Stamp Duty is a tax you might have to pay if you buy a residential property or a piece of land in England and Northern Ireland.

In July 2020 the government released plans for a Stamp Duty Holiday, where the threshold for the nil rate band for Stamp Duty Land Tax (SDLT) on residential properties was increased to £500,000. This finished on 30th June 2021, but did not automatically return to the standard rate.

Between 1st July 2021 and 30th September 2021 this threshold reduced to £250,000 and applies whether you are a first-time buyer or have previously owned a property.

On 1st October 2021 the threshold for the nil band rate of SDLT returns to £125,000.

Properties costing more than the current threshold will pay the Stamp Duty rate based on the value of the property over that threshold. If you’re buying a second home, you’ll still pay Stamp Duty on a property costing more than £40,000 at the revised rates – paying an extra 3%.

This tax applies to both freehold and leasehold properties – whether you’re buying outright or with a mortgage. If you’re buying a property in Scotland, you will pay Land and Buildings Transaction Tax (LBTT) and in Wales Land Transaction Tax (LTT) instead of Stamp Duty.

*Stamp Duty Calculator