Breakdown
How it works
SDLT is banded: each slice of the price is taxed at its own rate.
| Price band | Standard | First-time buyer | Additional property |
|---|---|---|---|
| Up to £125,000 | 0% | 0% | 5% |
| £125,001 – £250,000 | 2% | 0% | 7% |
| £250,001 – £300,000 | 5% | 0% | 10% |
| £300,001 – £500,000 | 5% | 5% | 10% |
| £500,001 – £925,000 | 5% | standard | 10% |
| £925,001 – £1.5m | 10% | standard | 15% |
| Over £1.5m | 12% | standard | 17% |
First-time buyer relief is lost entirely above £500,000. The 5% surcharge applies when you will own two or more residential properties at the end of the day of purchase; it is refundable if you sell your previous main residence within 36 months. Non-UK residents (fewer than 183 days in the UK in the 12 months before purchase) pay a further 2% on every band.
Formula
Worked example
Home mover buying at £450,000: 0 + 2,500 (2% of 125k) + 10,000 (5% of 200k) = £12,500. Same price as a second home: £12,500 + 5% × 450,000 = £35,000. First-time buyer: 5% of 150,000 = £7,500.
Frequently asked questions
How much is stamp duty on a second home?
Standard SDLT plus 5% of the whole price. On £300,000: £5,000 standard + £15,000 surcharge = £20,000. The surcharge applies even if the second property is abroad-owner buying in England, and even to buy-to-lets bought through a limited company.
Can I get the 5% surcharge back?
Yes, if the new property replaces your main residence and you sell the old one within 3 years. Claim online from HMRC within 12 months of the sale.
Do first-time buyers pay stamp duty?
Nothing up to £300,000; 5% on the part between £300,000 and £500,000; above £500,000 no relief at all. Both buyers must be first-time buyers to qualify.
When do I pay?
Within 14 days of completion; your solicitor files the return and pays from the completion funds. Late filing penalty £100 rising to £200, plus interest.
Does stamp duty apply to UK expats?
Yes, and if you have spent fewer than 183 days in the UK in the year before completion you also pay the 2% non-resident surcharge — refundable if you then spend 183 days in the UK within the following 12 months.
Is stamp duty different in Scotland and Wales?
Yes. Scotland charges LBTT (0% to £145,000, 2% to £250,000, 5% to £325,000, 10% to £750,000, 12% above; 8% Additional Dwelling Supplement). Wales charges LTT (0% to £225,000, 6% to £400,000, 7.5% to £750,000, 10% to £1.5m, 12% above; 5% higher-rate surcharge).