the total past it. A contract written one way may qualify for a concession while an almost identical one does not. Lender policy varies too, and not every lender treats grants, guarantors or construction contracts the same way.
Expert mortgage brokers Brisbane buyers work with will read your contract alongside lending policy before anything is signed, which is where thresholds are protected rather than accidentally breached. Inovayt, for instance, compares options across more than 40 lenders and matches the loan structure to the incentives you qualify for.
Features matter just as much as the rate. An offset account, a split between fixed and variable, or a redraw facility can each change your interest cost and your flexibility, and the right combination depends entirely on how you actually use money.
Building Instead of Buying Changes Everything
House and land purchases work differently, and the difference catches people out. Instead of one contract, you sign two: one for the land and a separate building contract, each settling at a different time.
That is financed with a construction loan. Rather than receiving the full amount at settlement, funds are released in stages as the builder completes each milestone, typically slab, frame, lockup, fixing, and completion.
During the build, you pay interest only on the amount drawn so far, not the full loan. Repayments start small and rise as construction progresses, which helps if you are also paying rent.
The coordination is the hard part. Two contracts, two settlement dates, and staged valuations all need to line up, and the timing has consequences for both your grant eligibility and your cash flow.
If You Already Own, The Review Still Matters
Refinancing is not only about chasing a lower rate. Homeowners use it to access equity for renovations or an investment purchase, to consolidate more expensive debt, or to move to a loan with features their current one lacks.
The test is simple enough. Compare the total cost of switching, including discharge and establishment fees, against what you save, then work out how many months it takes to break even.
Investors have an extra reason to stay organised. Keeping records of purchase costs, duty, legal fees and capital improvements from day one protects your cost base and reduces the gain you are taxed on when you eventually sell.
The bottom line
Buying a home in Brisbane rewards those buyers who treat the finance and the tax side as part of the purchase, not as admin to sort out later. The concessions are real, the grant is still generous, and the eligibility rules are more specific than most headlines suggest.
Work out which incentives apply to your situation before you sign, get your loan structured around them, and revisit the arrangement every couple of years. That is where the meaningful savings sit.
FAQs
1. Do I pay stamp duty on my first home in Queensland?
Possibly not. First home buyers of new homes and vacant land can claim a full concession that reduces duty to nil for contracts signed from 1 May 2025. For established homes, no duty is payable at $700,000 or less, with a partial concession up to $800,000.
2. Is the $30,000 First Home Owner Grant still available?
Yes. The increased grant continues for eligible contracts signed from 1 July 2026 onwards. It applies only to new homes valued under $750,000 including land, and it is not available for established homes.
3. Can I use the First Home Owner Grant as my deposit?
The grant is paid around settlement rather than upfront, so lenders treat it as part of your funds to complete rather than as savings you already hold. How it fits into your deposit depends on the lender and the contract, which is worth confirming before you commit.
4. How much deposit do I need to avoid lenders mortgage insurance?
Ordinarily, 20%. Eligible first home buyers using the Australian Government 5% Deposit Scheme can buy with 5% and avoid the insurance entirely, within the price cap for their location.
5. Does a broker cost me anything?
Brokers are generally paid a commission by the lender after settlement rather than a fee by the borrower. Any exceptions should be disclosed to you in writing before you apply.