ACT Home Buyer Concession Scheme: Full guide to eligibility, income, and property value

Key Takeaways:

The ACT Home Buyer Concession Scheme offers major stamp duty savings, including no duty on properties up to $1,020,000.
Eligibility depends on income limits, prior ownership rules and meeting the residency requirement.

If you're looking to buy property in the Australian Capital Territory, the ACT Home Buyer Concession Scheme (HBCS) could save you tens of thousands of dollars. This government initiative has become a key form of support for ACT home buyers, offering substantial stamp duty relief that can remove one of the biggest upfront costs of purchasing property.

The scheme is designed to help first home buyers and returning buyers get into the property market by reducing or completely eliminating transfer duty (stamp duty). For eligible buyers, this means potential savings of over $35,000 – a significant amount that can make the difference between affording your dream home or missing out.

This guide breaks down how the HBCS works, who is eligible and how income thresholds are assessed. It also explains the next steps if you are ready to check your eligibility and want help with the application process.

What the ACT Home Buyer Concession Scheme does

The HBCS reduces or completely removes stamp duty for eligible buyers purchasing property in the ACT. The financial benefit is substantial, with a maximum concession amount of $35,238 for the 2025-26 financial year.

For eligible buyers, you will pay no duty on residential properties valued up to $1,020,000 bought on or after 1 July 2025.

For properties more than $1,020,000 but less than $1,455,000, concessional rates apply. For properties valued above this threshold, normal stamp duty rates apply.

These thresholds ensure that the scheme provides maximum support to buyers purchasing in the lower to mid-range of the ACT property market, where first home buyers and young families are most active.

One of the most attractive features of this scheme is its flexibility. The ACT stamp duty concession applies to all property types, including:

Vacant land
New homes and apartments
Established homes across Canberra and surrounding areas.

Key eligibility requirements

To access the scheme, you must meet several non-negotiable requirements. These rules apply to every buyer listed on the contract as well as their domestic partners.

All buyers must be at least 18 years old.

You, your co-buyers and your domestic partners must not have owned any property in the last five years, anywhere in Australia. This includes any legal or equitable interest in residential, commercial or investment property.

At least one buyer must live in the property in question as their primary place of residence continuously for a minimum of one year. This occupancy period must begin within 12 months of either settlement (for existing homes) or the issue of an occupancy certificate (for new homes).

The ACT Revenue Office can request evidence to confirm the residency requirement has been met, so buyers should keep records such as utility bills.

Income thresholds

The HBCS is a means-tested scheme, meaning your total income must fall below a certain limit to be eligible. This is often the most complex part of the application, especially when calculating the income of all relevant parties.

Your eligibility is mainly determined by your household income. The income calculation includes all taxable income reported to the Australian Taxation Office for the previous financial year. This means your salary, investment income, rental income and any other assessable income must be included.

The income of your domestic partner is included in the assessment even if they are not listed on the property title. A domestic partner is defined as someone you're in a relationship with and living with on a genuine domestic basis (married, de facto or registered relationship). This is a common point of confusion and can affect eligibility unexpectedly.

For transactions taking place after 1 July 2024, the income thresholds are as follows:

Buyers with no children: $250,000 total income
Buyers with 1 child: $254,600
Buyers with 2 children: $259,200
Buyers with three children: $263,800
Buyers with four children: $268,400
Buyers with five or more children: $273,000.

How to apply

The application for the ACT Home Buyer Concession Scheme is completed through a self-assessment process.

To claim the concession, your conveyancer, solicitor or mortgage broker must reference the correct Concession Code on the Buyer Verification Declaration (BVD) form that is lodged with the ACT Revenue Office. For transactions on or after 1 July 2024, the code is HBC24.

With your conveyancer or mortgage broker’s help, ensure all your paperwork is correct. This includes:

Tax returns or notices of assessment from the previous financial year for all buyers and domestic partners
Statutory declarations confirming prior ownership status
Evidence of the residency intention.

Your Loan Market broker can help you gather the necessary financial documents, confirm your eligibility against the financial year’s income threshold and coordinate with your legal representative to ensure the correct forms are submitted to the ACT Revenue Office from the outset.

Combining the HBCS with federal schemes

The ACT Home Buyer Concession Scheme can be used alongside federal government initiatives, creating even more benefits for eligible buyers.

Federal Government’s 5% Deposit Scheme: This scheme allows first home buyers to purchase a property with a deposit as low as 5% without paying lenders' mortgage insurance (LMI). When combined with the HBCS, you could enter the market with a smaller deposit and no stamp duty, dramatically reducing the upfront costs of buying your first home.

First Home Super Saver Scheme (FHSS): This scheme allows you to make voluntary contributions to your superannuation fund, taking advantage of the concessional tax treatment of super. You can request the release of eligible contributions and associated earnings to use towards your first home deposit.

The amount of voluntary contributions you can count towards an eligible release is capped at $15,000 per financial year and $50,000 in total across all years, plus the associated deemed earnings on those contributions. Note that if you make pre-tax (concessional) contributions, 85% of that amount will be counted towards the release cap, as 15% is deducted as contributions tax within super.

Using these schemes together creates a powerful pathway into home ownership. You can save your deposit more quickly through the FHSS, purchase with a 5% deposit through the FHBG and pay little or no stamp duty through the HBCS. For many Canberra buyers, this combination removes the traditional barriers to entering the property market.

Next steps: Confirming your eligibility

If you are considering buying a home in the ACT and want to know whether you meet the eligibility rules, the next step is to speak with a mortgage broker who understands the scheme in detail. A Loan Market broker can review your income, confirm whether your domestic partner’s income needs to be counted and help you understand how the residency and ownership rules apply to your situation.

We will work with your conveyancer to ensure the correct Concession Code is added to your BVD form so the ACT Revenue Office applies the concession at settlement.

We can also assist with structuring your loan application to take advantage of federal schemes like the 5% Deposit Scheme and FHSS, maximising the support available to you.

Ready to find out if you're eligible for the ACT Home Buyer Concession Scheme? Contact a Loan Market broker in Canberra today. We can assess your eligibility, help you navigate the income thresholds and ensure your application is structured correctly to access the full benefits of this valuable scheme.

FAQs

Do I have to be a first home buyer to qualify?

No. First home buyers and returning buyers can use the scheme, provided no one on the contract or their domestic partner has owned property in the past five years.

Is my partner’s income counted even if they’re not buying the property with me?

Yes. Your domestic partner’s taxable income from the previous financial year is included in the assessment, even if they are not going on the loan or title.

Can I rent the property out during the first year?

No. At least one buyer must live in the property as their main residence for a continuous 12 months. Renting it out during this period may breach the conditions.

Can I combine the concession with federal schemes?

Yes. The HBCS can be used alongside the 5% Deposit Scheme and the First Home Super Saver Scheme to reduce upfront costs and help you enter the market sooner.

What documents do I need for the application?

You’ll need tax returns or notices of assessment for all buyers and domestic partners, statutory declarations confirming prior ownership status and evidence of your intention to occupy the property. A Loan Market broker can help you prepare everything correctly.