Important information for first time buyers:
For first time buyers stamp duty has been abolished if the property you are buying is under £300,000 (£500,000 in London). If the purchase price is over £300,000, stamp duty is only payable on the amount over £300,000 up to a maximum price of £500,000. If the property is bought for over £500,000, stamp duty will be payable on the whole amount.
Stamp duty rates if you own only one property:
Purchase Price of Property | Rates paid on the part of the property within each tax band |
£0 - £125,000 | 0% |
£125,001 - £250,000 | 2% |
£250,001 - £925,000 | 5% |
£925,001 - £1,500,000 | 10% |
£1,500,001 and over | 12% |
From 1st April 2016, there are new rates of stamp duty land tax on second properties. The rates are as follows:
Purchase Price of Property | Rates paid on the part of the property within each tax band |
£0 - £125,000 | 3% |
£125,001 - £250,000 |
5% |
£250,001 - £925,000 | 8% |
£925,001 - £1,500,000 | 13% |
£1,500,001 and over | 15% |
For more information on Stamp Duty, please read the following documents produced by HM Treasury: