The new stamp duty costs on buy to lets and second homes has now changed. As of April 2016 the costs have risen. Use our calculator to find out the new cost.
What is Stamp Duty?
Known by its full name of Stamp Duty Land Tax, Stamp Duty is a tax paid to the government for any land or property related transactions so if you are purchasing a property, you'll need to remember to calculate any payments that you'll need to make on top of the value of the property.
How much is Stamp Duty?
Property or lease premium or transfer value
Stamp Duty Rate
Up to £125,000*
The next £125,000 (the portion from £125,001 to £250,000)
The next £675,000 (the portion from £250,001 to £925,000)
The next £575,000 (the portion from £925,001 to £1.5 million)
The remaining amount (the portion above £1.5 million)
*If the property value is equal to or less than £40,000 you will not pay SDLT
Example: If you buy a house for £275,000, the Buy to let Stamp Duty Rate you owe is calculated as follows:
3% on the first £125,000 = £3,750
5% on the next £125,000 = £6,250
8% on the final £25,000 = £2,000
Total SDLT = £12,000
Stamp Duty does not apply to you if you are selling your home, but it may be worth taking it into consideration on behalf of your potential buyers.
If your property is valued at £250,000 your buyer would need to find an extra £10,000 on top of the purchase price to cover the buy to let stamp duty tax.
How can we help you?
So Smart Money are specialists when it comes to mortgage and insurance. We have access to the UK’s leading brokers and using their knowledge and skills they'll place you with the most suitable lender and product for your needs.
Speak to an expert for mortgage advice, life insurance cover, to protect your income, insurance your home or contents and private medical cover.
"Matthew at So Smart found me the best deal for my first Mortgage, he was extremely helpful! I would highly recommend this company!"
"I've been looking to switch mortgages recently to secure a better rate and the guys at So Smart Money helped me do just that."
"My mortgage enquiry was dealt with swiftly and professionally. I would highly recommend So Smart Money to others."
"I've used sosmartmoney a couple of times now, I checked my old mortgage with them and it encouraged me to get a better deal."
Winner of AI Finance awards 2015 for: Best personal finance comparison site & Best online price comparison platform