Stamp duty in 2026: what will you pay when buying a home?
Stamp Duty Land Tax (SDLT) is a tax on property purchases in England and Northern Ireland. The amount you pay depends on the purchase price and your circumstances, including whether you are a first-time buyer or already own another property. SDLT is calculated in bands: each rate applies only to the part of the price within that band, rather than to the whole price.
Standard rates for a home purchase
For a buyer paying the standard residential rates, the bands are:
| Portion of the purchase price | SDLT rate |
|---|---|
| Up to £125,000 | 0% |
| £125,001 to £250,000 | 2% |
| £250,001 to £925,000 | 5% |
| £925,001 to £1.5 million | 10% |
| Above £1.5 million | 12% |
For example, the SDLT on a £500,000 purchase at standard rates is £15,000: nothing on the first £125,000, £2,500 on the next £125,000 and £12,500 on the remaining £250,000.
What if you are a first-time buyer?
If everyone buying the property qualifies as a first-time buyer, intends to use it as their main residence and pays no more than £500,000, first-time buyers’ relief may apply. You pay no SDLT on the first £300,000 and 5% on the portion between £300,001 and £500,000.
That means a qualifying first-time buyer purchasing for £450,000 pays £7,500. At £500,000, the bill is £10,000. If the price exceeds £500,000, the relief does not apply at all: standard rates apply to the purchase.
What if you are buying an additional property?
Higher rates may apply if you buy a second home or buy-to-let property, or buy a new home before selling your previous main residence. These rates are generally five percentage points above the standard rates: 5%, 7%, 10%, 15% and 17% across the corresponding price bands. If you sell your previous main residence within the permitted period, you may be able to reclaim the additional SDLT paid. The detailed rules depend on your circumstances, so check the position with your conveyancer before committing to a purchase.
Some purchases by people who are not UK resident for SDLT purposes may also attract a further 2% surcharge.
Check the cost before you make an offer
Stamp duty can make a substantial difference to your moving budget, particularly if you are buying near the £500,000 first-time buyer relief limit or still own another home when you complete. Use the government’s SDLT calculator for an estimate, and ask your conveyancer to confirm the amount due in your particular transaction.
Rates and thresholds stated are those applying in September 2026. This article is general information, not tax or legal advice.