More pain on way for homebuyers

Sydney homebuyers will be hit with higher stamp duty bills now that average house prices have hit the $1 million mark, according the Property Council.

In NSW, stamp duty rates increase from 4.5 percent to 5.5 percent for the value of homes above $1 million.

“Sydney homebuyers are enduring the double whammy of rampaging property prices and higher stamp duty bills,” NSW Executive Director Glenn Byres said.

“We know the average stamp duty bill in Sydney has increased by 7 percent over the last 20 years – and is poised to accelerate further with rising house prices.

“All homes over $1 million will be burdened with the extra cost of finding a minimum of $40,000 in stamp duty.

“It is a bad tax for homebuyers, a bad tax for the economy and governments need to axe it.

“Stamp duty is part of a mix of policy failures that have contributed to escalating house prices in Sydney.

“A decade of chronic under supply has been caused by poor land release, inefficient planning systems and excessive property taxes.

“Research released earlier this year shows Sydney missed its housing targets by ,000 over the past decade and without change, will fall short of demand by 190,000 by 2024.

“It’s time all levels of government stepped up to the mark in delivering a healthy housing market that can meet supply and improve affordability.”

Media contact: Glenn Byres | M 0419 695 435 | E [email protected]