How much stamp duty will I pay on my property purchase?

Purchasing a property in the UK – whether it’s a first time buy or a second property that will be used as a holiday home – isn’t cheap, with a healthy house deposit just one of the expenses to budget for. We’ll let the HomeOwners Alliance explain what to expect when saving for a deposit to buy a home in the UK in 2026:

“You’ll usually need at least a 5% deposit to buy a house. This means if you’re buying a house for £250,000 you’ll need at least a £12,500 mortgage deposit. However, the bigger your deposit, the bigger the choice of mortgages you’ll typically have… The average first time buyer deposit in 2024 was £61,090, according to Halifax and the average deposit size was 20%. First time buyers in London paid an average deposit of £124,688.”

There are many more areas of expenditure that are overlooked by both first time buyers and repeat purchasers. In fact, according to this statistic from Homemove, buyers should expect to foot the bill for around 3% to 5% of the property price in extra costs on top of their deposit.

Stamp Duty Land Tax (SDLT) represents one of these extra costs, so how much can you expect to pay on your upcoming purchase? Read on for answers!

Are you a first time buyer?

While Stamp Duty reliefs aren’t as generous as in previous years, first time buyers do get a better deal than repeat purchasers in 2026. If you – or anyone else you’re buying a property with – are classed as first time buyers, you’ll have no stamp duty to pay on up to £300,000 of your property purchase, and just 5% to pay on the portion from £300,001 and £500,000.

It is important to note however that if the purchase price of your first time buy is above £500,000, you are not eligible to claim first time buyer stamp duty relief.

What about repeat purchasers?

If this isn’t your first rodeo, and you’re buying your next residential property, different rules apply.

There’s no stamp duty to pay up to £125,000, while the next £125,000 (i.e. the portion from £125,001 to £250,000) is charged at the 2% rate. If part of your property purchase exceeds this, you’ll pay 5% stamp duty on the portion from £250,001 to £925,000. The portion from £925,001 to £1.5 million is charged at the 10% stamp duty rate, and you’ll pay 12% on anything above this.

These SDLT rates apply if this is the only residential property you own. If it isn’t, then you’ll want to read on.

I’m buying a leasehold, how much will I pay?

The stamp duty for leasehold properties is calculated differently. Instead of paying stamp duty on the overall property purchase price at the rates we mentioned earlier, you’ll pay stamp duty on the purchase price of the lease using the rate bands detailed for repeat purchasers above. This is often referred to as a ‘lease premium’.

What’s the stamp duty on second properties?

Stamp duty for second or additional properties is paid in addition to the SDLT detailed for repeat purchasers. You’ll need to pay an extra 5% on top of the usual rates for residential property purchasers, but there are some exceptions to this rule.

If you intend to replace your main residence with this new purchase, you won’t have to pay the extra 5% stamp duty. You must however make it your main residence within 36 months of completion.

Ready to take your next steps?

So, you have a clear understanding of stamp duty and the other hidden costs of home buying, what’s next? Getting mortgage advice from an independent specialist like us of course! Get started today right here.