UK Stamp DutyFirst-time buyer Stamp Duty
A first-time buyer in England or Northern Ireland pays no Stamp Duty Land Tax on the first £300,000 and 5% on the portion from £300,001 to £500,000. Above £500,000 the relief is lost and standard rates apply to the whole price (GOV.UK, read on 13 November 2026).
| Price | First-time buyer | Standard buyer | Saving |
|---|---|---|---|
| £250,000 | £0 | £2,500 | £2,500 |
| £300,000 | £0 | £5,000 | £5,000 |
| £350,000 | £2,500 | £7,500 | £5,000 |
| £400,000 | £5,000 | £10,000 | £5,000 |
| £450,000 | £7,500 | £12,500 | £5,000 |
| £500,000 | £10,000 | £15,000 | £5,000 |
| £500,001 | £15,000 | £15,000 | £0 |
| £600,000 | £20,000 | £20,000 | £0 |
The cliff at £500,000
At £500,000 a first-time buyer pays £10,000; at £500,001 the relief goes and the tax is £15,000, because the standard rates apply to the whole price. That is £5,000 more for a pound more.
Planning around it
Because of that cliff, a buyer near £500,000 who is a first-time buyer may find that a price just under the limit saves several thousand pounds in tax. The tax is only one cost: check your own figures with a conveyancer, who will also confirm whether you really are a first-time buyer, which GOV.UK says depends on everyone you buy with.
Common questions
Who is a first-time buyer?
GOV.UK says you are eligible if you and anyone else you are buying with are first-time buyers.
What if the price is over £500,000?
You cannot claim the relief and the rules for people who have bought a home before apply.
Sources
- England and Northern Ireland Stamp Duty Land Tax: GOV.UK, "Residential property rates" (gov.uk), "Stamp Duty Land Tax: buying an additional residential property" (gov.uk) and "Rates for non-residential and mixed land and property" (gov.uk), read on 13 November 2026.
- Wales Land Transaction Tax: GOV.WALES, "Land Transaction Tax rates and bands" (gov.wales), read on 13 November 2026; the page shows it was last updated on 10 December 2024.
- Scotland Land and Buildings Transaction Tax: Revenue Scotland, "Residential property", "The Additional Dwelling Supplement (ADS)" and "Non-residential property" (revenue.scot), read on 13 November 2026.
Rates read on 13 November 2026 from GOV.UK, GOV.WALES and Revenue Scotland for freehold residential purchases. They change with Budgets: check the current rate with HMRC (England and Northern Ireland) or the Welsh Revenue Authority (Wales) before you buy. Scotland charges Land and Buildings Transaction Tax, from Revenue Scotland. This site is independent and gives arithmetic, not legal or tax advice.