Buying off-the-plan

Buying off-the-plan 

Buying off-the-plan is when you enter into a contract or transfer to buy residential property, where the home is to be erected or developed before the contract or transfer is completed. 

A contract for the sale of vacant land is not eligible for off-the-plan benefits. 

If you buy a home off-the-plan, which you intend to use as your main residence, you can defer your transfer duty for up to 12 months after you sign the agreement, or until the property is completed or handed over, whichever comes first. 

Who's eligible 

From July 2016, all purchasers and transferees must be non-foreign, meaning you're: 

1 an Australian citizen 

2 a New Zealand citizen, holding a subclass 444 visa or 

3 a permanent resident, who has lived in Australia for more than 200 days in the last 12 months. 

From July 2017, investors aren't eligible. 

Requirements for living in the property 

At least one purchaser or transferee must occupy the property as their main residence. 

The person occupying the property must live in the property for six months continuously, starting within 12 months from becoming the owner. 

By completing the purchaser/transferee declaration, you're confirming you'll meet the requirements as outlined in the explanatory notes to the declaration PDF, 176.04 KB. 

Changes in living arrangements 

If you don't meet the above residence requirement, you must pay duty. You must also pay interest after three months from the date of the contract, and penalty tax may apply.