Stamp duty on second homes & buy-to-let
Buying an additional property — a buy-to-let, a holiday home or any second residence — costs more in tax than buying your only home. In England & Northern Ireland a 5% surcharge is added to every SDLT band on purchases of £40,000 or more. In Scotland the Additional Dwelling Supplement adds a flat 8% of the whole price. Figures verified 30 June 2026.
SDLT higher rates for additional dwellings (England & NI)
| Portion of price | Higher rate |
|---|---|
| Up to £125,000 | 5% |
| £125,001 to £250,000 | 7% |
| £250,001 to £925,000 | 10% |
| £925,001 to £1,500,000 | 15% |
| £1,500,001+ | 17% |
Landlord worked examples
Estimated tax on an additional property, by price and country. Effective rate in brackets. Scotland includes the 8% ADS (price ≥ £40,000); Wales uses the higher LTT band table.
| Price | SDLT (Eng/NI) | LBTT + ADS (Scotland) | LTT (Wales) |
|---|---|---|---|
| £150,000 | £8,000 (5.33%) | £12,100 (8.07%) | £7,500 (5.00%) |
| £200,000 | £11,500 (5.75%) | £17,100 (8.55%) | £10,700 (5.35%) |
| £250,000 | £15,000 (6.00%) | £22,100 (8.84%) | £14,950 (5.98%) |
| £350,000 | £25,000 (7.14%) | £36,350 (10.39%) | £24,950 (7.13%) |
| £500,000 | £40,000 (8.00%) | £63,350 (12.67%) | £42,450 (8.49%) |
| £750,000 | £65,000 (8.67%) | £108,350 (14.45%) | £73,700 (9.83%) |
Wales: higher residential LTT rates
Main rates from 10 October 2022; higher rates from 11 December 2024.
| Portion of price | Higher rate |
|---|---|
| Up to £180,000 | 5% |
| £180,001 to £250,000 | 8.5% |
| £250,001 to £400,000 | 10% |
| £400,001 to £750,000 | 12.5% |
| £750,001 to £1,500,000 | 15% |
| £1,500,001+ | 17% |
Planning to let the property? See our rental yield and rent-vs-buy tools to model the full picture.
Frequently asked questions
- How much extra stamp duty do you pay on a second home?
- In England and Northern Ireland, buying an additional residential property worth £40,000 or more adds 5 percentage points to every SDLT band. In Scotland the Additional Dwelling Supplement adds a flat 8% of the whole price. In Wales, separate higher LTT rates apply from the first pound.
- Does buy-to-let count as a second home for stamp duty?
- Yes. The surcharge applies to any additional residential property you own at the end of the day of purchase, including buy-to-let investments and holiday homes, not just a literal second home you live in.
- Can I get the second-home surcharge refunded?
- If the additional property is replacing your main residence and you sell your previous main home within the time limit set by the relevant authority (generally up to 36 months), you can usually reclaim the surcharge. Check the exact rules with HMRC, Revenue Scotland or the Welsh Revenue Authority.
Sources: HM Revenue & Customs (GOV.UK), Revenue Scotland, Welsh Revenue Authority (GOV.WALES). Rates verified 30 June 2026. Estimates only — not tax advice.