Understanding Stamp Duty Land Tax for Home Buyers

Stamp Duty Land Tax (SDLT) applies to property purchases in England and Northern Ireland. Wales has its own Land Transaction Tax, collected by the Welsh Revenue Authority, and Scotland has Land and Buildings Transaction Tax, collected by Revenue Scotland.

Residential Rates

SDLT is charged in bands on the portion of the price within each band. From 1 April 2025 the standard residential bands are: 0% up to £125,000; 2% from £125,001 to £250,000; 5% from £250,001 to £925,000; 10% from £925,001 to £1.5 million; and 12% above £1.5 million.

First-Time Buyers

First-time buyers pay nothing up to £300,000 and 5% on the portion from £300,001 to £500,000. If the price is over £500,000 the relief does not apply and the standard bands are used.

Additional Properties

Buying an additional residential property, such as a buy-to-let or second home, adds a surcharge of 5 percentage points to each band. Buyers who are not UK resident pay a further 2% surcharge.

When It Is Due

The return must be filed and the tax paid within 14 days of completion; your conveyancer normally does this. Rates and reliefs change, so check the current figures on GOV.UK or with HMRC’s calculator before you rely on them.

To see what homes actually sell for where you are looking, browse the area pages.

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