Buy-to-let and second home stamp duty

Find out current buy-to-let stamp duty rates then use our calculator to find out how much stamp duty you'll pay on a buy-to-let property or second home.
Stephen Maunder


Buy-to-let and second home stamp duty rates

The table shows the usual buy-to-let stamp duty rates in England and Northern Ireland.

£0-£40,000*0%
£0-£250,000**3%
£250,001-£925,0008%
£925,001-£1.5m13%
£1.5m+15%

Rates also apply to second homes and holiday homes.
*If total property price is £40,000 or less. **If total property price is more than £40,000, you'll pay the surcharge on the whole cost of the property.

When you're buying a property you don't intend to live in for most or all of the time - e.g. a buy-to-let property or holiday/second home - you'll have to pay 3% extra in stamp duty.

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 will pay standard home mover rates.

Second home and buy-to-let stamp duty rates are tiered, like residential stamp duty rates and income tax.

You can check out the current buy-to-let stamp duty rates for investors in England and Northern Ireland in the image below, and find out how much you'll pay with our stamp duty calculator.

In December 2020, the Welsh government increased its stamp duty surcharge to 4% - the same level as in Scotland. If you're buying in Wales or Scotland, check out our separate guides on Welsh stamp duty (LTT) and Scottish stamp duty (LBTT).

Buy-to-let stamp duty calculator

Use our calculator to find out how much tax you'll pay on a buy-to-let property or second home.

This calculator has been updated to reflect the changes to stamp duty thresholds announced in September 2022.

Do I have to pay the stamp duty surcharge?

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 below.

Then, see if the property you're buying fits with any of the exemptions further down the page.

Stamp duty surcharge for overseas buyers

Since April 2021, overseas-based buyers of residential properties in England and Northern Ireland have been required to pay a surcharge of 2% on top of the normal rates.

This applies on top of the 3% buy-to-let surcharge - so overseas residents buying an investment property will need to pay stamp duty at 5% more than the standard rates for UK home movers.

Buy-to-let stamp duty exemptions

If you're married or in a civil partnership and either partner already owns a property, you'll have to pay the additional stamp duty regardless of how many properties you yourself own.

If the purchase is not made by an individual (e.g. the buyer is a company rather than a person), the additional stamp duty will apply regardless of how many properties the company owns.

So what properties are excluded from buy-to-let stamp duty?

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.

Being a first-time buyer

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.

Married couples and civil partners

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 instance where this is not the case is when married couples are living separately and are unlikely to get back together.

Unmarried couples and those purchasing jointly

If you're buying a property with someone you live with, and one of you already owns a property but 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 the property 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.

Moving house

If you buy a new home before selling your old one, you will 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 below for more details.

Holding financial interest in a property

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.

Buy-to-let/second home stamp duty FAQs