Victorian opposition announces stamp duty reform plan

Shadow treasurer James Newbury announced the initiative in the state government’s budget in reply.

“This is a bold, common-sense reform that backs aspiration, rewards hard work, and helps young Victorians break into the housing market,” said Victorian Opposition Leader Brad Battin.

In its first year, the Liberals anticipate over 17,000 exemptions, if the plan was to come into effect.

Shadow treasurer Newbury said: “This policy is about rewarding aspiration. It’s about giving young Victorians a fair go.

“For too many young Victorians, the first home dream has become a nightmare. This policy is about giving aspirational first home buyers the final leg up they need. This policy is about backing in renters that have been stuck in the rental market not by their own choice, but by a tax system that is stacked against them.”

Since the announcement, industry bodies have weighed in. The Property Council of Australia said the proposal was a “heart starter.”

“Stamp duty has always been the worst property tax of the lot. Stamp duty acts as a tax on people’s aspirations, and current stamp duty exemption thresholds have not kept pace with the increase in average housing property prices,” said Victorian executive director of the Property Council, Cath Evans.

“Currently, up to 43 per cent of the cost of a new home goes to government taxes and charges. With soaring house prices, these figures are unsustainable for Victorians, especially as our population continues to grow.”

The Real Estate Institute of Victoria (REIV) also welcomed the pledge, noting the reform is “overdue.”

REIV said stamp duty is often seen as a “lazy tax” that places unnecessary strain on first home buyers.

“Currently, stamp duty on a median-priced home in Victoria consumes nearly half the average annual income, representing a clear barrier to ownership that penalises aspiration and discourages economic activity,” said REIV.

The Liberals and Nationals are getting policy pledges in early in anticipation of the state election, slated for 28 November 2026.

[Related: Victorian government to extend stamp duty concession]

Jack Campbell is the editor of Broker Daily. After graduating from the University of Wollongong in 2022, Jack began his journalistic career working on Broker Daily’s sister brand, HR Leader. In August 2023 he was made the news editor and worked alongside some talented journalists writing articles and recording podcasts.

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