Stamp Duty Savings Planner
Find out exactly how many months you need to save for your deposit, stamp duty, and fees. Enter your savings details and get a personalised timeline with milestone markers.
Last verified: March 2026
Key Takeaways
- Stamp duty must be paid upfront from savings — it cannot be rolled into the mortgage like the deposit.
- First-time buyers purchasing under £300,000 pay zero SDLT, meaning no additional saving required.
- At £300k standard rates, SDLT of £2,500 adds approximately 5 months of saving at £500/month.
- LISA accounts add a 25% government bonus (up to £1,000/year) — the most efficient way to save for stamp duty.
- Factor in solicitor fees (typically £1,500–£2,500) alongside deposit and SDLT for an accurate target.
In this article
How to Use This Tool
- 1Enter your target property price.
- 2Select your buyer type — first-time buyers get significantly lower (or zero) SDLT.
- 3Enter your current savings and monthly contribution amount.
- 4Set your savings interest rate (check your current account for the AER).
- 5Adjust deposit percentage if needed — 5% minimum, but 10%+ gets better mortgage rates.
- 6Toggle solicitor fees on or off to include in your savings target.
- 7View your timeline, target date, and milestone breakdown.
Savings Planner
Your Details
Total Savings Target
£37,000 still needed
Milestone 1: Deposit Only
4yr 7mo
£30,000
Milestone 2: Deposit + Stamp Duty
5yr 4mo
£35,000
Milestone 3: Full Target (inc. fees)
5yr 7mo
£37,000
Estimated Ready Date
October 2031
Based on £500/month at 4.0% interest
Stamp Duty is Adding to Your Timeline
Your stamp duty bill of £5,000 at £500/month savings extends your timeline by approximately 10 months (not counting interest). Consider switching to FTB-eligible properties under £300,000 to eliminate this entirely.
Understanding Your Results
Total Needed is the sum of your deposit, stamp duty, and (optionally) solicitor fees. This is the full amount you need in savings before you can proceed with a purchase.
Milestone 1 (Deposit Only) is when your savings reach your deposit target. You could technically buy at this point, but you would still need to fund stamp duty and fees from elsewhere.
Milestone 2 (Deposit + Stamp Duty) is the practical minimum — you have enough to pay the deposit and the stamp duty bill, but you still need legal fees.
Milestone 3 (Full Target) is when you can comfortably proceed with everything funded. This is your real buying date.
The planner uses monthly compound interest on your savings. If your savings account pays interest annually, your actual timeline may be slightly longer than shown.
How Stamp Duty Extends Your Timeline
For every pound you have to save for stamp duty, that's one pound not going toward your deposit. Here is how SDLT affects the savings timeline at £500/month savings rate:
| Price | Standard SDLT | FTB SDLT | Extra months (standard) |
|---|---|---|---|
| £200,000 | £1,500 | FREE | 0 months |
| £300,000 | £5,000 | FREE | ~10 months |
| £400,000 | £10,000 | £5,000 | ~20 months |
| £500,000 | £15,000 | £10,000 | ~30 months |
| £750,000 | £27,500 | £27,500 | ~55 months |
At £500k standard rates, you need 25+ extra months of saving just for stamp duty — nearly half of many buyers' entire savings period.
Strategies to Save Faster
Use a Lifetime ISA (LISA)
Government adds 25% on up to £4,000/year — a free £1,000 bonus annually. Property must be £450,000 or less. Best FTB savings vehicle available.
Target FTB-Eligible Price Points
Under £300,000: zero SDLT for FTBs. Negotiating a property from £320k to £295k can save £1,000 in SDLT and eliminate ~2 months of saving.
Higher Deposit = Better Rate
Saving to 15% deposit instead of 10% typically reduces your mortgage rate by 0.3–0.6%. On a £250k mortgage, that saves £750–£1,500/year in interest.
High-Interest Savings Accounts
Switching from 1% to 4% savings rate on £20,000 over 3 years adds ~£1,900 — effectively 4 months of extra saving at £500/month.
Worked Examples
Example 1: FTB, £280k target, £10k saved, £800/month
SDLT: £0 (FTB, under £300k)
Deposit (10%): £28,000
Solicitor fees: £2,000
Total target: £30,000
Savings rate: 4%
Already saved: £10,000
Remaining: £20,000
Timeline: ~25 months
Zero SDLT means no timeline extension. Every month goes toward deposit and fees only.
Example 2: Standard, £400k, £20k saved, £1,000/month, 3.5% interest
SDLT: £7,500
Deposit (10%): £40,000
Solicitor fees: £2,000
Total target: £49,500
Already saved: £20,000
Remaining: £29,500
Timeline: ~31 months
SDLT adds: ~8 months vs FTB
Example 3: Additional property, £350k, £50k saved, £2,000/month, 4.5%
SDLT: £25,000 (with 5% surcharge)
Deposit (10%): £35,000
Solicitor fees: £2,000
Total target: £62,000
Already saved: £50,000
Remaining: £12,000
Timeline: ~6 months
Key driver: High SDLT, but savings already substantial
The 5% surcharge adds £17,500 to the target vs a standard buyer at the same price.
Frequently Asked Questions
How much do I need to save for stamp duty on top of my deposit?
The amount depends on property price and buyer type. Standard buyers pay nothing on the first £125,000, then 2% to £250k, 5% to £925k. A £300,000 purchase costs £2,500 in SDLT. First-time buyers pay nothing up to £300,000.
Does saving for stamp duty delay my purchase significantly?
For properties under £300,000, FTB buyers face no SDLT delay at all. Standard buyers typically need 3-6 extra months of savings for SDLT. At higher prices (£500k+), SDLT can add 12-24 months to your savings timeline.
Can I use my LISA for stamp duty?
Your LISA funds can go toward any part of the property purchase — deposit, stamp duty, or legal fees. The property must be £450,000 or less. The 25% government bonus makes this the most tax-efficient way to save for stamp duty.
Should I save a larger deposit or just enough plus stamp duty?
A larger deposit (15-20%) gets significantly better mortgage rates. The interest saved over 25 years typically far exceeds the extra months of saving. However, if property prices are rising faster than you can save, buying sooner at a lower deposit may be better.
What other costs should I budget for beyond stamp duty?
Budget for: solicitor/conveyancing fees (£1,000–£2,500), survey (£300–£800), mortgage arrangement fee (£0–£2,000), moving costs (£500–£2,000), and an emergency fund. SDLT is usually the largest single cost after the deposit.
Emma Richardson, MRICS
Chartered Surveyor & Property Tax Specialist
Emma Richardson is a RICS-qualified Chartered Surveyor with over 12 years of experience in UK property taxation. She founded Stamp Duty Calculator to help buyers understand the complex world of property transaction taxes.