CASE STUDY: Stamp Duty Savings for Commercial Investor

Many investors only look in their local area when purchasing property, including commercial assets. One of our clients came to us wanting a commercial investment and was open to all markets. So we purchased an industrial strata unit in Canberra for $352,000 and was able to save on stamp duty and GST as it had a sitting tenant, which was a total savings of around $42,000. This is a significant savings on a low purchase price, resulting in stronger returns from the outset.  Few investors, and investment firms know that you can avoid paying stamp duty if you purchase commercial assets under $1.5Mil in the ACT.

The gross return for this property was 7.38%, and 5.7% net at the time of purchase.