There is at present a 20% discount for first home buyers, but on 1 January 2013 that discount will increase to 30%.

For those buying their first home and meeting the eligibility criteria, if the settlement is 1st January or later, the increase discount will apply.  It is the settlement date that will be relevant, rather than the date the contract is signed.  Eligible buyers may find that deferring a pending settlement achieves substantial savings.

Some of the other key requirements for the reduction in stamp duty are that the total purchase price must not be over $600,000, it must be the first home and you must live in it as the primary place of residence.

The savings will be several thousand dollars and anyone buying their first home would be well advised to consult their solicitor or conveyancer for eligibility.