For a qualifying first-time buyer purchase in England costing up to £500,000, no SDLT (the property-purchase tax used in England) is due on the first £300,000 and 5% applies to the remainder. Above £500,000, this relief is lost and ordinary rates apply to the whole calculation.
Every buyer must qualify
Previous relevant ownership anywhere in the world can count, including ownership acquired through a gift or inheritance. Legal definitions and exceptions matter; ask your conveyancer (the solicitor or licensed professional handling the legal purchase) to confirm your position. The home must be intended as the buyers’ only or main residence.
A price boundary to notice
At £500,000, qualifying first-time buyer SDLT is £10,000. At £500,001, ordinary SDLT is £15,000. That extra £1 in price changes more than the deposit.
Ordinary residential bands
| Portion of price | Rate |
|---|---|
| Up to £125,000 | 0% |
| £125,000–£250,000 | 2% |
| £250,000–£925,000 | 5% |
| £925,000–£1.5 million | 10% |
| Above £1.5 million | 12% |
Checked 25 October 2026. Rules and product availability can change; check the original information before acting.
HMRC · Stamp Duty rates and first-time buyer relief ↗HMRC · Stamp Duty calculator ↗HMRC · SDLT rounding ↗GOV.UK · How to buy a home ↗MoneyHelper · Applying for a mortgage ↗Allow for the tax before offering.
Use the actual price and buyer circumstances. Keep the tax money separate from your deposit.
Check a buying-tax illustration →