Stamp Duty Land TAX (SDLT)
Stamp Duty is a tax you pay the government when you do one of the following:
Buy a freehold property
Buy a new or existing leasehold
Buy a property through a shared ownership scheme
Are transferred land or property in exchange for payment, e.g. you take on a mortgage or buy a share in a house
We will file your SDLT return and pay the tax on your behalf on the day of completion. We will also claim any relief that you are eligible for, such as if you’re a first-time buyer.
FIRST TIME BUYER'S RELIEF
Note: If the price is over £500,000, you will not qualify for the first time buyer's relief.
You are eligible for the first time buyer’s relief if:
You, and anyone else you are buying with, are first-time buyers
The property will become your only or main residence
You complete your purchase on or after 22 November 2017
RATES IF YOU HAVE OWNED A HOME BEFORE
HIGHER RATES FOR ADDITIONAL PROPERTIES
You will usually have to pay 3% on top of the normal SDLT rates if buying a new residential property means that you will own more than one.
You won’t pay the extra 3% SDLT if the property you’re buying is replacing your main residence and that has already been sold.
If there is a delay selling your main residence and it hasn’t been sold on the day you complete your new purchase:
you will have to pay higher rates because you own 2 properties
you may be able to get a refund if you sell your previous main home within 36 months
IS YOUR PURCHASE SUBJECT TO THE HIGHER RATES?
How many properties will you own at the end of the day? (The day of completion)
The transaction is not subject to the higher rates, regardless of what the property is used for.
Is the property being purchased replacing your main residence?
The transaction is subject to the higher rates.
Is your main residence being sold simultaneously?
The transaction is subject to the higher rates but a refund may be available if the previous main residence is sold within 36 months.
The transaction is not subject to the higher rates.