If you are planning to buy a home in Ashford, Staines-upon-Thames, or surrounding areas, it’s important to understand Stamp Duty Land Tax (SDLT). Stamp Duty is a tax paid to HM Revenue & Customs (HMRC) when you purchase a property in England or Northern Ireland over a certain value. Knowing the thresholds and how much you might need to pay will help you budget more effectively for your move.
At S J Smith Estate Agents, we guide buyers through the home-moving journey every day. Here’s everything you need to know about Stamp Duty thresholds in 2025.
What is Stamp Duty?
Stamp Duty Land Tax is a tiered tax charged on property purchases. The amount you pay depends on:
- The purchase price of the property
- Whether it’s your main residence or an additional property
- Whether you are a first-time buyer
Current Stamp Duty Thresholds
As of 1 April 2025, the SDLT rates for residential properties are as follows:
- Up to £125,000: 0% (no tax)
- £125,001 to £250,000: 2%
- £250,001 to £925,000: 5%
- £925,001 to £1.5 million: 10%
- Over £1.5 million: 12%
These rates apply to the portion of the property price within each band. For instance, if you purchase a property for £295,000, your SDLT would be calculated as:
- 0% on the first £125,000 = £0
- 2% on the next £125,000 = £2,500
- 5% on the remaining £45,000 = £2,250
- Total SDLT = £4,750
Stamp Duty for First-Time Buyers
If you’re a first-time buyer, you may be eligible for relief:
- Up to £300,000: 0% (no tax)
- £300,001 to £500,000: 5%
This relief is available for properties purchased for £500,000 or less. If the property’s price exceeds this amount, standard SDLT rates apply.
Additional Properties (Second Homes & Buy-to-Let)
If you are buying an additional property (such as a buy-to-let or second home), you will need to pay a 5% surcharge on top of the standard rates.
Do You Pay Stamp Duty on New Builds?
Yes — Stamp Duty applies to new build properties as well as older homes, provided the purchase price is above the threshold. However, developers sometimes offer incentives, such as covering part of your Stamp Duty bill, so it’s worth asking.
When Do You Pay Stamp Duty?
Stamp Duty must be paid within 14 days of completing your purchase. Usually, your solicitor or conveyancer will handle the calculation and payment on your behalf.
Why Understanding Stamp Duty Matters
Stamp Duty is one of the largest additional costs of buying a home. By understanding the thresholds, you can:
- Budget more accurately
- Avoid unexpected costs during your move
- Make informed decisions about property price ranges
Calculate your Stamp Duty Land Tax using the Gov.uk calculator here: https://www.tax.service.gov.uk/calculate-stamp-duty-land-tax/#!/intro
Find Expert Advice with S J Smith Estate Agents
At S J Smith Estate Agents, we help buyers across Ashford, Staines and surrounding areas navigate the home buying process, from viewing to completion. If you’re unsure how Stamp Duty applies to your move, our team can guide you to the right advice and resources.
Contact our team today to start your home-buying journey: https://www.sjsmithestateagents.co.uk/contact/
Or view our latest properties here: https://www.sjsmithestateagents.co.uk/property-search/?orderby=price_desc&instruction_type=sale&showstc=on