First Home Buyer Threshold: What Happens Above $800,000?
The NSW first home buyer exemption threshold is $800,000. But what happens if you buy above this amount? Use this calculator to see the dramatic difference in stamp duty.
Buying at $800,000 means zero stamp duty as a first home buyer. Buy at $900,000 and you'll pay approximately $15,000 in duty. Understanding these thresholds can save you thousands.
Scenario A: At $800,000 threshold
Scenario B: Above threshold
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01 —INPUTS
Above threshold pays $17,456.00 more in stamp duty compared to At $800,000 threshold.
02 —RESULTS
Scenario A
At $800,000 threshold2025-26 stamp duty rates
Stamp Duty$0.00
First Home Buyer SavingsSave $30,412.00
Deposit Amount$160,000.00
Government Fees$320.40
Total Cash Needed$160,320.40
Effective duty rate:0.00%
Scenario B
Above threshold2025-26 stamp duty rates
Stamp Duty$17,456.00
First Home Buyer SavingsSave $17,456.00
Deposit Amount$180,000.00
Government Fees$17,776.40
Total Cash Needed$197,776.40
Effective duty rate:1.94%
03 —BREAKDOWN
This calculator provides estimates only and does not constitute financial advice. Actual amounts may vary. Consult a conveyancer or solicitor for accurate costs.
Edit inputs ↑How to use this comparison
- Review the pre-filled scenarios — we've set up realistic defaults for comparison
- Adjust the property price — enter your actual or expected purchase price
- Compare the results — see the stamp duty difference highlighted at the top
- Share or bookmark — the URL updates as you change inputs
Frequently asked questions
What is the first home buyer exemption threshold in NSW?
NSW first home buyers pay zero stamp duty on properties valued at $800,000 or less. Above this threshold, a sliding scale concession applies until $999,999, after which full duty is payable.
How is stamp duty calculated between $800,000 and $1 million?
Between $800,001 and $999,999, you pay a proportion of the full duty based on how far above $800,000 the property is. The formula is: full duty × [(price - $800,000) / $199,999]. This creates a sliding scale from zero duty to full duty.
Is it worth negotiating below the threshold?
Potentially yes. Buying at $800,000 instead of $850,000 saves the full stamp duty amount (approximately $15,000+ at that price point). However, property value and suitability should be primary considerations.
Do other states have similar threshold cliffs?
Yes, most states have exemption thresholds with sliding scale concessions above. VIC threshold is $600,000, QLD is $700,000 for established homes (new homes have no limit). Each state's sliding scale works slightly differently.