Victorian first home buyers will receive a 50 per cent discount on stamp duty as of Monday.
The state government says eligible home owners will save up to $15,535 in stamp duty on dwellings valued up to $600,000, and will save 26,000 Victorians a total of $200 million over the next year.
First home builders will also benefit with a $10,000 grant for newly constructed homes, which will apply along with the stamp duty cut.
Victorian Treasurer Michael O’Brien says the cut, which has been increased from 40 per cent, will have a number of benefits.
“This is a very important measure which will make home ownership more affordable for tens of thousands of Victorians,” he said.
“It will ensure that we see more young families moving into that first home.”
Mr O’Brien said it would also support jobs in the construction industry, which was one of the state’s biggest employers with about 250,000 people working in the sector.