The following calculator and commentary is for general interest only and must not be relied on. It may not be up to date or complete, relates only to certain types of residential property in England or Wales and does not constitute advice. You will always need to take specific advice from your property lawyers, accountants or other financial advisers on tax issues in specific situations.
Calculate Your Stamp Duty
How the calculator works
|Tax Band||Standard %||Taxable Sum||Tax|
|£0 – £125,000||0%||£0||£0.00|
|£125,001 – £300,000||2%||£0||£0.00|
|£300,001 – £925,000||5%||£0||£0.00|
|£925,001 – £1,500,000||10%||£0||£0.00|
When is Stamp Duty paid?
When buying a property over a certain price, stamp duty is payable to the HMRC 14 days from the date of completion or you may risk a fine. Your solicitor or legal adviser should take care of this for you and ensure you don’t miss the deadline. Some buyers prefer to add on the stamp duty land tax (SDLT) amount to their mortgage loan. Please speak to your mortgage provider about this.
Buy-to-let and second homes Stamp Duty
Knowing how much you need to budget for stamp duty land tax when buying a property isn’t always easy. The rate differs depending on how many properties you own, with lower rates for your first property.
You can use the Surrenden Invest stamp duty calculator to calculate stamp duty on residential property in the UK.
Calculate your stamp duty in a single step
Simply enter the price of the property and our free-to-use stamp duty land tax calculator will calculate your stamp duty.
Please note that the amount quoted is indicative and should be confirmed as part of your property purchase process.
What are residential property stamp duty rates?
How much stamp duty you have to pay when buying a residential property in the UK depends on the value of the property and whether it is your first home or an additional property. You have to pay stamp duty to HMRC within 14 days of completion.
Stamp duty is payable based on a sliding rate scale. For your first property, where you are eligible for First Time Buyers Relief, stamp duty is applied based on the following scale:
|Property value bandings||Rate at which stamp duty is applied (first home only)|
|£0 – £300,000||0%|
|£300,001 – £500k||5%|
|£500,001 – £925k||5%|
|£925,001 – £1.5m||10%|
These rates apply only to those purchasing their first and only home, meaning that they must occupy the property as their only or main residence.
Those who do not currently own any property in the world, but have done so previously, are not eligible for the First Time Buyers relief and so the standard rates of SDLT would apply to those individuals:
|Purchase price of property||Rate of Stamp Duty|
|£0 – £125,000||0%|
|£125,001 – £250,000||2%|
|£250,001 – £925,000||5%|
|£925,001 – £1,500,000||10%|
An exception to the First Time Buyers Relief is those who are buying a first home priced in excess of £500,000. In that situation, the standard rates of SDLT apply to the entire purchase price as set out above.
How much second home stamp duty is added?
A second (or subsequent) home incurs additional stamp duty land tax of 3% in each banding. Anyone buying a home through a company is also automatically liable for these higher rates.
What are the buy to let stamp duty bandings for second homes?
|Property value bandings||Rate at which second home stamp duty is applied|
|£0 – £125,000||3%|
|£125,001 – £250k||5%|
|£250,001 – £925k||8%|
|£925,001 – £1.5m||13%|
Are there ways to pay less stamp duty?
Stamp duty is payable based on everything attached to the land and property, so not on any removable items such as white goods or furniture. As such, any such goods that are left could be purchased separately from the vendor in order to exclude them from the total property price. You would need to draw up an appropriate legal agreement in respect of such arrangements.
Does every buyer have to pay stamp duty?
In short, yes. Stamp duty applies to every home that is bought in England (it does not apply in Wales – there you pay land transaction tax, which has different rates).
You pay stamp duty regardless of whether you live in the UK or overseas or whether you are investing via a company.
If you would like to know more, simply contact our friendly team of property investment professionals.