# The real cost of buying a home in Australia (NSW, QLD & VIC)

> **Reading time:** 7 min  •  **For:** Buyers building a real budget  •  **States:** NSW, QLD, VIC

The sticker price isn't what you'll pay. This article shows you exactly what lands on top — for your state, your price point, your situation.

## The "price + 5%" myth

You've heard *budget 5% for costs*. It's wrong in both directions.

- **First home buyer under your state's threshold?** Costs can land at **1–2%** of the purchase price.
- **No concession + LMI on an $900K–$1M purchase?** Try **8–9%**.

Three things decide where you land:

1. **Your state's FHB concession** — does stamp duty apply or not?
2. **Your deposit size** — under 20% means LMI, unless you get a guarantee scheme.
3. **Fixed costs** — conveyancing, inspections, insurance, moving (same for everyone).

The rest of this article walks each one. Skip to your state when you're ready.

## The 60-second answer

> **🎯 If you're a first home buyer, your number is mostly about two questions:**
>
> 1. Is the purchase price under your state's FHB stamp duty threshold? → If yes, **$0 duty**
> 2. Is your deposit under 20%? → If yes, **either LMI ($15K–$35K+) or the First Home Guarantee ($0)**
>
> The answers to those two questions are usually the difference between **$8K of extras** and **$60K of extras** on the same purchase.

## The two big levers

If you can move either of these, you can move your number by tens of thousands.

### Lever 1: FHB concession — and the cliffs

FHB stamp duty isn't a sliding scale all the way up. **VIC $750K** and **QLD $800K** are sharp cliffs — $1 over and the concession is gone. **NSW is different**: it tapers from $800K to $1M, but the slide is steep enough that by $999K you're already paying ~$39K (close to full duty). Practical takeaway: the valuable NSW range is $800K–$900K, not $800K–$1M.

> **⚠️ If you're negotiating near a VIC or QLD cliff, the cliff matters more than the price.** A $751K VIC purchase costs more out of pocket than $749K. Get under the threshold if you can.

#### 🗺️ What FHB stamp duty actually costs (2025/26)

> **🏗 QLD new builds: $0 duty at every price.** Contracts from 1 May 2025 — no cap, no cliff. The table below covers **existing homes only**.

> **📐 Each cell shows purchase price + stamp duty** (the total cash you commit on the price + duty side). Grants and LMI are handled separately further down.

<div class="ig">
  <div class="ig-head">
    <span class="ig-pill">FHB duty</span>
    <p class="ig-title">Price + stamp duty across NSW, QLD &amp; VIC <span style="font-weight: 400; opacity: 0.6;">(existing homes, FHB)</span></p>
  </div>
  <div style="background: #fff; border: 1px solid #e2e8f0; border-radius: 12px; padding: 14px; overflow-x: auto;">
    <table class="ig-table" style="margin: 0;">
      <thead>
        <tr>
          <th>Purchase price</th>
          <th>🟦 NSW FHB <em style="color: #64748b;">(price + duty)</em></th>
          <th>🟧 QLD FHB <em style="color: #64748b;">(price + duty)</em></th>
          <th>🟪 VIC FHB <em style="color: #64748b;">(price + duty)</em></th>
        </tr>
      </thead>
      <tbody>
        <tr>
          <td>$500K</td>
          <td><strong>$500,000</strong></td>
          <td><strong>$500,000</strong></td>
          <td><strong>$500,000</strong></td>
        </tr>
        <tr>
          <td>$600K</td>
          <td><strong>$600,000</strong></td>
          <td><strong>$600,000</strong></td>
          <td><strong>$600,000</strong> <em style="color: #64748b;">(VIC sweet spot)</em></td>
        </tr>
        <tr>
          <td>$700K</td>
          <td><strong>$700,000</strong></td>
          <td><strong>$700,000</strong> <em style="color: #64748b;">(QLD sweet spot)</em></td>
          <td>~$724,700</td>
        </tr>
        <tr style="background: #fef2f2;">
          <td>$750K</td>
          <td><strong>$750,000</strong></td>
          <td>~$760,900</td>
          <td>~$790,070 <em style="color: #64748b;">(VIC cliff)</em></td>
        </tr>
        <tr style="background: #fef2f2;">
          <td>$800K</td>
          <td><strong>$800,000</strong> <em style="color: #64748b;">(NSW sweet spot)</em></td>
          <td>~$821,850 <em style="color: #64748b;">(QLD cliff)</em></td>
          <td>~$843,070</td>
        </tr>
        <tr>
          <td>$900K</td>
          <td>~$915,700</td>
          <td>~$926,350</td>
          <td>~$949,070</td>
        </tr>
        <tr>
          <td>$950K</td>
          <td>~$979,801</td>
          <td>~$978,600</td>
          <td>~$1,002,070</td>
        </tr>
        <tr>
          <td>$1M</td>
          <td>~$1,039,400</td>
          <td>~$1,030,850</td>
          <td>~$1,055,000</td>
        </tr>
      </tbody>
    </table>
  </div>
</div>

> **⚠️ Red rows are cliffs. NSW tapers instead.** $1 over a threshold and **VIC $750K** / **QLD $800K** lose the concession entirely. **NSW slides from $800K to $1M** — by $950K most of the concession is already gone, and by $1M it's worth nothing. The valuable NSW range is $800K–$900K.

> **💡 Quick takeaways.** **NSW** clears existing homes to $800K (highest threshold). **VIC's $600K threshold bites hard** — every dollar between $600K and $750K adds duty fast. **Buying new in QLD?** $0 duty at any price point (see callout above).

**Grants and Guarantee caps** (separate from duty above):

| | 🟦 NSW | 🟧 QLD | 🟪 VIC |
|---|---|---|---|
| **FHOG (new only)** | $10K (≤ $600K / H+L ≤ $750K) | **$30K** (≤ $750K, to 30 Jun 2026) | $10K (≤ $750K) |
| **First Home Guarantee cap** | $1.5M Sydney · $800K rest | $1M Bris/Coast · $700K rest | $950K Melb/Geelong · $650K rest |

### Lever 2: LMI — and how to skip it

**LMI** (Lenders Mortgage Insurance) applies when your deposit is **under 20%**. It's typically **1–5% of the loan** — often **$15K–$35K+** on a 5–10% deposit.

> **💡 The First Home Guarantee** (expanded **1 October 2025**) wipes LMI entirely: no income caps, unlimited places, 5% deposit, no LMI. Price caps apply by postcode — [check before you sign](https://firsthomebuyers.gov.au/australian-government-5-percent-deposit-scheme/property-price-caps).

> **⚠️ LMI is often capitalised** into the loan — you don't see it at settlement, but you pay it with 30 years of interest.

<div class="ig">
  <div class="ig-head">
    <span class="ig-pill">Compare</span>
    <p class="ig-title">Lender pays vs you pay</p>
  </div>
  <div class="ig-grid-2">
    <div class="ig-card ig-tone-info">
      <p class="ig-card-h" style="color: #1e3a8a;">🏦 Lender pays <span style="font-weight: 400; opacity: 0.7;">(built into the rate)</span></p>
      <ul>
        <li class="ig-tick">Property valuation</li>
        <li class="ig-tick">Title search at settlement</li>
        <li class="ig-tick">Mortgage discharge fee on seller's side</li>
      </ul>
    </div>
    <div class="ig-card">
      <p class="ig-card-h">💼 You pay <span style="font-weight: 400; opacity: 0.7;">(cash on the day)</span></p>
      <ul>
        <li class="ig-tick">Deposit (5–20%)</li>
        <li class="ig-tick">Transfer duty</li>
        <li class="ig-tick">Title + mortgage registration</li>
        <li class="ig-tick">Conveyancing + disbursements</li>
        <li class="ig-tick">Building &amp; pest inspection</li>
        <li class="ig-tick">LMI <em style="color: #64748b;">(unless using First Home Guarantee)</em></li>
        <li class="ig-tick">Home &amp; contents insurance</li>
        <li class="ig-tick">Council rates adjustment</li>
        <li class="ig-tick">Moving + connections</li>
      </ul>
    </div>
  </div>
</div>

## What everyone pays

Duty is the big variable. Everything else is roughly the same regardless of state, regardless of price point.

| Cost | Range | Notes |
|---|---|---|
| **Conveyancing** | $1,000–$2,500 | "Fixed fee" often excludes disbursements — add $300–$600 |
| **Building & pest inspection** | $450–$700 | Strata reports add $250–$500 |
| **Home & contents insurance** | $1,200–$2,500/yr | Required from settlement, not move-in |
| **Council rates adjustment** | $300–$1,200 | Reimburse seller for prepaid rates/water |
| **Body corporate adjustment** | $200–$1,500 | Strata only. Special levies can add thousands — ask for a current levies certificate |
| **Moving costs** | $1,200–$2,500 | Local 2–3 bed move |
| **Connection fees** | $100–$300 | Electricity, gas, internet |
| **Loan application fee** | $0–$600 | Often waived |

## State-based examples

Each block below is self-contained — concession, worked example, what to watch.

### 🟦 NSW — the headline

**FHB concession:** $0 duty up to **$800K**, sliding to **$1M**. The slide is steep — by $999K you're paying ~$39K (only ~$150 less than full duty). Above $1M, no concession.

**Title fees:** flat **$175** transfer + **$175** mortgage registration. Cheapest in the country.

**Vacant land:** $0 to $350K, taper to $450K.

**Watch the slide, not the cliff:** unlike VIC/QLD which jump at one number, NSW's concession bleeds out across $800K–$1M. The valuable range is $800K–$900K — above that, you're paying close to full duty anyway.

#### Worked example: $700K established home in Western Sydney, 5% deposit, First Home Guarantee

| Line item | Cost |
|---|---|
| Transfer duty *(FHBAS, ≤ $800K)* | **$0** |
| Title transfer + mortgage registration | ~$350 |
| Conveyancing + disbursements | $1,800 |
| Building & pest inspection | $600 |
| LMI | **$0** *(First Home Guarantee)* |
| Home & contents insurance (year 1) | $1,500 |
| Council rates adjustment | $700 |
| Moving + connections | $2,000 |
| **Total upfront extras** | **~$6,950** |
| Deposit (5%) | $35,000 |
| **Cash needed at settlement** | **~$41,950** |

**About 1% on top.** Without FHBAS, duty alone would add ~$25,900.

[Revenue NSW: FHBAS](https://www.revenue.nsw.gov.au/grants-schemes/first-home-buyer/assistance-scheme) · [NSW LRS fees](https://nswlrs.com.au/services/fees-payments/fees)

### 🟧 QLD — the headline

**FHB concession (existing):** $0 duty up to **$700K**, sliding to **$800K**.

**FHB concession (new build):** **$0 duty, no price cap** for contracts from 1 May 2025.

**First Home Owner Grant:** **$30K** for new homes ≤ $750K, contracts to 30 Jun 2026.

**Title fees:** scale with price — **$2,200–$3,000** at $500K–$1M (highest of the three states).

**Watch the cliff:** existing homes above $800K lose the concession entirely.

#### Worked example: $600K established home in Brisbane, 10% deposit, First Home Guarantee

| Line item | Cost |
|---|---|
| Transfer duty *(FHB concession ≤ $700K)* | **$0** |
| Transfer registration *(Titles QLD)* | ~$2,470 |
| Mortgage registration | ~$230 |
| Conveyancing + disbursements | $1,800 |
| Building & pest inspection | $600 |
| LMI | **$0** *(First Home Guarantee)* |
| Home & contents insurance (year 1) | $1,500 |
| Council rates adjustment | $700 |
| Moving + connections | $2,000 |
| **Total upfront extras** | **~$9,300** |
| Deposit (10%) | $60,000 |
| **Cash needed at settlement** | **~$69,300** |

**About 1.5% on top.**

> **🏗 Buying new in QLD?** Contracts from 1 May 2025: **$0 duty, no price cap**, plus **$30K grant** for new homes ≤ $750K. A $700K new build here is among the most subsidised purchases in the country.

[QRO: first home concession](https://qro.qld.gov.au/duties/transfer-duty/concessions/homes/first-home/) · [QRO: first home new home](https://qro.qld.gov.au/duties/transfer-duty/concessions/homes/first-home-new-home/) · [Titles QLD calculator](https://www.titlesqld.com.au/fees-payments/fee-calculator/)

### 🟪 VIC — the headline

**FHB concession:** $0 duty up to **$600K**, sliding to **$750K**. Lowest threshold of the three states.

**Title fees:** **$101.50 + $2.34 per $1,000** (electronic) — $600K ≈ $1,505.

**Off-the-plan concession:** extended to **21 October 2026** — generous, worth checking if buying new.

**Vacant land:** $0 to $400K, taper to $500K.

**Watch the cliff:** $750K — $1 over and you lose the concession entirely. Duty jumps to ~$40K.

#### Worked example: $650K established home in Melbourne, 10% deposit, First Home Guarantee

Middle of the sliding scale — between $600K full exemption and $750K cliff.

| Line item | Cost |
|---|---|
| Transfer duty *(sliding concession at $650K)* | ~$11,300 |
| Title transfer registration | ~$1,623 |
| Mortgage registration | ~$126 |
| Conveyancing + disbursements | $1,800 |
| Building & pest inspection | $600 |
| LMI | **$0** *(First Home Guarantee)* |
| Home & contents insurance (year 1) | $1,500 |
| Council rates adjustment | $700 |
| Moving + connections | $2,000 |
| **Total upfront extras** | **~$19,650** |
| Deposit (10%) | $65,000 |
| **Cash needed at settlement** | **~$84,650** |

**About 3% on top — duty is most of it.**

> **⚠️ VIC's $600K threshold bites hard.** At $600K exactly, duty would be $0 and extras would be ~$8,500 (~1.4%). Every dollar between $600K and $750K adds duty fast.

[SRO Vic: FHB duty](https://www.sro.vic.gov.au/first-home-owner) · [Land Use Vic fees](https://www.land.vic.gov.au/land-registration/fees-guides-and-forms/2025-26-fees)

## Most-forgotten line items

The ones that catch buyers out — not because they're hidden, but because they're not on the bank's calculator.

- **LMI** — and that First Home Guarantee can wipe it.
- **Council rates adjustment** — out of pocket at settlement, not from the loan.
- **Body corporate adjustment** on strata — special levies can run thousands.
- **Conveyancer's disbursements** — a "$990 fixed fee" often becomes $1,500–$1,800.
- **Insurance from settlement day**, not move-in day.
- **Title registration fees** — separate from stamp duty; scale with price in QLD and VIC.
- **State cliffs** — $1 over can cost tens of thousands.
- **First Home Guarantee price caps by postcode** — [check Housing Australia's tool](https://firsthomebuyers.gov.au/) before you sign.

## What's next

- [Grants & concessions deep dive](/help-hub/07-fhog-help-to-buy-qld) — FHOG and stamp duty concessions for your state.
- [Get a Zettle conveyancing quote](https://contracts.zettle.com.au/free-review?utm_source=readiness-quiz&utm_medium=referral&utm_campaign=contract-review&utm_content=article-06-true-cost-of-buying) — fixed fee, itemised disbursements, no settlement surprises.

## Sources

**NSW** — [Transfer duty](https://www.revenue.nsw.gov.au/taxes-duties-levies-royalties/transfer-duty) · [FHBAS](https://www.revenue.nsw.gov.au/grants-schemes/first-home-buyer/assistance-scheme) · [FHOG new homes](https://www.revenue.nsw.gov.au/grants-schemes/first-home-owner-new-homes-grant) · [NSW LRS 2025/26 fees](https://nswlrs.com.au/services/fees-payments/fees)

**QLD** — [Transfer duty rates](https://qro.qld.gov.au/duties/transfer-duty/calculate/rates/) · [First home concession](https://qro.qld.gov.au/duties/transfer-duty/concessions/homes/first-home/) · [First home (new home) concession](https://qro.qld.gov.au/duties/transfer-duty/concessions/homes/first-home-new-home/) · [FHOG](https://qro.qld.gov.au/property-concessions-grants/first-home-grant/) · [Titles QLD calculator](https://www.titlesqld.com.au/fees-payments/fee-calculator/)

**VIC** — [Land transfer duty current rates](https://www.sro.vic.gov.au/about-us/rates-and-statistics/current-rates/land-transfer-duty-current-rates) · [FHB duty](https://www.sro.vic.gov.au/first-home-owner) · [FHOG](https://www.sro.vic.gov.au/first-home-owner-grant) · [Land Use Vic 2025/26 fees](https://www.land.vic.gov.au/land-registration/fees-guides-and-forms/2025-26-fees)

**Strata / body corporate / OC** — 🟦 [NSW Fair Trading](https://www.nsw.gov.au/housing-and-construction/strata) · 🟧 [QLD BCCM](https://www.qld.gov.au/law/housing-and-neighbours/body-corporate) · 🟪 [Consumer Affairs Vic](https://www.consumer.vic.gov.au/housing/owners-corporations)

**Federal** — [LMI: Moneysmart](https://moneysmart.gov.au/home-loans/lenders-mortgage-insurance) · [First Home Guarantee](https://www.housingaustralia.gov.au/home-guarantee-scheme) · [Property price caps](https://firsthomebuyers.gov.au/australian-government-5-percent-deposit-scheme/property-price-caps)