The first home vacant land concession has just become easier to claim. If you’ve found the perfect block but there’s an old garden shed sitting on it, that shed no longer has to cost you thousands in transfer duty.
What changed for the first home vacant land concession
For transactions entered into on or after 22 October 2026, Queensland has relaxed what counts as “vacant” land. That’s the day the Home Ownership and Other Legislation Amendment Act 2026 received Royal Assent. A building on the block now only disqualifies it if it is fixed to the land and is either:
- designed, or approved by the local council, for a single family to live in, or
- a class 1 to 9 building under the Building Code of Australia.
The Queensland Revenue Office gives garden sheds and other non-habitable structures as examples of buildings that are now acceptable.
Before 22 October 2026, the rule was far stricter: there could be no building, or part of a building, on the land at all when you bought it.
Other first home vacant land concession changes
- From 1 August 2026, you must be an Australian citizen, a permanent resident or a specified foreign retiree to claim the concession.
- Since 1 May 2025, no transfer duty is payable on residential vacant land bought under the concession, and there’s no longer a value cap. Duty still applies to any part of the land that isn’t used for residential purposes.
What you must do after you buy
Under the Queensland Revenue Office rules, you must build your first home on the land, move in with your personal belongings and live there on a daily basis, all within two years of settlement. That deadline can’t be extended. Until you move in, you also can’t sell, transfer, lease or rent out any part of the property.
Who this applies to
The changes matter to first home buyers in Queensland who are buying vacant land to build their first home on. You must be buying as an individual, be at least 18, pay market value, and never have held an interest in a home in Australia or overseas. If you qualify, the first home vacant land concession wipes out transfer duty on the residential part of your block.
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General information only, not legal advice. Check the official source before acting.
Source: Queensland Revenue Office.
