Stamp Duty by Buyer Type
Your buyer type is the single biggest factor in how much stamp duty you pay. The same £400,000 property costs a first-time buyer £5,000 but a non-resident additional property buyer £38,000. Find the right guide for your circumstances below.
First-Time Buyers
Pay no stamp duty on properties up to £300,000 and reduced rates up to £500,000. Learn about eligibility rules and relief claiming.
Second Home Buyers
Understand the 5% additional property surcharge that applies to second homes, holiday homes, and inherited properties.
Buy-to-Let Landlords
Investment properties attract the 5% surcharge. Learn about landlord obligations, company structures, and portfolio considerations.
Limited Company Purchases
Companies always pay the surcharge on residential property. Properties over £500k may attract the 17% corporate rate.
Non-UK Residents
Non-UK residents pay an additional 2% surcharge on top of standard rates. Understand the 183-day residency test and reclaim options.
Trusts
SDLT treatment for bare trusts, discretionary trusts, and settlement transfers. Trust beneficiaries and connected party rules.
Main Residence Replacement
Avoid the 5% surcharge when replacing your main home. Chain-break exceptions and 36-month refund claims.
Detailed Buyer Guides
Explore specific topics within each buyer category for detailed rules, thresholds, and worked examples.
First-Time Buyer Topics
Second Home & Additional Property
Investment & Corporate Buyers
Which Buyer Type Am I?
Answer these five questions in order to determine your buyer type and the stamp duty rates that apply to you.
1Have you ever owned property anywhere in the world?
2Are you replacing your only main residence?
3Will you live in the property as your main home?
4Are you buying through a company?
5Are you UK tax resident (183+ days per year)?
How Your Buyer Type Affects Stamp Duty
The table below shows the stamp duty payable on the same property at three different price points. The difference between buyer types can be tens of thousands of pounds, making this the most important factor in your purchase budget.
| Buyer Type | SDLT on £200k | SDLT on £400k | SDLT on £600k | Key Rule |
|---|---|---|---|---|
| First-Time Buyer | £0 | £5,000 | £20,000 | No relief above £500k |
| Standard Buyer | £1,500 | £10,000 | £20,000 | No existing property |
| Second Home | £11,500 | £30,000 | £50,000 | +5% on all bands |
| Buy-to-Let | £11,500 | £30,000 | £50,000 | Same as second home |
| Corporate (<£500k) | £11,500 | £30,000 | £102,000 | 17% flat rate above £500k |
| Corporate (>£500k) | N/A | N/A | £102,000 | 17% on entire price |
| Non-Resident (first home) | £5,500 | £18,000 | £32,000 | +2% on all bands |
| Non-Resident (additional) | £15,500 | £38,000 | £62,000 | +5% and +2% combined |
How Buyer Type Affects Your Total Costs
Your buyer type determines which stamp duty rates and reliefs apply to your purchase, and this directly affects your total acquisition costs. First-time buyers benefit from the most generous relief, paying nothing on properties up to £300,000. Standard buyers replacing their main residence pay standard banded rates. Anyone buying an additional property, whether a second home, holiday let, or buy-to-let investment, faces the 5% surcharge on every band.
Non-UK residents pay an extra 2% on top of whatever rate applies to them, and companies purchasing residential property above £500,000 face a flat 17% rate on the entire price. Understanding your buyer type before you start searching ensures you budget accurately and avoid unexpected costs at completion.
Select your buyer type from the guides above for detailed rules, worked examples, and reliefs specific to your situation. If you are unsure which category you fall into, use the decision guide above or speak to your solicitor before making an offer.
Frequently Asked Questions
Can my buyer type change during a purchase?
Yes. Your buyer type is determined at the point of completion, not exchange. If you sell your only property before completing your new purchase, you move from "additional property buyer" to "standard buyer" and avoid the 5% surcharge. Conversely, inheriting a property between exchange and completion could reclassify you as an additional property buyer. If you pay the surcharge but later sell your old home within 36 months, you can claim a refund.
What if I'm not sure which buyer type I am?
Start by asking whether you currently own any residential property anywhere in the world worth over £40,000. If you have never owned, you are a first-time buyer. If you own one home and are replacing it, you are a standard buyer. Any additional property purchase triggers the 5% surcharge. Your solicitor will confirm your status when preparing the SDLT return.
Does my buyer type affect mortgage options?
Indirectly, yes. Buy-to-let and second home purchases typically require larger deposits (usually 25%) and carry higher interest rates than residential mortgages. First-time buyers may access special mortgage products with lower deposits. Your buyer type also determines stamp duty costs, which affects how much cash you need at completion on top of your deposit.