What is Transfer Duty in WA (and when do you pay it)?
- North Shore Conveyancing
- 7 days ago
- 6 min read
Updated: 6 days ago
If you’re buying property in Perth or indeed, anywhere in Western Australia, you’ll almost certainly hear the term ‘Transfer Duty’. Many buyers (and even settlement agents) still call it Stamp Duty, but the official name in WA is Transfer Duty.
It’s one of the largest upfront costs involved in buying a property, so it’s important to understand what it is, when it’s paid, and whether any concessions might apply to your circumstances. Whether you’re purchasing your first home in Joondalup, upgrading in Hillarys, or buying an investment property around Kallaroo, here’s a clear explanation of how transfer duty works in WA.
What is transfer duty?
Transfer duty is a tax charged by the WA Government when ownership of property is transferred from one person to another. The amount of duty is assessed by RevenueWA, and it’s based on the ‘dutiable value’ (i.e. the market value) of the property, which in most cases, is the purchase price.
Although still commonly referred to as stamp duty, the process today is entirely digital with not a stamp in sight.
Your settlement agent lodges the contract online with RevenueWA, receives the duty assessment, and in most cases, arranges the payment as part of settlement.
To estimate the duty payable on your purchase, you can use the official calculator on the RevenueWA website.
When do you pay transfer duty in WA?
In most property transactions, transfer duty is paid at settlement as part of the funds your conveyancer collects and distributes. However, there are legal deadlines for paying duty. For most standard property purchases duty must be paid within two years of the contract being signed, or at settlement (whichever occurs first). For off-the-plan purchases, or other transactions waiting on titles to issue, buyers have a longer timeframe, with duty paid within three years of the contract date (or, again, at settlement if settlement occurs earlier).
All contracts however, must be lodged with RevenueWA within two months acceptance.
This is why it’s important to appoint a settlement agent early. Your conveyancer ensures the contract is lodged with RevenueWA within the required timeframe and manages the duty assessment process as part of their services.
The General Rate of transfer duty
Most property purchases in WA fall under the General Rate of transfer duty. This is the standard rate applied to residential and commercial property transactions when no concession applies.
The amount payable depends on the purchase price of the property. Because duty rates can change over time, and are generally based on contract date, the most reliable way to estimate the exact amount is to use the calculator on the RevenueWA website.
As an example, if a buyer purchases a property in Perth in March 2026 for $1,000,000, the General Rate of transfer duty is $42,615.50.
Your settlement agent will, in most cases, self-assess your transaction online with RevenueWA.
First Home Owner transfer duty rate
If you are a first-home buyer, you may be eligible for a transfer duty concession. However, there are a few important points to understand. First, the $10k First Home Owner Grant (FHOG) and transfer duty concessions are separate programs. Buyers often assume they are the same thing, but they are administered differently.
Second, if you want to claim the First Home Owner Rate (FHOR) of Duty, you must first get FHOG approval. This generates a reference called a ‘UIN’ (a Unique Identification Number) that your conveyancer can use to claim the FHOR for you.
If FHOG approval is not obtained in time, the buyer can pay the higher General Rate at settlement and then apply for a refund once the FHOG is approved. This can be frustrating for buyers, so ensuring your grant application is lodged early is important.
While the First Home Owner Grant itself only applies to new homes or construction, transfer duty concessions also apply to established homes within certain price thresholds.
As at March 2026, these thresholds are as follows:
Residential (established) | Vacant Land | |
Value of Property | Up to $700,000.00 in Metro & Peel regions Up to $750,000.00 outside those regions | Up to $450,000.00 |
Duty payable |
|
|
Off-the-plan transfer duty concessions
Western Australia currently has a temporary off-the-plan transfer duty concession designed to encourage apartment construction. For contracts signed between 21 March 2025 and 30 June 2026, buyers may receive significant duty reductions.
Pre-construction contracts | Under-construction contracts |
Properties purchased before construction begins | Properties purchased when construction has already commenced |
$750,000 or less: 100% duty concession (capped at $50,000) $750,000 to $850,000: sliding scale concession between 100% and 50% $850,000 or more: 50% concession (capped at $50,000) | $750,000 or less: 75% concession (capped at $50,000) $750,000 to $850,000: sliding scale between 75% and 37.5% $850,000 or more: 37.5% concession (capped at $50,000) |
Because these concessions are temporary and highly specific, it’s important to check the current rules on the RevenueWA website before relying on them.
Update: Since publishing this blog, the WA Government announced on 12 March 2026 that the Off-the-Plan Duty Concession provisions would be extended as part of the 2026/27 State Budget.
Proposed changes include:
Survey-Strata properties being included in the scheme for the first time, opening the scheme to smaller developments such as duplexes and triplexes
Thresholds for concession assistance will also be increased from $750,000 and $850,000 to $800,000 and $900,000, respectively.
The concessions will be extended until 30 June 2028
For more information, you can read the full media statement.
Foreign Transfer Duty
If a foreign purchaser buys residential property in WA, an additional Foreign Buyers Duty surcharge may apply. The surcharge is currently 7% of the purchase price, and it is payable in addition to the normal transfer duty.
For example:
If a couple buys a property 50/50 for $1,000,000, and one purchaser is considered a foreign resident:
General transfer duty: $42,615.50
PLUS Foreign Transfer Duty (7% of the foreign person’s 50% share): $35,000
TOTAL duty payable: $77,615.50
This surcharge can dramatically increase the upfront cost of purchasing property, so buyers should confirm their residency status early in the process.
Substituted purchasers (changing the buyer)
Another area where transfer duty can become complicated is when the buyer on a contract is changed after signing. This is known as a substituted purchaser. Some changes are generally accepted without additional duty, such as:
Adding or removing a spouse or de facto partner
Certain close family relationships
However, the list of qualifying relationships is strictly defined. If the new purchaser does not fall within those relationships, additional transfer duty may apply.
This is especially important when purchasing property under a trust or company structure.
Changing the buyer after a contract is signed can trigger a reassessment by RevenueWA and may result in extra duty being payable.
For this reason, it’s incredibly important to get the buyer's name correct when the offer is written. Fixing it later can be time-consuming, costly, and sometimes impossible without additional tax.
Common transfer duty mistakes buyers make
Over the years, we’ve seen a few common issues cause unnecessary delays or additional duty:
Writing the wrong buyer name on the contract
Adding a partner after signing the contract
Not understanding trust structures
Assuming FHOG approval will be automatic and not qualifying for the FHOR before settlement
Waiting too long to appoint a conveyancer and incurring penalty tax
These issues often require manual assessment by RevenueWA, which can slow down the settlement process.
FAQ: Transfer duty in WA
What is transfer duty in WA?
Transfer duty (formerly stamp duty) is a government tax payable when property ownership changes.
When do you pay transfer duty?
Usually at settlement. Technically, it must be paid within two years of the contract date for standard purchases or at settlement, whichever is sooner.
Who pays transfer duty?
The buyer is responsible for paying transfer duty.
Can first home buyers avoid transfer duty?
Some first home buyers may qualify for reduced or zero duty depending on the property value.
What happens if the buyer name changes after signing the contract?
Additional duty may apply if the substituted purchaser does not fall within approved relationship categories.
Understanding transfer duty before you sign
Transfer duty is often one of the largest upfront costs when buying property in Western Australia. Understanding which rate applies, whether concessions are available, and ensuring the buyer details are correct from the start can prevent costly mistakes.
If you’re buying property in Perth and want clarity on how transfer duty will apply to your purchase, it’s always worth getting advice before you sign the contract. North Shore Conveyancing supports buyers across Perth with clear guidance on contracts, duty obligations, and settlement processes.
If you’re preparing to make an offer and want to ensure everything is structured correctly from the start, contact Katelyn for practical advice before you sign.
