Additional foreign acquirer duty in Queensland
Queensland charges foreign buyers of residential land an extra 8 % and, for contracts from 1 August 2026, closes the home concessions to anyone without citizenship, permanent residency or specified foreign retiree status.
Checked by Radif Partners · Editorial policy · Methodology
Additional foreign acquirer duty (AFAD) is an extra 8 % that a foreign person pays on top of ordinary transfer duty when acquiring residential land in Queensland, and since 1 August 2026 the same buyer also loses access to the home and first home concessions. A foreign investor buying a $800,000 house pays $29,025 of transfer duty and $64,000 of AFAD, $93,025 in total. Under the rules for contracts from that August date, a foreign person who intends to live in the home pays exactly the same, because the home concession rate now requires the buyer to be an Australian citizen, a permanent resident or a specified foreign retiree. A first home buyer without that status is in the same position, even on a new home that would otherwise be duty free. Where a citizen and a foreign partner buy together, the Queensland Revenue Office applies the concession to the eligible share only and charges full duty and AFAD on the other, as in its example of Fiona and Mark.
Foreign buyer: duty plus surcharge
Total for a foreign buyer
$105,525
| Duty at the general scale | $33,525 |
| Surcharge (additional foreign acquirer duty) | $72,000 |
| Share of the price | 11.7 % |
Two charges, one assessment
The Queensland Revenue Office AFAD page describes AFAD as an extra 8 % of duty. For a straightforward purchase of a house or unit, that means the general transfer duty scale plus 8 % of the dutiable value.
| Price | Transfer duty (general scale) | AFAD | Total | Share of the price |
|---|---|---|---|---|
| $450,000 | $14,175 | $36,000 | $50,175 | 11.2 % |
| $650,000 | $22,275 | $52,000 | $74,275 | 11.4 % |
| $800,000 | $29,025 | $64,000 | $93,025 | 11.6 % |
| $1,000,000 | $38,025 | $80,000 | $118,025 | 11.8 % |
| $1,500,000 | $66,775 | $120,000 | $186,775 | 12.5 % |
| $2,500,000 | $124,275 | $200,000 | $324,275 | 13.0 % |
The AFAD column is larger than the transfer duty at every price in the table. For a foreign buyer the 8 % is therefore the main cost of the purchase, not a detail added to it.
What changed on 1 August 2026
For contracts from 1 August 2026, the home concession and the first home concessions require the buyer to be an Australian citizen, a permanent resident or a specified foreign retiree. A foreign person living in the home now pays the general scale like an investor, then AFAD on top.
| Home price | Eligible owner-occupier | Foreign owner-occupier | Difference |
|---|---|---|---|
| $550,000 | $10,600 | $61,775 | $51,175 |
| $750,000 | $19,600 | $86,775 | $67,175 |
| $950,000 | $28,600 | $111,775 | $83,175 |
| $1,300,000 | $48,100 | $159,275 | $111,175 |
The difference column is the AFAD plus the lost home concession, which is worth $7,175 at any value from $350,000 up. On the $950,000 home that the office uses as its example, the eligible buyer pays $28,600 and the foreign buyer $111,775.
First home buyers without the right status
The contrast is starkest for a first home. A citizen or permanent resident buying a new home pays nothing, at any price. A foreign person buying the same new home pays the full scale plus AFAD, and receives no $30,000 grant either.
| New home price | Eligible first home buyer | Foreign first home buyer |
|---|---|---|
| $600,000 | $0 | $68,025 |
| $800,000 | $0 | $93,025 |
| $1,000,000 | $0 | $118,025 |
Mixed couples: the Fiona and Mark example
The office illustrates a joint purchase. Fiona is an Australian citizen; Mark is not a citizen, permanent resident or specified foreign retiree. They buy a residence to live in, Fiona taking a 75 % interest and Mark 25 %. Fiona's share qualifies for the home concession. Mark's share is assessed at full transfer duty, and AFAD applies to it as well.
The office does not give a price, so here is the AFAD side at three values. AFAD on Mark's quarter is 8 % of a quarter of the value. The transfer duty on the whole home falls somewhere between the home concession figure and the general figure, depending on how the office apportions the two shares.
| Home price | AFAD on a 25 % interest | Whole home at the concession rate | Whole home at the general rate |
|---|---|---|---|
| $600,000 | $12,000 | $12,850 | $20,025 |
| $800,000 | $16,000 | $21,850 | $29,025 |
| $1,000,000 | $20,000 | $30,850 | $38,025 |
For a couple in this position the share structure matters. A larger interest held by the eligible partner reduces the AFAD in direct proportion.
A temporary resident buying to live in, step by step
Take a nurse from overseas, working in Townsville on a temporary visa, who signs in September 2026 for a $560,000 established house she will live in. Three questions decide her bill. Is she a foreign person for AFAD? On a temporary visa she is likely to be one, though the office's definition of a foreign person decides. Can she claim the home concession? Not for a contract signed on or after 1 August 2026, because she is neither a citizen, a permanent resident nor a specified foreign retiree. Is she a first home buyer? It no longer matters, for the same reason.
Her duty is therefore the general scale, $18,225, plus AFAD of $44,800, for $63,025. Had she been granted permanent residency before signing, the same house as a first home would have cost $0, and as a home for a previous owner $11,050. For her, residency status is worth more than any negotiation on the price.
Queensland against the other states
Queensland's 8 % matches Victoria and Tasmania, sits below the 9 % charged in New South Wales, and above the 7 % of Western Australia and South Australia. On $800,000 a foreign investor pays $93,025 in Queensland, $102,187 in NSW and $107,070 in Victoria. The national foreign buyer guide ranks all eight.