UK Property Tax & Finance Overview
Buying property in the UK involves several significant costs beyond the purchase price. Stamp Duty Land Tax (SDLT) in England and Northern Ireland, Land and Buildings Transaction Tax (LBTT) in Scotland, and Land Transaction Tax (LTT) in Wales all apply at varying rates. From April 2025, SDLT thresholds reverted to pre-2022 levels, increasing tax bills for many buyers.
Our calculators help you understand the full costs of property purchases, compare mortgage options, analyse buy-to-let investments, and plan for ongoing expenses. Whether you're a first-time buyer, home mover, landlord or property investor, these tools provide the financial clarity you need.
Stamp Duty Land Tax Rates 2025/26 (England & NI)
| Property Value Band | Standard Rate | First-Time Buyer | Additional Property |
|---|---|---|---|
| £0 - £125,000 | 0% | 0% (up to £300k) | 5% |
| £125,001 - £250,000 | 2% | 0% (if under £500k) | 7% |
| £250,001 - £500,000 | 5% | 5% (£300k-£500k) | 10% |
| £500,001 - £925,000 | 5% | 5% | 10% |
| £925,001 - £1,500,000 | 10% | 10% | 15% |
| Over £1,500,000 | 12% | 12% | 17% |
* First-time buyer relief only applies to properties under £500,000. Additional property surcharge is 5% from April 2025 (previously 3%).
Stamp Duty & Property Tax
Stamp Duty Calculator
Calculate SDLT for England and Northern Ireland. Includes first-time buyer relief, additional property surcharge and company purchase rates.
Calculate Stamp Duty →LBTT Calculator (Scotland)
Calculate Land and Buildings Transaction Tax for Scottish property purchases. Different thresholds and rates from SDLT.
Calculate LBTT →LTT Calculator (Wales)
Calculate Land Transaction Tax for Welsh property purchases. Includes higher rates for additional properties.
Calculate LTT →Capital Gains Tax Calculator
Calculate CGT on property sales. Understand Private Residence Relief and calculate tax on buy-to-let or second home disposals.
Calculate CGT →Mortgage Calculators
Mortgage Calculator
Calculate monthly repayments for repayment or interest-only mortgages. Compare different terms, rates and deposit sizes.
Calculate Mortgage →Mortgage Affordability Calculator
Estimate how much you can borrow based on income, outgoings and deposit. See your maximum purchase price.
Check Affordability →Mortgage Overpayment Calculator
See how overpayments reduce your term and total interest. Calculate the impact of lump sums or regular extra payments.
Calculate Overpayments →Remortgage Calculator
Compare your current deal with available rates. Factor in early repayment charges and arrangement fees.
Calculate Remortgage →Buy-to-Let & Investment
Rental Yield Calculator
Calculate gross and net rental yields for investment properties. Compare yields across different properties and locations.
Calculate Yield →Buy-to-Let Mortgage Calculator
Calculate BTL mortgage costs including higher rates and interest coverage ratio requirements. Most lenders require 125-145% rental coverage.
Calculate BTL Mortgage →Rental Income Tax Calculator
Estimate tax on rental income after allowable expenses. Understand the restriction on mortgage interest relief for landlords.
Calculate Rental Tax →ROI Calculator
Calculate return on investment for property purchases. Factor in capital growth, rental income and all costs for true ROI.
Calculate ROI →Property Planning Tools
House Deposit Calculator
Plan your deposit savings. See how much to save monthly to reach 10%, 15% or 20% deposit targets for your target property.
Calculate Deposit →Home Buying Cost Calculator
Calculate total purchase costs including stamp duty, legal fees, surveys, moving costs and mortgage arrangement fees.
Calculate Total Costs →Rent vs Buy Calculator
Compare the long-term costs of renting versus buying. Factor in house price growth, rental inflation and opportunity cost.
Compare Options →Inheritance Tax Calculator
Estimate IHT on property as part of your estate. Understand the residence nil-rate band and available reliefs.
Calculate IHT →Frequently Asked Questions
What are the Stamp Duty rates for 2025/26?
From April 2025, Stamp Duty Land Tax (SDLT) rates in England and Northern Ireland are: 0% up to £125,000 for main residences (reduced from £250,000), 2% on £125,001-£250,000, 5% on £250,001-£925,000, 10% on £925,001-£1,500,000, and 12% above £1,500,000. First-time buyers still pay 0% up to £300,000 and 5% on £300,001-£500,000, but the property must be under £500,000 to qualify. Additional properties (second homes, buy-to-let) now attract a 5% surcharge (increased from 3%) on top of standard rates. Companies buying residential property over £500,000 pay a flat 17% rate.
How much deposit do I need for a mortgage?
Minimum deposits in the UK are typically 5% for residential mortgages (giving 95% loan-to-value), though 10-15% deposits secure significantly better interest rates. For buy-to-let properties, most lenders require 20-25% minimum deposits. The average first-time buyer deposit in 2024 was around £53,000 nationally, but varies dramatically by region - London averages over £100,000 while northern regions may be £20,000-30,000. A larger deposit reduces monthly payments and total interest - a 25% deposit typically offers mortgage rates 0.5-1% lower than 5% deposit products. The Lifetime ISA provides government bonuses of 25% on savings up to £4,000/year towards your first home.
What is a good rental yield for buy-to-let?
A good gross rental yield is typically 5-8% for standard residential buy-to-let in the UK. However, yields vary significantly by location - London averages 4-5% due to high property prices, while northern cities like Liverpool, Manchester and Nottingham often achieve 6-8% or more. Net yield (after costs including void periods, maintenance, management fees, insurance and mortgage interest) is more meaningful and typically runs 2-3% lower than gross. For buy-to-let mortgage qualification, most lenders require rental income to cover 125-145% of mortgage payments at a stress-tested interest rate (often around 5.5%). HMOs (Houses in Multiple Occupation) can achieve 8-12%+ yields but require additional licensing, insurance and management expertise.
How much can I borrow for a mortgage?
UK mortgage lenders typically offer 4 to 4.5 times your annual gross income for single applicants, or combined income for joint applications. Higher earners (typically £75,000+) may access enhanced income multiples of 5-5.5x with certain lenders. However, affordability assessments also consider: existing debts and credit commitments, regular outgoings including childcare, future interest rate rises (stress testing at higher rates), and your deposit size. A £50,000 salary might typically borrow £200,000-£225,000 depending on circumstances, plus whatever deposit you have. Self-employed applicants generally need 2-3 years of accounts or SA302 tax calculations. Mortgage calculators provide estimates - speaking to a mortgage broker or lender can assess your specific situation and identify lenders suited to your circumstances.
Last updated: February 2026 | 2025/26 SDLT rates | 5% additional property surcharge included