Stamp Duty Land Tax (SDLT) applies to most property purchases in England. New builds are taxed the same as other homes — here’s how it works and where buyers can save. (Rates and thresholds change; confirm current figures with HMRC or your solicitor.)
How SDLT is structured
SDLT is tiered: you pay a percentage on the portion of the price within each band, not the whole price. Your solicitor calculates and pays it on completion.
First-time buyer relief
First-time buyers pay reduced or no SDLT up to a relief threshold, with a taper above it (subject to a price cap). This can save thousands — check the current threshold as it has changed in recent years.
The additional-property surcharge
If you’re buying an additional property (e.g. a buy-to-let or second home), a surcharge applies on top of standard rates. This significantly affects investor returns.
Developer contributions
Some developers offer to “pay your stamp duty” as an incentive — effectively a price contribution. Compare it against alternatives like the Own New Rate Reducer.
Key takeaways
- ✓SDLT is tiered — you pay per band, not on the whole price.
- ✓First-time buyer relief can save thousands (verify the current threshold).
- ✓Additional properties carry a surcharge — key for investors.
- ✓Always confirm current rates with HMRC or your solicitor.
This guide is general information, not legal, mortgage, tax or investment advice. Rules, rates and scheme availability change — confirm current details with a qualified adviser before acting.