First Home Vacant Land Concession QLD

It's a Queensland Revenue Office (QRO) concession that reduces or removes the transfer duty you'd otherwise pay when you buy residential vacant land to build your first home on.

The rules changed on 1 May 2025. If you're an eligible first home buyer and the whole property is residential vacant land, the full concession applies and there's no value cap. For most buyers, that means $0 transfer duty at settlement.

If you've read older guides, you've probably seen the $10,675 maximum saving figure floating around. That applied to agreements entered into between 9 June 2024 and 30 April 2025. It's been superseded for newer contracts.

You can also pair this with the FHOG applied to the build, not the land, so the savings stack.

What changed from 1 May 2025

- No value cap on residential vacant land

- Full concession applies if the whole property is residential vacant land

- Mixed-use land still attracts duty on the non-residential portion

Source: Queensland Revenue Office.

Here's the May 2025 change in dollars. The full transfer duty figures use QRO's standard rates for vacant land where the buyer isn't eligible for a concession.

QRO's $750,000 example dropped from $26,775 to $0 under the new rules. The mixed-use example is where the $0 message has limits. On a $952,000 block split into $802,000 residential vacant land and $150,000 non-residential land, $6,750 of duty is still payable on the non-residential portion.

You can run your numbers through the duty calculator to check the result for your block.

Tick all of these and you're in for the full concession.

• You've never owned property or land in Australia or overseas
• You're at least 18 years old at the date of purchase
• You're buying residential vacant land in Queensland
• You'll build your first home on the land
• You'll move in with your personal belongings and live there daily within 2 years of settlement
• You won't sell, transfer or lease the land before moving in
• Only one home will be built on the land

If you're buying with a partner who has owned property before, you may be eligible for a partial concession on your share. The 2-year build and move-in deadline cannot be extended, per QRO.

Buying an existing home instead? The first home concession applies to that.

In most cases, yes. The three programs do different jobs and they generally work together.

• First home vacant land concession removes transfer duty on the land
• First Home Owners Grant (FHOG) pays $30,000 toward a new build in QLD
• First Home Guarantee lets eligible buyers purchase with a 5% deposit without paying Lenders Mortgage Insurance

A quick worked example. You buy a $400,000 block of land and build a $400,000 home.

• Transfer duty on the land: $0 (saving around $12,425)
• FHOG on the build: $30,000
• LMI avoided through the First Home Guarantee with a 5% deposit: often $20,000 to $30,000 on an $800,000 combined purchase depending on the lender 

Total benefit is comfortably over $50,000. The exact number depends on the lender, the build contract and your deposit position.

Most first home buyers buying vacant land are 4 to 8 weeks away from needing a construction loan. It's worth knowing how it works before settlement so there are no surprises.

A construction loan funds the land first, then draws down on the build in stages. The standard progress payment schedule is:

1. Slab (foundation poured)
2. Frame (timber or steel frame up)
3. Lockup (roof on, windows and doors in)
4. Fixing (internal fit-out)
5. Completion (handover)

You only pay interest on the funds drawn down at each stage, so repayments start small and grow as the build progresses. The loan is typically interest-only during construction, then converts to principal and interest once the home is finished.

Land settles first, usually 30 to 60 days after contract. The build contract draws down separately once council approval and the builder's start date are confirmed.

Running both the land settlement and the construction loan for your first build through the same broker keeps the paperwork in one place and the lender choice consistent across both.

If you want the land and the build sorted in one conversation, book a free 20-minute call with Victor.

Book a free 20-min call

Most lenders want a minimum 5% deposit of the land price, plus enough to cover legal and conveyancing fees. If part of the block is non-residential, you'll also need to cover that portion of duty.

With the May 2025 change, the transfer duty line on your settlement statement is often $0. That frees up deposit room that previously went straight to the state.

You can check your borrowing power for land plus build before you sign anything.

You don't lodge this one yourself. It's handled at settlement.

1. Tell your solicitor or conveyancer you're claiming the first home vacant land concession when they prepare your contract paperwork.
2. They lodge the Claim for transfer duty home concession form with QRO as part of settlement.
3. Keep your build contract and a record of your move-in date. QRO can reassess the duty if you don't build and move in within 2 years.
4. If anything's unclear, call QRO directly on 1300 300 734.

For the wider picture, see the full QLD stamp duty guide.

We'll confirm your eligibility, work out your deposit and map out the construction loan with your Brisbane mortgage broker.

Book your free call

Victor Kalinowski, Mortgage Broker and Founder of Blackk. In business since 2007. 99.6% of loans approved in the last financial year. 

• Queensland Revenue Office, First Home Vacant Land Concession