Stamp Duty on Second Homes and Buy-to-Let

Buying a second home or buy-to-let property attracts an additional 3% stamp duty surcharge on the full purchase price.

Quick answer

If you buy an additional property in England or Northern Ireland, you pay an extra 3% stamp duty on top of standard rates. This applies to second homes, buy-to-let properties, and holiday lets. On a £300,000 second home, you pay £11,500 total (£2,500 standard + £9,000 surcharge). The surcharge applies even if you're replacing your main residence, unless you sell your old home within 3 years.

Last reviewed: 2026-06-24 · 7 min read · Verified against 2 primary sources

What is the second home stamp duty surcharge?

The second home surcharge adds 3% to each stamp duty band when you buy an additional residential property¹. It applies to the entire purchase price, not just the amount above thresholds.

Second home surcharge rate: 3% (on full purchase price)
Example: £400,000 second home: £19,500 total SDLT (£7,500 standard + £12,000 surcharge)

When does the surcharge apply?

You pay the 3% surcharge if¹:

You already own another residential property worth over £40,000
You're buying a buy-to-let property (even as your first property)
You're buying a second home or holiday let
You're replacing your main residence but haven't sold your old one yet

Married couples and joint ownership

The surcharge applies if either spouse owns another property. HMRC treats married couples and civil partners as a single unit for this purpose.

Avoiding the surcharge when moving home

If you're selling your old main residence and buying a new one, you can avoid the surcharge by²:

Sell first: Complete the sale of your old home before buying the new one
Or claim a refund: If you must buy before selling, pay the surcharge upfront, then claim a refund when you sell your old home within 3 years

The refund must be claimed within 12 months of selling your old property.

Second home stamp duty examples

£200,000 buy-to-let flat:

Standard SDLT: £0 (under £250k threshold)
3% surcharge: £6,000
Total: £6,000

£500,000 second home:

Standard SDLT: £12,500
3% surcharge: £15,000
Total: £27,500

Exemptions and special cases

You don't pay the surcharge if:

It's your only property (first-time buyer or sold all previous properties)
You're inheriting property via a will
You're separating from a spouse and one of you is buying the other's share
The property is a caravan, mobile home or houseboat

Sources

HM Revenue & Customs, Stamp Duty Land Tax: higher rates for additional properties, gov.uk/guidance/stamp-duty-land-tax-higher-rates-for-additional-properties, accessed 24 June 2026
HM Revenue & Customs, Reclaiming the higher SDLT rate, gov.uk/guidance/sdlt-buying-a-new-main-residence, accessed 24 June 2026

Last reviewed: 2026-06-24