New home sales soar in SA after stamp duty cut

Tim Dornin | August 24, 2023

New home sales in South Australia have soared on the back of a cut in stamp duty in the recent state budget.

SA posted a 35.5 per cent increase in sales in July compared to the previous month while demand in every other mainland state went backwards.

Sales in Queensland fell by 11.6 per cent, in Western Australia by 9.3 per cent, in NSW by 1.6 per cent, and in Victoria by 0.6 per cent.

In the June state budget, first-home buyers in SA were offered stamp duty relief of up to $30,000 if they signed to build a new house.

That cut was on top of a first-home buyers grant of $15,000.

Treasurer Stephen Mullighan said the state had defied the national decline in new builds.

“Heading into an uncertain and potentially volatile period for the building industry, this is welcome news and should inspire confidence for South Australia’s building sector,” he said.

The sales data came from the latest Housing Industry Association report which estimates the number of building contracts entered into from surveys taken of builders.