Masons guide to stamp duty and how much you will pay

Tue 01 Nov 2022

Recent changes to stamp duty – the tax that you pay when you buy a property in England and Northern Ireland – mean that you’ll only need to pay stamp duty if the price of the property you buy reaches a certain threshold.

You will find a Stamp Duty Calculator on every page of our properties for sale, and it will show you how much you will need to pay based on that property being your main UK residence. Different rules apply to buy-to-let or second homes as detailed below.

When does stamp duty become payable?

In England and Northern Ireland, no stamp duty is due on the first £250,000 of your property if this is your main residence, and it excludes additional properties.

How much stamp duty will I pay as a first-time buyer?

The threshold for stamp duty was raised in September 2022 for those buying their first home. Stamp duty only becomes payable on a property of £425,000 for first time buyers. If the property has a value of between £425,000 and £625,000 then 5% stamp duty is due. If the property you’re buying costs more than £625,000 as a first-time buyer, you will pay the normal rate of stamp duty.

What rates of stamp duty are paid on additional properties?

In England and Northern Ireland, 3% higher rate of Stamp Duty Land Tax is payable for purchases of additional dwellings, such as second homes or buy-to-let properties, on top of the rates set out in our standard table. So that means

8% rate for additional properties on £250,001 - £925,000

13% for additional properties on £925,001 - £1,500,00

£1,500,001 + for additional properties on 15%

Your solicitor will give you specific advice on applicable Stamp Duty Land Tax. You can find also full, up to date advice on Stamp Duty Land Tax on the Government website. Please don’t hesitate to get in touch if we can be of further assistance or call our Sales Team on 01507 350500 Option 1.