Answers · UK 2025/26
How much stamp duty will I pay on a £500,000 second home in England?
About £40,000. Standard SDLT on £500,000 is £15,000, and the 5% additional-property surcharge adds £25,000 on the whole price, giving £40,000 total in England and Northern Ireland.
Full answer
Buying an additional residential property (a second home or buy-to-let) in England or Northern Ireland triggers a 5% surcharge on top of standard SDLT, applied to the entire purchase price. Worked example for £500,000: standard SDLT is 0% on the first £125,000, 2% on £125,000 to £250,000 (£2,500), and 5% on £250,000 to £500,000 (£12,500), giving £15,000. The 5% surcharge applies to all £500,000 = £25,000. Total SDLT is £40,000, an effective rate of 8% on the full purchase price. By contrast, the same property as your only home would cost just £15,000 in standard SDLT -- the £25,000 surcharge makes a very significant difference at this price point. The surcharge applies if, at the end of the day of purchase, you own two or more residential properties and are not replacing your main residence. If you sell your previous main home within 36 months of completing on the new one, you can reclaim the surcharge portion by applying to HMRC, which is a meaningful sum worth pursuing at this scale. Non-resident buyers pay a further 2% surcharge on top of the additional-property rate. Landlords buying buy-to-let property at this price point should factor the £40,000 upfront cost into their rental yield calculations. Use the stamp duty calculator to model your exact liability.
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This answer is informational only and does not constitute financial, tax or legal advice. Figures are for the 2025/26 UK tax year. See our methodology and sources.