Queensland Foreign Buyer Duty: What International Investors Need to Know

Queensland's foreign buyer duty structure is one of the most important cost considerations for international investors purchasing property on the Gold Coast or elsewhere in Queensland. This guide explains the full duty picture clearly.

Standard Transfer Duty in Queensland

All property purchases in Queensland incur standard Transfer Duty on the dutiable value. Rates are progressive: for properties under $350,000, the rate is lower; for properties between $350,000 and $2,400,000, the marginal rate is 4.5% plus a fixed component. Buyers should confirm exact figures with a Queensland conveyancer, as rates are subject to change.

Additional Foreign Acquirer Duty (AFAD)

Foreign buyers in Queensland pay an Additional Foreign Acquirer Duty (AFAD) of 8% on top of standard transfer duty. AFAD applies to the full dutiable value of the property and is payable at settlement.

For a $650,000 apartment in Surfers Paradise, AFAD is $52,000. For a $900,000 apartment, AFAD is $72,000. These are significant costs that must be included in total acquisition budgets.

Who Pays AFAD?

AFAD applies to foreign persons — those who are not Australian citizens, permanent residents, or New Zealand citizens. Foreign-controlled companies and trusts are also captured. Temporary visa holders are generally considered foreign persons for AFAD purposes.

Queensland vs Victoria: A Comparison

Both Queensland and Victoria levy an 8% foreign buyer surcharge. The key differences are: Victoria has an off-the-plan stamp duty concession for investors that reduces standard duty significantly — Queensland does not. Victoria's standard stamp duty rates are higher than Queensland's for most price ranges. The net result varies by price point: for apartments under $700,000, Victoria may deliver lower total duty despite higher standard rates, due to the off-the-plan concession. For apartments over $800,000–$900,000, the comparison shifts. Buyers should model both states on a project-by-project basis.

Annual Land Tax Surcharge

In addition to acquisition duty, foreign owners of Queensland investment property pay a 2% land tax surcharge annually. This recurring cost must be included in investment holding cost projections for any Queensland property.

VSNRY and Queensland Foreign Buyer Costs

VSNRY Property provides foreign buyers with accurate cost modelling for Queensland purchases, including AFAD, standard transfer duty, and land tax projections. We work with buyers to ensure no cost surprise exists at settlement. Book a consultation to model the full cost structure for a specific Gold Coast or Queensland project.