UK Stamp Duty Calculator - How much will I pay?
Our easy stamp duty calculator helps homebuyers in England and Northern Ireland understand how much stamp duty they would need to pay against a property purchase.
The stamp duty calculator helps:
- First-time buyers
- Investors purchasing additional properties
- Home movers
What is stamp duty?
Stamp duty is a property tax called Stamp Duty Land Tax (SDLT). This tax is payable on property purchases in England and Northern Ireland.
The rate of stamp duty payable depends on the price of the property. There are different bands that properties fall into that determine the rate of tax owed.
What are the 2020 stamp duty rates?
Stamp duty rates payable are as below for freehold residential properties.
Band SDLT on 1st Property SDLT on Additional Properties
<£125,000 0% 3%*
£125,000-£250,000 2% 5%
£250,000-£925,000 5% 8%
£925,000 - £1,500,000 10% 13%
>£1,500,000 12% 15%
* If you purchase an additional property at under £40,000 there is no SDLT payable. The standard 3% tax levy applies to second property purchases from £40,000-£125,000.
How to get a stamp duty refund?
If you are moving home, you may be eligible for a stamp duty refund. A refund is claimable online, and an application for a refund be submitted once your property has sold.
Please take a look at our guidance on moving home for more advice about claiming stamp duty refunds.
Stamp duty on buy-to-let and second homes
The stamp duty rate of tax is higher for additional residential properties, which includes buy-to-let premises and second homes. These higher rates mean an additional 3% surcharge is payable in addition to the normal SDLT payable.
If you are unsure whether your property falls into these criteria, or what SDLT you will need to pay, try our handy calculator or give Revolution Brokers a call for support.
Usually, other types of property, such as land and commercial premises are not taken into consideration when determining whether a residential property purchase is a first or additional home.
For help understanding the rates and applicable exemptions take a look at our additional homes advice, or give our team a call on 0330 304 3040.
Moving your primary home when you have additional properties
If you decide to move home and are replacing your main property, you will not need to pay the higher rates of stamp duty even if you own a second residence.
Should you move home before selling your existing residence, then stamp duty is charged at the higher rate. A refund can be claimed retrospectively when your previous property sells.
You can claim a stamp duty refund within one year of selling your home, provided the time between purchasing your new property and selling your previous residence is no longer than three years.
Stamp duty for first-time buyers
First-time buyers are exempt from paying stamp duty on properties purchased up to the value of £300,000. This exemption means that there are fewer boundaries for first-time buyers to get onto the property ladder, and most will not pay any stamp duty on their first property purchase.
Stamp duty relief rate increases to £500,000 in high-value property areas like London.
When is SDLT payable?
Stamp duty must be paid within two weeks of the property purchase completing.
Usually, the conveyancer, solicitor or broker representing you manages your stamp duty payment.
Paying stamp duty as a non-resident of the UK
From 2020, non-UK residents pay a higher rate of stamp duty than UK citizens. The additional tax payable is 2% in addition to the standard rates and applies throughout England and Northern Ireland.
Non-residents include anybody not considered a UK resident for tax purposes and include ex-pats living abroad. The extra surcharge brings to maximum stamp duty payable up to 17%.
Having an additional levy for non-UK residents is intended to level the property market and make it more accessible to UK residents than for overseas investors. The stamp duty changes also control the rate of house price rises and provide more help for first-time buyers looking to get onto the property ladder.
How much income does stamp duty provide for the government?
Stamp duty has risen gradually for several years and was last reformed extensively in 2014. In 2018/19 stamp duty taxes raised around £11.9 billion in government funds, a drop from £12.9 billion in the previous year.
This drop in income is attributable to uncertainty about how the housing market would fair, and the exemptions on stamp duty introduced for first-time buyers.
Stamp duty rates vary in different countries across the UK, and our calculator applies to residential freehold property purchases in England and Northern Ireland.
For help with other stamp duty rates and property purchases, get in touch at 0330 304 3040 or email email@example.com.
Please note that our stamp duty calculator rounds down to the nearest pound for ease of use!