The recently announced 2026 Federal Budget has placed a spotlight on housing affordability, tax structures, and property investment. While the planned federal tax measures are currently proposals and not yet legislated by parliament, they give us a clear map of where the Australian property market is heading and why building a new home is fast becoming the smartest strategy for both first-home buyers and seasoned Perth property investors.
Easing the Upfront Burden for First Home Buyers
For those who are trying to break into the competitive Perth property market, the latest budget focus is designed to help them navigate the hurdles currently involved with homeownership.
For first home buyers, recent updates to stamp duty settings could help reduce upfront purchase costs significantly and make entering the market more achievable. This includes:
- Full Stamp Duty Exemptions: Available up to $600,000
- Concessional Duty Rates: Savings extended up to $800,000
- Vacant land exemption threshold increased to $450,000
By choosing to build a new home as opposed to buying an established property, you can save on the cost of your home, making a house and land package one of the most strategic and easy ways onto the property market in 2026.
The Shift to New Builds for Property Investors
The proposed federal changes structurally shift how long-term property investors will purchase property. Scheduled to come into effect from July 1st, 2027:
- Negative gearing may be limited primarily to new builds
- Established property purchases after key dates may lose access to current tax advantages
- Capital Gains Tax settings may change, including a move away from the 50% discount to an indexed system with a minimum 30% tax on real gains
- New builds may continue to be more favourably treated under the proposed settings
Navigate The New Home Market with New Choice Homes
At New Choice Homes, we will continue to help clients navigate the changing housing market with clear guidance and tailored home design options.
Whether you want to make the most of the increased stamp duty thresholds or protect your investment portfolio for the decade ahead, our team can guide you every step of the way.
Get in touch with the New Choice Homes team today or talk to our finance team to discuss what these changes mean for your building journey.
Take the next step with confidence
Whether you’re buying your first home or planning your next investment, our finance team can help you navigate your options and secure the right loan for your new build.
