Stamp duty for overseas buyers in 2026.

Worked example · £400,000 property	Stamp duty
UK resident buying their only home	£10,000
UK resident buying an additional property	£30,000
Overseas buyer, additional property	£38,000

These figures use the rates in force on 5 October 2026, for individuals buying in England or Northern Ireland without first-time buyer relief.

The standard rates

Stamp Duty Land Tax (SDLT) is paid by the buyer of property in England and Northern Ireland. Scotland and Wales have their own taxes, not covered here.

Since 1 April 2025, the standard residential rates have been:

• 0% on the first £125,000
• 2% from £125,001 to £250,000
• 5% from £250,001 to £925,000
• 10% from £925,001 to £1.5 million
• 12% above £1.5 million

Each rate applies only to the slice of the price inside its band. On a £400,000 home bought by a UK resident who owns nothing else and isn't a first-time buyer, that's £0, then £2,500, then £7,500. £10,000 in all.

Surcharge one: an additional property, 5%

You usually pay the higher rates if, after the purchase, you'll own more than one residential property worth £40,000 or more anywhere in the world. They add 5 percentage points to every band. That has applied since 31 October 2024. Before then it was 3 percentage points.

The test is worldwide. A flat worth £40,000 or more in Kuala Lumpur or Singapore counts, so your first purchase in England can still be charged as an additional property.

If you buy with someone else and any one of you has to pay the higher rates, the whole purchase pays them. If you're replacing your main home and sell the old one within three years, you can apply for a refund of the extra. That rarely fits an investment purchase.

Surcharge two: buying as a non-UK resident, 2%

Since 1 April 2021, buyers who aren't UK resident have paid a further 2 percentage points on every band. It applies whether or not you already own property, and even if you plan to live in the home yourself.

For this tax, you're non-UK resident if you spent fewer than 183 days in the UK in the 12 months before the purchase. Those 12 months run to the effective date, which is usually completion. A day counts if you're in the UK at the end of it, and days anywhere in the UK count. Your nationality, citizenship, visa and residence status for income tax don't change the answer.

With joint buyers, if any one of you is non-resident, the whole purchase is treated as non-resident. Married couples and civil partners buying together are the exception, as long as they aren't separated and neither is buying as a trustee. If one of you is UK resident, you both are. Your solicitor will confirm your status before completion.

Why it comes to 7%

An overseas buyer of an additional property pays both surcharges on every band, including the first £125,000. Here's the £400,000 example, band by band.

Band by band · overseas buyer, £400,000	Stamp duty
First £125,000 at 7%	£8,750
Next £125,000 at 9%	£11,250
Remaining £150,000 at 12%	£18,000
Total	£38,000

That's £28,000 more than the £10,000 a UK resident pays on their only home at the same price, without first-time buyer relief. The investor calculator shows the same breakdown for any price you enter.

Both surcharges start at £40,000. A freehold bought for less pays neither. Leases have their own tests, based on the premium, the rent and the length of the lease.

Getting the 2% back

If you move to the UK after buying, you may be able to reclaim the 2%. You need to be in the UK for at least 183 days in any continuous 365-day period. That period must fall within the two years that start 364 days before the effective date and end 365 days after it.

You claim by amending the SDLT return, within two years of the effective date, once you've met the test. Only individuals can claim. A company can't, and with joint buyers every buyer has to meet the test.

Buying through a company

A company usually pays the higher rates on a residential purchase of £40,000 or more, whether or not it owns anything else. A company that isn't UK resident for corporation tax pays the 2% as well. A UK company controlled by non-UK residents can also be treated as non-resident, under HMRC's rules for close companies.

Above £500,000, a company pays a flat 17% on the whole price, plus 2% if it's non-resident, unless a relief applies. The flat rate rose from 15% to 17% on 31 October 2024.

The relief most investors look at is property rental business relief. It applies when the company buys the property only to let it out, in a rental business run commercially with a view to profit. With it, the company pays the banded higher rates instead. If, within three years, the property stops being used that way, or someone connected with the company is allowed to live in it, the relief is withdrawn and more tax is due.

Company, non-UK resident · £750,000	Stamp duty
With property rental business relief	£80,000
No relief, flat 17% plus 2%	£142,500

A company owning a UK home valued at more than £500,000 must also file an Annual Tax on Enveloped Dwellings (ATED) return. For 1 April 2026 to 31 March 2027, the charge for a home valued between £500,001 and £1 million is £4,600. Reliefs may mean there's nothing to pay. Whether a company suits you depends on more than stamp duty, and your accountant confirms what's right for you.

First-time buyer relief rarely helps investors

First-time buyers pay nothing on the first £300,000 and 5% from £300,001 to £500,000. Above £500,000, the relief doesn't apply.

To qualify, every buyer must be an individual who has never owned a home anywhere in the world. Each must also intend to live in the property as their only or main home. A buy-to-let investor fails the second condition, and anyone who owns a home abroad fails the first. A non-resident who does qualify still pays the 2% on top.

Paying it

Your solicitor or conveyancer usually files the SDLT return and pays the tax on completion day. The deadline is 14 days after completion. Plan for it in the cash you need for the purchase, alongside your deposit and legal fees. For the taxes that follow once you own the property, read UK property tax for overseas investors.

If you're buying from abroad, we coordinate the purchase and introduce you to independent solicitors and accountants, who give the advice.

Rates can change

The government has set the next Budget for 28 October 2026, and stamp duty can change at any Budget. Check the current rates on GOV.UK, and with your solicitor, before you exchange.