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Stamp duty calculator
All residential properties bought in England and Northern Ireland are subject to stamp duty land tax if they were purchased for more than £250,000.
The higher the purchase price of your property, the more stamp duty you will likely have to pay. However, exemptions are in place for first-time buyers.
If you’re a home buyer or looking to grow your property investment portfolio, our handy stamp duty calculator will give you the answers you need in seconds. Simply input the purchase price and state your buyer type to quickly and easily work out how much you may be expected to pay.
Stamp duty FAQs
If you’re new to paying stamp duty, understanding exactly what this tax is and how much you’ll be expected to pay is important.
We’ve compiled this helpful list of FAQs to help set you on your way to becoming a stamp duty expert.
What is stamp duty?
Stamp duty is a tax that you might have to pay when you buy a property in England or Northern Ireland. It’s known as Land and Buildings Transaction Tax in Scotland, and Land Transaction Tax in Wales.
The amount of stamp duty you have to pay will depend on the purchase price of your property, with different thresholds determining whether you pay a higher or lower stamp duty surcharge.
As of September 2022, stamp duty land tax must be paid on properties purchased for more than £250,000 unless you’re eligible for first-time buyer relief.
First-time buyers pay no stamp duty on properties purchased for less than £425,000 and pay a discounted rate on properties costing up to £625,000.
Stamp duty land tax applies to both freehold and leasehold properties and must be paid regardless of whether you’re buying the property outright or with a mortgage.
How much is stamp duty?
Stamp duty must be paid on any property purchased for more than £250,000, but first-time buyers are exempt from stamp duty on property purchases up to £425,000.
The current stamp duty rates in England and Northern Ireland are as follows:
- Nothing on the first £250,000
- 5% between £250,001 and £925,000
- 10% between £925,001 and £1.5 million
- 12% above £1.5 million
These rates are based on where your property falls within HMRC’s stamp duty bands. This shows how much stamp duty you’ll need to pay, as well as the usual rate that buyers are expected to pay outright.
To find out exactly how much stamp duty you need to pay, enter your property purchase price into our handy stamp duty calculator and we’ll do the hard work for you.
What is the first-time buyer stamp duty rate?
First-time buyers are exempt from stamp duty on properties purchased for less than £425,000, making it more affordable for this demographic to access the housing market.
First-time buyers pay 5% stamp duty on the portion of the property price between £425,001 and £625,000. Those with properties that were purchased for more than £625,000 will be charged at the normal stamp duty rate.
Use our stamp duty calculator to work out how much stamp duty, if any, you will need to pay as a first-time buyer.
How much is stamp duty on second homes and buy-to-let properties?
Stamp duty on a buy-to-let property or second home is charged at an additional 3% on top of the standard stamp duty rates. You will not have to pay extra stamp duty if your additional property is a caravan, mobile home, or houseboat.
The additional surcharge also applies if you purchase a new residential property before you’ve sold your previous one. This is because, even if only for a short period of time, you will own two homes. In these circumstances, you might be able to apply for a refund of the higher stamp duty rates you paid when you purchased your new home.
The 3% surcharge also still applies if:
- Your main home is abroad but the second home you buy is in the UK.
- Your second home is purchased via a limited company.
Use our instant stamp duty calculator to work out exactly how much stamp duty land tax you should expect to pay.
Can I get a refund if I've paid the higher rate of stamp duty?
If you purchase a new home but are unable to sell your previous home straight away, you may have to pay a higher stamp duty rate because you will own two properties.
However, if you sell your old home within three years of purchasing your new one, you might be eligible to apply for a refund on any additional stamp duty you paid during this period.
You must meet the following criteria to be eligible for a refund:
- You sell your previous home within three years, and
- You claim the refund within 12 months of selling your previous home, or within 12 months of filing your stamp duty tax return (whichever of these is later).
When is stamp duty payable?
You’ll need to file a stamp duty land tax return and pay the amount due within 14 days of purchasing your new home.
Failure to do this within 14 days will result in HMRC charging you penalty fees and interest.
How is stamp duty calculated?
Use our handy stamp duty calculator to work out exactly how much you will need to pay.
This table also gives you a helpful overview of the thresholds.
Property price Stamp duty rate Up to £250,000 Zero Portion from £250,0001 to £925,000 5% Portion from £925,001 to £1.5 million 10% Remaining amount above £1.5 million 12%
Who is exempt from stamp duty?
In certain scenarios, you may be exempt from paying stamp duty land tax. Some examples of where stamp duty might not be payable include:
- When the property is transferred to a spouse or partner during a separation or divorce.
- When you transfer the deeds of your property to another person as a gift.
- If you are a first-time buyer and your home was purchased for less that £425,000.
What are the rates for non-UK residents?
As of 1 April 2021, overseas buyers purchasing residential property in England and Northern Ireland must pay a 2% stamp duty surcharge.
This surcharge applies to non-resident buyers regardless of whether the buyer is a company or an individual, although a few specific collective investment vehicles (such as real estate investment trusts) are exempt.
The surcharge for non-UK residents is levied in addition to the 3% second home/buy-to-let charge, the flat 15% stamp duty rate on purchases of property valued at more than £500,000 by companies acting as ‘envelopes’, and the existing stamp duty rates for home buyers.
If you’re an overseas buyer, select the ‘buyer is a non-UK resident’ option on our stamp duty calculator to find out how much you will need to pay.
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