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When you're buying a property you don't intend to live in for most or all of the time – for example, a buy-to-let property or holiday/second home – you'll normally have to pay a higher rate of stamp duty. But how much you pay varies across the UK.
This guide explains which rates apply in England, Northern Ireland (NI), Wales and Scotland. You can also use our buy-to-let, holiday or second home stamp duty calculator to estimate what your bill will be.
Please note that this article is for information purposes only and doesn't constitute advice. Please refer to the particular T&Cs of a provider before committing to any financial products.
In England and Northern Ireland, there is a 5% stamp duty surcharge on buy-to-let, holiday or second homes.
| Portion of the property price | Buy-to-let stamp duty rate |
|---|---|
| £0-£40,000* | 0% |
| £0-£125,000** | 5% |
| £125,001-£250,000 | 7% |
| £250,001-£925,000 | 10% |
| £925,001-£1.5m | 15% |
| More than £1.5m | 17% |
Rates also apply to second homes and holiday homes.
*If total property price is £40,000 or less. **If the total property price is more than £40,000, you'll pay the surcharge on the whole cost of the property.
The main exception to this is people who've never owned a property before and are investing in buy-to-let property as first-time buyers, who instead pay standard home mover rates. You can find standard home mover rates in our residential stamp duty guide.
Find the right mortgage using the fee-free service provided by L&C Mortgages
Compare mortgagesIf you click on the link and complete a mortgage with L&C Mortgages, L&C is paid a commission by the lender and will share part of this fee with Which? Ltd helping fund our not-for-profit mission. We do not allow this relationship to affect our editorial independence. Your home or property may be repossessed if you do not keep up repayments on your mortgage.
The stamp duty surcharge on additional properties in Wales and Scotland is higher.
When you purchase a second home or buy-to-let property in Scotland, you have to pay an Additional Dwelling Supplement (ADS) on top of the normal Land and Building Transaction Tax (LBTT).
| Portion of the property price | LBTT ADS rate |
| Properties worth less than £40,000 | 0% |
| £0-£145,000 | 8% |
| £145,001-£250,000 | 10% |
| £250,001-£325,000 | 13% |
| £325,001-£750,000 | 18% |
| More than £750,000 | 20% |
If you buy a second home or buy-to-let property in Wales, you'll need to pay a higher Land Transaction Tax (LTT) rate.
| Portion of the property price | LTT Rate |
| Less than £40,000 | 0% |
| £0-£180,000 | 5% |
| £180,001-£250,000 | 8.5% |
| £250,001-£400,000 | 10% |
| £400,001-£750,000 | 12.5% |
| £750,001-£1.5m | 15% |
| £1.5m+ | 17% |
For standard rates in Scotland and Wales, check out our stamp duty guide.
Use our calculator to find out how much tax you'll pay on a buy-to-let property or second home.
The rules around buy-to-let stamp duty can seem confusing. If you're still not sure whether you're likely to be charged the higher rates, try answering the questions on the chart.
Then, see if the property you're buying fits with any of the exemptions further down the page.
Overseas-based buyers of residential properties in England and Northern Ireland must pay a surcharge of 2% on top of the normal rates.
This applies on top of the 5% buy-to-let surcharge, so overseas residents buying an investment property will need to pay stamp duty at 7% more than the standard rates for home movers.
Overseas-based buyers of residential properties in Wales and Scotland don't pay a surcharge.
Find out the rules around exemptions in these scenarios.
If the total price paid for the property is up to £40,000, you won't need to pay any stamp duty at all.
If you're buying a caravan, mobile home or houseboat, you'll also be exempt from stamp duty, regardless of the purchase price and whether it's going to be your main residence.
If you've never owned a house before and are purchasing a buy-to-let property, you won't have to pay the buy-to-let stamp duty rates. However, you won't qualify for the first-time buyer stamp duty exemption/discount either, as this only applies to those who intend to live in the property.
Instead, first-time buyers purchasing a buy-to-let property will pay the standard home mover stamp duty rates.
If one person in the relationship already owns a property, but then wants to buy as part of a couple, a higher rate of tax will apply to the property being bought together.
People who are married or in a civil partnership are treated as one person for stamp duty purposes.
The only exception is when married couples are living separately and are unlikely to get back together.
If you're buying a property with someone you live with, and one of you already owns a property while the other doesn't, the only way to avoid paying higher stamp duty rates is for the person who doesn't own a property to buy it on their own.
This means being the only person named on the mortgage and property deeds.
Those purchasing a property jointly will be treated as a single entity for stamp duty, so the same rules apply as for married couples.
If you buy a new home before selling your old one, you'll have to pay the higher stamp duty rate.
However, you can claim this back if you sell your original home within 36 months (three years) of buying the new one. See the FAQs for more details.
It's unlikely that additional stamp duty will apply if you have inherited a small share (50% or less) in an additional property, or you hold a financial interest in one as part of a partnership or as a beneficiary of a trust.
However, there are exceptions, so you should declare any financial interests such as these to your solicitor.
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