Stamp Duty Land Tax (SDLT) is a tax paid when you buy a residential property in England or Northern Ireland above a certain price. It's one of the largest upfront costs of buying a home and catches many buyers off guard — particularly first-time buyers who haven't budgeted for it.
SDLT is a marginal tax — like income tax, you only pay each rate on the portion of the purchase price in that band. You do not pay the higher rate on the whole price just because you crossed a threshold.
Stamp duty must be paid within 14 days of completion. Your solicitor or conveyancer normally submits the SDLT return and pays on your behalf as part of the conveyancing process.
These rates apply to standard residential purchases in England and Northern Ireland where the buyer already owns (or has previously owned) a home:
| Property Price Band | SDLT Rate | Tax on That Band |
|---|---|---|
| Up to £125,000 | 0% | £0 |
| £125,001 – £250,000 | 2% | Up to £2,500 |
| £250,001 – £925,000 | 5% | Up to £33,750 |
| £925,001 – £1,500,000 | 10% | Up to £57,500 |
| Above £1,500,000 | 12% | On everything above £1.5m |
Note on thresholds: The temporary nil-rate threshold of £250,000 that applied until 31 March 2025 has now reverted to the standard £125,000. This means home movers buying above £125,000 now pay 2% on the portion between £125,001 and £250,000. First-time buyers retain their own separate relief (see below).
First-time buyers in England and Northern Ireland benefit from a higher nil-rate threshold:
| Property Price Band | First-Time Buyer Rate |
|---|---|
| Up to £300,000 | 0% |
| £300,001 – £500,000 | 5% |
| Above £500,000 | Standard home mover rates apply in full |
To qualify, every purchaser must be a first-time buyer — you cannot have previously owned a property anywhere in the world. You must also be buying as your main residence, not as an investment.
Property price: £350,000. Standard SDLT (home mover): 0% on £125,000 + 2% on £125,000 + 5% on £100,000 = £0 + £2,500 + £5,000 = £7,500.
First-time buyer SDLT: 0% on £300,000 + 5% on £50,000 = £0 + £2,500 = £2,500.
Saving: £5,000.
If you're buying an additional residential property — a second home, holiday home or buy-to-let — you pay a 5% surcharge on top of each SDLT band. This applies from the first pound of the purchase price.
| Property Price Band | Standard Rate | Additional Property Rate |
|---|---|---|
| Up to £125,000 | 0% | 5% |
| £125,001 – £250,000 | 2% | 7% |
| £250,001 – £925,000 | 5% | 10% |
| £925,001 – £1,500,000 | 10% | 15% |
| Above £1,500,000 | 12% | 17% |
The surcharge was raised from 3% to 5% in the October 2024 Autumn Budget, effective immediately. If you sell your main residence and buy a new one simultaneously, the surcharge does not apply — but the timing of transactions must align correctly.
SDLT is calculated on a marginal basis. For each band, you apply the rate only to the portion of the price within that band:
Band 1: £0 – £125,000 → 0% × £125,000 = £0
Band 2: £125,001 – £250,000 → 2% × £125,000 = £2,500
Band 3: £250,001 – £450,000 → 5% × £200,000 = £10,000
Total SDLT: £12,500
Enter your property price to get an instant SDLT calculation — including first-time buyer and additional property rates.
Use the Stamp Duty Calculator →SDLT only applies in England and Northern Ireland. Scotland and Wales have their own property taxes:
LBTT applies with different bands. The nil-rate threshold is £145,000 for home movers, £175,000 for first-time buyers. Additional dwelling supplement (ADS) is 8%.
LTT nil-rate threshold is £225,000 for home movers, with no specific first-time buyer relief. Higher residential property rates add 4% for additional properties.
Sophie is buying her first home in Manchester for £280,000.
Band 1: 0% × £280,000 (under £300,000 FTB threshold) = £0.
Total SDLT: £0. She pays no stamp duty at all.
As a home mover, the same property would have cost: 0% × £125k + 2% × £125k + 5% × £30k = £0 + £2,500 + £1,500 = £4,000 in SDLT.
James is selling his flat and buying a £600,000 family home in Bristol.
Band 1: 0% × £125,000 = £0
Band 2: 2% × £125,000 = £2,500
Band 3: 5% × £350,000 = £17,500
Total SDLT: £20,000.
David and Maria already own their home and are buying a £220,000 buy-to-let property.
Standard SDLT: 0% × £125,000 + 2% × £95,000 = £0 + £1,900 = £1,900.
Additional property surcharge (5%): 5% × £220,000 = £11,000.
Total SDLT: £12,900.
Once you know your stamp duty, check how much mortgage you can afford for your target property.
Use the Mortgage Affordability Calculator →