How Much is Stamp Duty on a Second Home?

Stamp duty on a second home includes a 5% surcharge on top of standard rates (from October 2024 in England). On a £300,000 second property, you'd pay approximately £20,000 compared to £5,000 for a main residence - an extra £15,000. The surcharge applies to buy-to-let, holiday homes, and any additional property purchases.

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How much extra stamp duty do I pay on a second home?

You pay an additional 5% stamp duty surcharge on top of standard rates when buying a second home in England and Northern Ireland (from October 2024). For example, on a £300,000 second home, you'd pay approximately £20,000 in stamp duty compared to £5,000 for a main residence - an extra £15,000.

Can I avoid stamp duty on a second home?

There are limited exemptions. You may avoid the surcharge if: you're replacing your main residence (selling your current home), buying a caravan/mobile home/houseboat under £40,000, or the property is under £40,000. You cannot avoid it simply by putting the property in a different name or using a company.

Do I get a refund if I sell my main home after buying a second?

Yes, if you sell your previous main residence within 3 years of buying your new home, you can claim a refund of the additional stamp duty. You must apply to HMRC within 12 months of the sale or 12 months of filing the return, whichever is later.

Does the 5% surcharge apply to buy-to-let properties?

Yes, the additional stamp duty surcharge applies to all additional properties including buy-to-let investments, holiday homes, and properties bought for family members. The only exceptions are properties under £40,000 or certain mobile homes.

What is the stamp duty on a £500,000 second home?

On a £500,000 second home in England (from October 2024), you'd pay approximately £40,000 in stamp duty. This includes the 5% surcharge on top of standard rates. A main residence purchase would pay around £15,000 on the same property - so the surcharge adds £25,000.

Do married couples count as one buyer for stamp duty?

Yes, married couples and civil partners are treated as one unit for stamp duty purposes. If either partner owns another property, the additional rates apply to any new purchase, even if only one person's name is on the new property.

Quick Answer

What is Stamp Duty on a Second Home in the UK?

Last reviewed: December 2025

Reviewed by Jay Sabine – CeMAP Qualified – 29 years experience

Second home buyers in England pay a 5% stamp duty surcharge on top of standard rates. This applies to buy-to-let properties, holiday homes, and any additional property purchase.

When you buy a second property in England or Northern Ireland, you pay higher stamp duty land tax (SDLT). From October 2024, the additional property surcharge increased from 3% to 5%. This means on a £300,000 second home, you'd pay approximately £20,000 in stamp duty, compared to £5,000 for someone buying their main residence - an extra £15,000. The surcharge applies from the first pound and affects all price bands. Scotland and Wales have their own equivalent taxes with different rates.

Stamp duty rates and thresholds change periodically. Always verify current rates with HMRC or a qualified adviser. Your Home Finance Ltd is authorised and regulated by the Financial Conduct Authority (FCA 989177).

Key Points

15% surcharge on all additional property purchases (from Oct 2024)
2Applies to buy-to-let, holiday homes, and properties for family
3Married couples/civil partners treated as one unit
4Refund available if you sell previous main home within 3 years
5Surcharge applies even if buying through a company
6Properties under £40,000 are exempt from the surcharge

Eligibility Criteria

You already own another residential property (anywhere in the world)
Your spouse/civil partner owns another property
You're buying through a company that owns property
You're not replacing your main residence
The property costs £40,000 or more

Typical Timeframe

Stamp duty must be paid within 14 days of completion. If you're claiming a refund after selling your previous home, you have 12 months from the sale date (or 12 months from filing the stamp duty return) to apply to HMRC.

Next Steps

1Use our stamp duty calculator to estimate your liability
2Check if any exemptions apply to your situation
3Factor stamp duty into your total purchase costs
4Speak to a mortgage adviser about financing options
5Plan timing if you're selling and buying to minimise tax

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Property Price Band	Standard Rate	Additional Property Rate
Up to £125,000	0%	5%
£125,001 - £250,000	2%	7%
£250,001 - £925,000	5%	10%
£925,001 - £1.5m	10%	15%
Over £1.5m	12%	17%

What is Stamp Duty on a Second Home in the UK?

Key Points

Eligibility Criteria

Typical Timeframe

Next Steps

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