Stamp Duty Land Tax
Stamp Duty Land Tax
You pay Stamp Duty Land Tax (SDLT) on increasing portions of the property price when you buy residential property, for example a house or flat. SDLT only applies to properties over a certain value.
What is it?
In England and Northern Ireland, Stamp Duty Land Tax is a levy on home and land purchases. It is a cost that buyers have to pay if the transaction value exceeds a certain amount.
How does it work?
Currently first-time buyers pay no stamp duty when buying a home worth up to £425,000. From 1st April 2025, the threshold will drop to £300,000, meaning they will go from paying nothing to paying up to £11,250 on stamp duty. These have been outlined below:
First Time Buyers
| Property or lease premium or transfer value | SDLT rate |
|---|---|
| Up to £300,000 | Zero |
| From £300,001 to £500,000 | 5% |
If the price is over £500,000, you cannot claim the First Time Buyer relief and the rules for people who’ve bought a home before applies.
Second Steppers (Single Property)
From 1st April 2025, if the property you’re buying is replacing your main residence and has already been sold, the below rates will apply.
| Property or lease premium or transfer value | SDLT rate |
|---|---|
| Up to £125,000 | Zero |
| The next £125,000 (the portion from £125,001 to £250,000) | 2% |
| The next £675,000 (the portion from £250,001 to £925,000) | 5% |
| The next £575,000 (the portion from £925,001 to £1.5 million) | 10% |
| The remaining amount (the portion above £1.5 million) | 12% |
Additional Properties
From 1st April 2025, if you purchase a new residential property that results in owning more than one, you will need to pay an additional 5% on top of the existing SDLT rates.
| Property or lease premium or transfer value | SDLT rate |
|---|---|
| Up to £125,000 | 5% |
| The next £125,000 (the portion from £125,001 to £250,000) | 7% |
| The next £675,000 (the portion from £250,001 to £925,000) | 10% |
| The next £575,000 (the portion from £925,001 to £1.5 million) | 15% |
| The remaining amount (the portion above £1.5 million) | 17% |
Calculator
- Standard
- First time buyer
- Second home
- Buy to let
Stamp duty payable:
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