Buy-to-Let Stamp Duty Calculator
Stamp duty on rental property purchases — 2026 rates with the 5% surcharge
A buy-to-let purchase counts as an "additional residential property" for SDLT, which means the higher rates apply: 5% more than the standard rates in every band. The surcharge increased from 3% to 5% on 31 October 2024.
Rate breakdown
| Band | Rate | Taxable | Tax |
|---|---|---|---|
| Total | £0 | ||
Comparison
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Total cost to complete
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Saved scenarios
How the buy-to-let surcharge works
The 5% surcharge stacks on top of every standard band. So instead of paying 0% on the first £125,000, a buy-to-let purchase pays 5%. The next band rises from 2% to 7%, and so on:
| Portion of price | Standard | Buy-to-let / additional |
|---|---|---|
| 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% |
Worked examples for landlords
- £150,000 BTL flat: £125,000 × 5% + £25,000 × 7% = £8,000.
- £250,000 BTL house: £125,000 × 5% + £125,000 × 7% = £15,000 (effective 6%).
- £400,000 BTL property: £125,000 × 5% + £125,000 × 7% + £150,000 × 10% = £30,000 (effective 7.5%).
- £600,000 BTL property: £125,000 × 5% + £125,000 × 7% + £350,000 × 10% = £50,000 (effective 8.3%).
The £40,000 floor
The 5% surcharge does not apply to additional-property purchases under £40,000 — standard rates apply instead, which on a sub-£40,000 purchase come to £0. Worth knowing if you're buying low-value flats at auction.
If you're replacing your main residence
If you're moving home and you complete on the new house before selling the old one, you'll pay the surcharge initially because at the point of completion you own two properties. You can reclaim the surcharge from HMRC if you sell the old home within three years. Apply within the later of 12 months from the sale or 12 months from your original SDLT filing.
Buying through a limited company
Many landlords now buy through a SPV (special-purpose vehicle) limited company for tax efficiency on rental income. The SDLT treatment is the same banded structure — the additional-property rates apply. There is no first-time-buyer relief for company purchases. For purchases over £500,000 by a non-natural person (a company, partnership of non-natural persons, etc.) where the property isn't used for a qualifying purpose, the flat 17% rate applies on the full price.
Rates last verified against HMRC: 1 May 2026.