First-time buyer SDLT relief looks simple — £0 SDLT up to £300,000, 5% on the £300k-£500k slice, no relief above £500,000. In practice, four disqualifiers catch more buyers than the price threshold: inherited property shares, overseas property, joint purchases with a non-FTB, and spouse rules. This checker walks through all six eligibility tests.

The FTB relief rules — the core test

To qualify for SDLT first-time buyer relief on a purchase in England or Northern Ireland, you (and every co-purchaser) must satisfy all of the following:

1. You have never owned any residential property anywhere in the world, either alone or jointly.
2. You intend to occupy the property as your only or main residence.
3. The purchase price is £500,000 or less.
4. The property is in England or Northern Ireland (Scotland and Wales have their own equivalent reliefs under LBTT and LTT).

The relief structure since 1 April 2025: 0% SDLT on the first £300,000, 5% SDLT on the portion between £300,001 and £500,000, no relief above £500,000 (standard rates apply).

The disqualifiers that surprise people

1. Inherited property shares

Any residential property share you have ever inherited disqualifies FTB relief — even if the share was tiny, even if it was decades ago, even if the property has since been sold and the proceeds distributed. HMRC's test is: "have you ever been a legal or beneficial owner of any residential property?" A 10% inherited share of your grandmother's flat at age 17 disqualifies your FTB relief at age 35.

Exception: if the inherited share was disclaimed formally within the deed of variation window (typically 2 years of death) and you never became the beneficial owner, HMRC may accept you never owned. Get specialist advice.

2. Overseas property

A holiday flat in Spain, an apartment in India, family property in Ireland — anywhere in the world counts. Your buying agent won't ask about this and you may not think to volunteer it, but HMRC's guidance is explicit. Wrongly claiming FTB relief when you owned overseas property is a material SDLT understatement — the tax bill is recoverable with interest and penalties.

3. Joint purchase with a non-first-time buyer

If you're buying with a partner, parent, or friend who has owned residential property before, the whole transaction loses FTB relief. It's not "prorated" — one non-FTB buyer disqualifies the entire purchase.

The single biggest planning move is: keep the non-FTB off the deeds. If the parent's role is to gift or lend deposit money, they don't need to be a legal owner — a gift letter or family loan agreement achieves the same thing without triggering the disqualifier. Talk to your conveyancer about structuring.

4. Spouse or civil partner rules

This one is subtle. Marriage doesn't automatically disqualify you — your spouse's prior ownership doesn't count against you if:

• Your spouse is NOT on the deeds (not a joint purchaser), AND
• Your spouse's prior ownership was individual (not shared with you)

If your spouse WILL be on the deeds and has owned property before, the whole transaction loses FTB relief. In practice, most married couples buying together want joint ownership (both on the deeds), which means both must be first-time buyers for relief to apply.

How much FTB relief actually saves

Price	FTB SDLT	Standard SDLT	Saving
£250,000	£0	£2,500	£2,500
£300,000	£0	£5,000	£5,000
£350,000	£2,500	£7,500	£5,000
£400,000	£5,000	£10,000	£5,000
£450,000	£7,500	£12,500	£5,000
£500,000	£10,000	£15,000	£5,000
£500,001+	Same as standard	Standard	£0

The relief plateaus at £5,000 maximum saving between £300k and £500k. This is materially smaller than the £425k/£625k regime that ended on 1 April 2025 (max saving ~£11,250). If you're a genuine FTB with meaningful budget, the relief is still worth having but no longer transformative.

How to claim FTB relief

Your conveyancer files the SDLT return on your behalf and selects the FTB relief option. You do not file separately. Confirm with your conveyancer BEFORE completion that:

1. They have flagged your FTB status
2. You have confirmed in writing that no co-purchaser or spouse-on-deeds has ever owned residential property anywhere in the world
3. The SDLT calculation on your completion statement reflects the FTB relief

Conveyancers rely on your confirmation — they do not independently verify overseas or inheritance history. If you're not sure whether an inherited share counts, ask before completion.

Scotland and Wales — separate FTB reliefs

SDLT FTB relief only applies in England and Northern Ireland. Scotland has its own First-Time Buyer Relief under LBTT: nil-rate up to £175,000, standard LBTT rates above that. Wales does not currently offer a first-time buyer relief under LTT; the standard LTT residential rates apply to first-time buyers.

Frequently asked questions

Who counts as a first-time buyer for SDLT relief?

Anyone who has never owned any residential property anywhere in the world — freehold, leasehold, or any share. Every co-purchaser must also qualify.

Does inheriting a property disqualify me?

Yes — any inherited residential property share counts as prior ownership, regardless of size or timing. This catches many buyers out.

Does overseas property count?

Yes. Any residential property owned anywhere in the world at any time disqualifies FTB relief. UK-scope relief, worldwide-ownership test.

What if I'm buying jointly with someone who has owned?

Every buyer must be a first-time buyer. One non-FTB disqualifies the whole transaction. The planning move: keep the non-FTB off the deeds.

Does my spouse's ownership count against me?

Only if the spouse is on the deeds (a joint purchaser). If your spouse stays off the deeds, their prior ownership doesn't disqualify you.

What if I only owned an investment property?

Still disqualified. FTB tests ownership, not occupation. Prior BTL disqualifies just like prior main residence.

What's the maximum SDLT saving with FTB relief?

Maximum £5,000 saving on purchases £300k-£500k. Above £500k the relief disappears entirely; below £300k the relief is worth the standard SDLT that would otherwise apply.

What if a property I owned was demolished?

Doesn't matter. Prior ownership is permanent — once owned, always disqualified regardless of what subsequently happened to the property.

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Last reviewed: 21 August 2026. Guidance only — always confirm with your conveyancer.