Two buyers purchased property in the same Perth suburb in March 2025, both at $700,000. One bought an established unit and walked away from settlement $26,090 lighter in transfer duty. The other signed a pre-construction contract on a townhouse and paid nothing. The WA Government’s own guidance actually uses this scenario to explain the off-the-plan duty concession, and it’s a pretty striking illustration of what’s on the table right now. If you’re weighing up buying a property off the plan Perth in 2026, that $26,000 gap is worth understanding properly. The team at Bourkes put this guide together to walk you through how it works, what to watch out for, and what’s worth asking before you sign anything.
One thing to flag before we get into it. The WA Government announced in March 2026 that it plans to extend the concession to June 2028. Good news, right? In theory, yes. But the legislation hasn’t passed yet. Parliamentary commencement is expected around July 2026, which means contracts signed today get assessed under the current rules first, with a potential reassessment and refund once the new laws come through. A refund you’re waiting on is a different thing from money already saved.
What “Off-the-Plan” Actually Means
You’re agreeing to buy a property before it’s finished, sometimes before it’s even started, based on architectural drawings, a finishes schedule, and a developer’s disclosure statement. In WA, these transactions sit under the Land Sales Act 1970 and, for strata lots, the Strata Titles Act 1985.
The money mechanics work like this:
- A deposit, typically 10%, goes into the developer’s statutory trust account at signing
- The balance isn’t due until practical completion, generally 12 to 36 months away
- Finance is formally assessed at completion, not when you sign, so your borrowing capacity at settlement is what the bank actually cares about
That last point is worth a pause or two. A lot can change over 18 months: employment, interest rates, and lender appetite. A pre-approval today isn’t a guarantee of what you’ll be offered at settlement.
What the Concession Actually Saves You
The current concession covers apartments, townhouses, and villas in strata and community title schemes. House and land packages on separate Torrens titles don’t qualify. The March 2025 changes also brought single-tier strata schemes into scope for the first time, opening up a lot of townhouse projects along the inner south corridors that previously missed out.
Pre-construction contracts (before construction starts):
- Full duty exemption up to $750,000, capped at $50,000
- 50% concession between $750,000 and $850,000
Under-construction contracts (after work starts, before completion):
- 75% concession up to $750,000, capped at $50,000
- 37.5% concession between $750,000 and $850,000
In real terms: a $700,000 pre-construction apartment normally attracts about $26,090 in transfer duty. Under the concession, that’s zero. At $750,000, the saving is around $28,453. That’s not a small amount, especially at the point in a transaction when finances are usually already running close to the wire.
Why Inner South Perth?
The Canning Highway corridor, South Terrace, and the Victoria Park strip have become one of the more active medium-density development zones in the metro area. Como, South Perth, Victoria Park, and East Victoria Park have seen a steady flow of apartment and townhouse projects backed by the City of South Perth’s planning framework, and developers here have been deliberately pricing products at or below the $750,000 concession threshold. That’s not a coincidence; it’s who they’re building for.
If you want a feel for why East Victoria Park keeps coming up in buyer conversations, our suburb profile covers it well.
The Real Upsides
The duty saving is significant. Up to $50,000 staying in your pocket at settlement genuinely changes how the numbers feel on day one of ownership. For a lot of buyers, it’s the margin between comfortable and stretched.
You lock in today’s price in a market that’s been moving. Pre-construction buyers in Perth’s inner south have, in a number of cases, settled into properties worth more than their contract price simply because of where values moved during the build. Not guaranteed, but the dynamic is real.
New builds cost less to run. Current National Construction Code requirements mean newer properties have to meet energy efficiency standards that most established stock in this part of Perth wasn’t built to. Lower power bills over time genuinely add up.
The Stuff Worth Being Aware Of
Builds don’t always run to schedule. WA’s construction sector is still working through post-COVID trade and materials pressure. The Master Builders Association of WA has been consistent about flagging capacity constraints. A 14-month timeline from a developer is worth pressure-testing against their actual delivery history on past projects.
Timing gets tricky if you’re also selling. If your existing property settles while your new build is delayed, bridging finance can come into play. Better to plan for it early than be caught off guard.
Developer solvency is worth thinking about. WA has statutory deposit protections if a developer goes into administration, but recovery can take time. A bit of homework on who’s behind the project and their track record goes a long way.
Strata levy estimates tend to be optimistic. Once real maintenance costs kick in, particularly in buildings with lifts or pools, levies have a habit of stepping up. Build in a buffer when calculating your ongoing holding costs.
Questions Worth Asking Before You Sign
- Who is the actual builder? Check their licence with Building and Energy at DMIRS and look at what they’ve delivered on past projects.
- What’s the sunset clause date? Know what happens if practical completion isn’t achieved by the set date.
- Does the levy estimate include a sinking fund contribution? For a 30-lot building with a lift, anything under $500 a quarter deserves a closer look.
- How are the car bay and storage titled? The legal structure matters when you eventually want to sell.
If the Extension Gets Delayed
It’s worth running through the scenario. The government has been clear about wanting to extend the concession to 2028, but legislation takes time, and the timeline can shift. If June 2026 ends up being the actual cut-off, buyers who were counting on the announcement and held off acting could end up with a full duty bill they hadn’t planned for.
On a $700,000 purchase, that’s around $26,090. On $750,000 it’s closer to $28,453. You can plug your own numbers into the REIWA stamp duty calculator to see what the full duty would look like for whatever price point you’re considering.
The sensible move, if you’ve found something that stacks up at the current concession rate, is probably to make your decision on that basis rather than counting on a refund that hasn’t been legislated yet.
How Bourkes Real Estate Can Help
One of the most useful things we do is independently assess whether what a developer is asking is actually fair value. A $50,000 duty saving gets absorbed quickly if the purchase price is already sitting above what comparable established stock would cost. That’s the conversation worth having before you commit.
The contract review, concession application, and settlement coordination sit with your settlement agent, a separate professional relationship we’re happy to help you find the right person for.
If you’re looking at projects in Victoria Park, East Victoria Park, Como, or South Perth and want a straight conversation about what’s out there and what it’s actually worth, give the Bourkes team a call.
Concession details reflect WA state government information at the date of publication. The proposed extension to June 2028 is subject to parliamentary approval. Always confirm eligibility with a qualified settlement agent or legal practitioner before signing.