stamp duty
Stamp Duty Land Tax (often shortened to Stamp Duty) is a tax that may need to be paid when buying property in England or Northern Ireland.
What it means
Stamp Duty Land Tax (often shortened to Stamp Duty) is a tax that may need to be paid when buying property in England or Northern Ireland. The amount depends on factors such as the property's price and whether you're a first-time buyer. For first time buyers it only applies on properties valued £300k and above, and for second time buyers on properties valued £125,000 and above.
You buy a property and, depending on the purchase price and current rules, may need to pay Stamp Duty in addition to the purchase price.
Why it matters
It's an extra cost that should be included in your buying budget.
First-time buyer relief is only available on qualifying purchases and is lost entirely if the purchase price exceeds £500,000.
Does everyone pay Stamp Duty?
No. It depends on the property's value and the rules in place at the time.