Stamp Duty for First-Time Buyers 2026: Thresholds, Relief, and What You’ll Pay

Stamp Duty Land Tax (SDLT) applies to property purchases in England and Northern Ireland. From April 2026, the stamp duty threshold for first-time buyers was raised to £450,000, providing some additional relief to buyers in higher-priced markets.

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2026-27 Stamp Duty Rates for First-Time Buyers

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First-time buyers purchasing properties up to £450,000 pay no stamp duty on the first £450,000. On the portion between £450,000 and £625,000, a rate of 5% applies.

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Properties above £625,000 do not qualify for first-time buyer relief — standard rates apply from pound one.

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**Examples**: – Buying at £300,000: £0 stamp duty – Buying at £450,000: £0 stamp duty – Buying at £500,000: £2,500 (5% of £50,000 above the threshold) – Buying at £625,000: £8,750 (5% of £175,000) – Buying at £700,000: No relief — standard rates apply: £25,000

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Standard SDLT Rates (Non-First-Time Buyers)

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– Up to £125,000: 0% – £125,001 – £250,000: 2% – £250,001 – £925,000: 5% – £925,001 – £1.5 million: 10% – Over £1.5 million: 12%

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Additional Dwelling Surcharge

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Buying a second home or investment property incurs a 3% surcharge on top of standard rates.

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What Counts as 'First-Time Buyer'?

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You must never have owned a residential property anywhere in the world — not in the UK, not overseas. If you are purchasing jointly and either buyer has previously owned property, neither buyer qualifies for first-time buyer relief.

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