Calculate the additional 5% stamp duty surcharge on your second home or additional property. Updated with the latest 2025/26 rates for England and Northern Ireland.
The 5% surcharge applies on top of standard rates across every band when purchasing a second home or additional property.
Main residence purchase
Standard + 5% surcharge
The 5% surcharge applies across all bands. It does not apply to properties under £40,000.
Additional property vs main residence
Common questions about the additional property surcharge for second homes and holiday lets.
A 5% surcharge applies on top of standard rates for second homes and buy-to-lets.
If you are buying an additional residential property — such as a buy-to-let, second home, or holiday let — you must pay a 5% surcharge on top of the standard SDLT rates across every band. This surcharge was increased from 3% to 5% on 31 October 2024.
| Purchase price band | Standard rate | Additional property |
|---|---|---|
| Up to £125,000 | 0% | 5% |
| £125,001 – £250,000 | 2% | 7% |
| £250,001 – £925,000 | 5% | 10% |
| £925,001 – £1,500,000 | 10% | 15% |
| Over £1,500,000 | 12% | 17% |
On a £300,000 additional property, you would pay £20,000 in SDLT compared to just £5,000 as a standard buyer. The surcharge does not apply to properties purchased for less than £40,000.
Not if you sell on the same day — but if there is a gap, you pay first and claim a refund later.
If you sell your existing main residence and complete on your new main residence on the same day, the surcharge does not apply. However, if there is any gap between the purchases, you will initially pay the higher rate.
You can then claim a refund of the surcharge once you sell your previous main home, provided the sale completes within 36 months of buying the new property. The refund claim must be submitted within 12 months of the sale or within 12 months of the filing date of the purchase return, whichever is later.
Yes — if you sell your previous main home within 36 months of buying a new one.
If you buy a new main residence before selling your existing one, you will initially pay the higher rate. You can claim a refund of the surcharge if you sell your previous main home within 36 months of the new purchase.
The refund claim must be made within 12 months of the sale of your old property, or within 12 months of the filing date for the new purchase — whichever comes later.
This does not apply to genuine additional properties such as buy-to-lets or second homes.
Yes — holiday homes are treated as additional properties and attract the full 5% surcharge.
Holiday homes, whether in the UK or abroad, are treated as additional residential properties for SDLT purposes. If you already own a main residence, purchasing a holiday home triggers the 5% additional property surcharge on top of standard rates.
There is no exemption based on how frequently the property is used or whether it is let to holidaymakers. The surcharge applies regardless of the intended use.
Rates reverted to pre-2022 levels from 1 April 2025, with a nil-rate band of £125,000.
From 1 April 2025, the SDLT thresholds reverted to their pre-September 2022 levels. Here are the current standard residential rates for England and Northern Ireland:
| Purchase price band | Rate |
|---|---|
| Up to £125,000 | 0% |
| £125,001 – £250,000 | 2% |
| £250,001 – £925,000 | 5% |
| £925,001 – £1,500,000 | 10% |
| Over £1,500,000 | 12% |
First-time buyers pay 0% on the first £300,000 and 5% on £300,001 to £500,000, provided the property costs £500,000 or less.
Within 14 days of completion — your solicitor usually handles this.
You must file an SDLT return and pay any stamp duty owed within 14 days of completion in England and Northern Ireland. In Scotland and Wales, the deadline is 30 days.
Your solicitor or conveyancer will typically handle this on your behalf, and most will request the funds before completion. Late filing or payment can result in penalties and interest charges from HMRC.
This applies whether you are purchasing as an individual or through a limited company.
Technically yes, but it increases your borrowing costs significantly over time.
You can increase your mortgage to cover stamp duty by borrowing more and using the freed-up deposit funds to pay SDLT. However, over a 25-year term at 5%, that extra borrowing will cost roughly 80% more in interest.
It can also push your loan-to-value ratio into a less competitive bracket. For buy-to-let investors, a larger mortgage may mean your rental income no longer meets lender coverage requirements.
Where possible, paying stamp duty from savings is the more cost-effective approach.
Companies always pay the additional property surcharge on residential property.
When purchasing residential property through a limited company, the additional property surcharge always applies — regardless of whether the company already owns other properties. This means you pay an extra 5% on top of standard rates from the first pound.
Company purchases can benefit from different treatment on mixed-use or commercial properties, and the rules around portfolio structuring can be nuanced. The filing obligations and payment deadlines are the same as for individual purchasers.
Consult a property tax specialist to find the most efficient structure for your investments.
How the 5% surcharge works, when you can get a refund, and what it means for second home buyers.
If you already own a residential property and you purchase another one — whether as a second home, holiday home, or for any other purpose — you'll pay 5 percentage points on top of every SDLT band. This surcharge was increased from 3% to 5% on 31 October 2024 as part of the Autumn Budget.
The surcharge applies across the entire purchase price, including the portion that would otherwise fall within the nil-rate band. For example, on a £300,000 second home you would pay £20,000 in SDLT, compared to just £5,000 for a main residence at the same price.
If you're buying a new main residence before selling your old one, you'll initially pay the higher rate. However, you can claim a refund of the surcharge if you sell your previous main home within 36 months of purchasing the new one.
The refund claim must be made within 12 months of the sale of the old property, or within 12 months of the filing date for the new purchase — whichever is later. This only applies when you're replacing your main residence, not for genuine additional properties.
Holiday homes, whether in the UK or abroad, are treated as additional residential properties for SDLT purposes. There is no exemption based on how frequently the property is used or whether it is let to holidaymakers.
The surcharge also applies regardless of the value of the property, as long as it costs more than £40,000. Properties purchased for less than £40,000 are exempt from the additional property surcharge.