First-Time Buyer Stamp Duty Calculator
Calculate FTB stamp duty for England (SDLT), Scotland (LBTT), and Wales (LTT) for 2025/26 and 2026/27. England gives 0% to £300,000 with a £500,000 cliff edge. Scotland uplifts the nil-rate to £175,000 with no cap. Wales has no FTB relief.
SDLT Due
£0.00Effective rate: 0.00%
Property Price
£300,000SDLT · England & Northern Ireland
FTB Saving
£5,000.00Compared to standard rates
| Band | Rate | Taxable Amount | Tax |
|---|---|---|---|
| £0 – £300,000 | 0.00% | £300,000 | £0.00 |
| Base SDLT | £0.00 | ||
| Total SDLT | £0.00 | ||
First-time buyer worked examples (2025-26)
Compare what a first-time buyer pays vs a standard home mover at the same price. The "saving" column shows the £ benefit of FTB relief. Note the pair of rows either side of England's £500,000 cap — the entire relief vanishes for £1 of extra price.
| Scenario | FTB tax | Standard tax | FTB saving |
|---|---|---|---|
| £250,000 (England) | £0 | £2,500 | £2,500 |
| £300,000 (England, nil-rate boundary) | £0 | £5,000 | £5,000 |
| £350,000 (England) | £2,500 | £7,500 | £5,000 |
| £450,000 (England) | £7,500 | £12,500 | £5,000 |
| £500,000 (England, last £ of relief) | £10,000 | £15,000 | £5,000 |
| £500,001 (England, relief lost entirely) | £15,000 | £15,000 | — |
| £175,000 (Scotland, nil-rate boundary) | £0 | £600 | £600 |
| £250,000 (Scotland) | £1,500 | £2,100 | £600 |
| £400,000 (Scotland) | £12,750 | £13,350 | £600 |
| £300,000 (Wales, no FTB relief) | £4,500 | £4,500 | — |
All figures are computed with the same engine as the calculator above, using the 2025-26 bands. The same bands apply for 2026-27 — no changes have been announced.
The £500,000 cliff edge (England only)
English FTB relief is binary — either you get it on the full purchase or you lose it entirely. At £500,000 a first-time buyer pays £10,000. One pound over and the same buyer pays £15,000 at standard rates. That £5,000 jump for £1 of extra price is a hard negotiating leverage point — sellers often agree to a sale just under the cap to keep FTB relief on the table. Scotland's relief has no equivalent cap, and Wales has no relief to lose.
First-time buyer vs standard rates (2025-26)
Every band below is progressive — each rate applies only to the slice of the price inside that band, not to the whole price.
England & Northern Ireland — SDLT
| First-time buyer (price ≤ £500,000) | |
|---|---|
| £0 – £300,000 | 0% |
| £300,001 – £500,000 | 5% |
| Standard rates (and any FTB above £500,000) | |
|---|---|
| £0 – £125,000 | 0% |
| £125,001 – £250,000 | 2% |
| £250,001 – £925,000 | 5% |
| £925,001 – £1,500,000 | 10% |
| Over £1,500,000 | 12% |
Scotland — LBTT
| First-time buyer (no price cap) | |
|---|---|
| £0 – £175,000 | 0% |
| £175,001 – £250,000 | 2% |
| £250,001 – £325,000 | 5% |
| £325,001 – £750,000 | 10% |
| Over £750,000 | 12% |
| Standard rates | |
|---|---|
| £0 – £145,000 | 0% |
| £145,001 – £250,000 | 2% |
| £250,001 – £325,000 | 5% |
| £325,001 – £750,000 | 10% |
| Over £750,000 | 12% |
Only the nil-rate band differs — £175,000 instead of £145,000 — so the relief is worth at most £600, but it is never clawed back however much you spend.
Wales — LTT (no first-time buyer relief)
| All buyers of a main residence | |
|---|---|
| £0 – £225,000 | 0% |
| £225,001 – £400,000 | 6% |
| £400,001 – £750,000 | 7.5% |
| £750,001 – £1,500,000 | 10% |
| Over £1,500,000 | 12% |
The Welsh Government chose a higher universal nil-rate band (£225,000) instead of a targeted relief, so a first-time buyer and a home mover pay the same LTT at every price.
Who counts as a first-time buyer?
The definition is stricter than most buyers expect, and it is tested per person, not per purchase. Getting it wrong means repaying the relief with interest, and possibly penalties.
The core test
You must never have owned a major interest in a dwelling — anywhere in the world, at any time. That includes property you inherited or were gifted, a share of a home held through a trust for your benefit, and any overseas property. A buy-to-let you never lived in still disqualifies you. You must also intend to occupy the new home as your only or main residence — buying an investment property with FTB relief is not permitted. The relief is claimed in the SDLT return; it is not applied automatically.
Joint buyers and couples
Every purchaser must qualify. One previous owner among joint buyers taxes the whole purchase at standard rates — there is no half-relief. Married couples and civil partners are assessed as individuals for FTB relief (only the named purchasers matter), but they are treated as one unit for the additional-property surcharge, so a spouse who still owns another dwelling can turn the purchase into a surcharged one instead. See the additional-property stamp duty calculator for how the 5% surcharge changes the numbers.
Shared ownership
FTB relief is available on shared-ownership purchases where the full market value is no more than £500,000. You can make a market value election — pay SDLT on the whole market value up front (often nothing if it sits within the £300,000 nil band) and then staircase to 100% with no further SDLT — or pay in stages on each share as you buy it. The election usually wins if you expect to staircase; paying on the share can be cheaper if you never will. Model both routes against your deposit plan before committing.
New-builds and leasehold
The relief applies to the purchase price (the premium) of a new-build or leasehold home in the same way as a freehold. Watch the timing on off-plan purchases: eligibility and the bands are tested at the effective date of the transaction — usually completion — so a contract exchanged under one set of thresholds can complete under another. Developer incentives only reduce the SDLT bill if they genuinely reduce the chargeable consideration, not just the headline price.
England vs Scotland vs Wales
Stamp duty is devolved, and the three systems treat first-time buyers very differently. England and Northern Ireland offer the largest headline saving — up to £5,000 — but attach the £500,000 all-or-nothing cap. Scotland offers a smaller saving of up to £600 with no cap at all. Wales offers no relief but starts everyone at a £225,000 nil-rate band, the highest universal threshold in Britain.
- Buying in Scotland? Use the dedicated LBTT calculator for the full Scottish picture including the 8% Additional Dwelling Supplement.
- Buying in Wales? The LTT calculator covers Welsh main-residence and higher rates.
- Not a first-time buyer, or comparing against a standard purchase? The main stamp duty calculator handles home movers, and the buy-to-let stamp duty calculator adds the additional-property surcharge.
- For the wider tax picture — LISA bonuses, deposits, and moving costs — read the first home tax guide.
Beyond stamp duty: other first-time buyer costs
Stamp duty is only one line in the completion statement. A Lifetime ISA adds a government bonus to savings put toward a first home — model it with the Lifetime ISA calculator — but note the LISA has its own property price limit, which is separate from the SDLT relief cap. Then budget for conveyancing, survey, and lender fees, and stress-test the monthly repayment with the mortgage calculator before fixing your offer ceiling.
Frequently asked questions
Do first-time buyers pay stamp duty?
Often not. In England and Northern Ireland a first-time buyer pays no SDLT on a home costing up to £300,000, provided the total price is no more than £500,000. In Scotland a first-time buyer pays no LBTT up to £175,000. In Wales there is no first-time buyer relief, but the standard LTT nil-rate band already covers everything up to £225,000, so many Welsh first homes attract no tax anyway.
What is the first-time buyer stamp duty relief in England?
First-time buyers in England and Northern Ireland pay 0% SDLT on the first £300,000 of a property priced at or below £500,000, and 5% on the slice from £300,000 to £500,000. If the price exceeds £500,000 by even £1, FTB relief is lost entirely and standard rates apply to the full price — a true cliff edge, not a taper. The maximum saving versus a standard buyer is £5,000. These thresholds took effect on 1 April 2025 when the temporary 2022–25 uplift ended, and remain in place for 2026-27.
What happens if a first-time buyer pays more than £500,000?
The relief disappears completely — it is not tapered. At £500,000 a first-time buyer pays £10,000 SDLT; at £500,001 the same buyer pays £15,000 at standard rates. That is a £5,000 jump for £1 of extra price. Above the cap you are treated exactly like any other home mover, so the standard bands starting above £125,000 apply to the whole price.
We are buying jointly but only one of us is a first-time buyer. Can we claim relief?
No. For SDLT first-time buyer relief, every purchaser named on the transaction must individually qualify as a first-time buyer. If one joint buyer has ever owned any interest in a dwelling — in the UK or abroad — the whole purchase is taxed at standard rates. The same all-buyers rule applies to Scotland's LBTT relief. There is no partial or proportionate relief for mixed purchases.
My spouse owned a home before we married. Do we lose first-time buyer relief?
It depends on who is buying. First-time buyer relief looks at the purchasers actually named in the transaction, so if you buy alone in your sole name and you qualify, the relief can still be available. Be careful on two fronts: if your spouse jointly owns the new home with you, their history disqualifies the purchase; and if your spouse still owns another dwelling, the additional-property rules treat married couples and civil partners as one unit, which can trigger the 5% surcharge instead. Take advice before structuring a purchase this way.
I inherited a share of a property. Am I still a first-time buyer?
No. HMRC's definition requires that you have never acquired a major interest in a dwelling anywhere in the world — and that includes interests you inherited or received as a gift, even a partial share you never lived in and have since sold. Property held for you in a trust can also count. Owning a buy-to-let disqualifies you too, even if you have never owned a home you lived in.
How does first-time buyer relief work for shared ownership?
You can claim FTB relief on a shared-ownership purchase provided the full market value of the property is no more than £500,000. You choose between a market value election — paying SDLT on the full market value up front (often £0 if it sits within the £300,000 nil band), after which staircasing to full ownership attracts no further SDLT — or paying in stages on just the share you buy. The relief applies to the initial purchase either way; the right choice depends on the market value and how far you expect to staircase.
Do first-time buyers in Scotland get any LBTT relief?
Yes. Scotland's first-time buyer LBTT relief raises the nil-rate band from £145,000 (standard) to £175,000 — worth up to £600 versus a standard buyer. Critically, Scotland has no upper price cap on FTB relief, unlike England's £500,000 cliff edge. A first-time buyer in Scotland gets the £175,000 nil-rate band on a £1m purchase or a £200k purchase alike.
Do first-time buyers in Wales pay stamp duty?
Wales has no first-time buyer relief on Land Transaction Tax. The Welsh Revenue Authority taxes first-time buyers at standard LTT rates: 0% to £225,000, 6% to £400,000, 7.5% to £750,000, and so on. The £225,000 nil-rate band is already higher than England's standard £125,000, so Welsh buyers at lower price points often pay less than English standard buyers anyway — an English home mover at £225,000 would pay £2,000.
Should I negotiate a home just over £500,000 down to keep FTB relief?
Yes — the £500,000 cliff edge is steep. At £500,000 a first-time buyer pays £10,000 SDLT. One pound over and the same buyer pays £15,000 at standard rates — a £5,000 jump. Asking the seller to accept a price at or below the cap saves you £5,000 in tax, so a modest reduction can leave both sides better off than a sale just above it. Apportioning a genuinely separate price to removable fittings can also legitimately reduce the chargeable consideration, but the split must reflect real value.
Sources
Related Calculators
Learn More
Stamp Duty (SDLT) Guide: Rates, Reliefs & Regional Differences
A complete guide to Stamp Duty Land Tax (SDLT) in England and Northern Ireland, LBTT in Scotland, and LTT in Wales — including first-time buyer relief and additional property surcharges.
Stamp Duty Rates and Thresholds in 2025-26
Standard SDLT rates, first-time buyer relief, the 5% additional property surcharge, and worked examples to show your stamp duty liability in 2025-26.