Legal sources
Buying a home in the UK costs more than the price. The buyer pays the purchase tax of the nation the home is in: 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. First-time buyer relief lowers it in England, Northern Ireland and Scotland, and a buyer who keeps another home pays the higher rates for additional homes (ADS in Scotland). Then come the land registration fee, a solicitor or licensed conveyancer for the conveyancing, a survey if you want one and the lender's fees. The seller pays the estate agent. Each default below names its law or official fee table, the section and the date it was last checked, or is marked as market practice.
| Item | Document | Provision | Last verified | Link |
|---|---|---|---|---|
| Purchase tax: SDLT, LBTT or LTT | Source: FA 2003; LBTT(S)A 2013; LTTA 2017FA 2003; LBTT(S)A 2013; LTTA 2017 | Provision: FA 2003 s.85(1): the purchaser is liable to pay the taxFA 2003 s.85(1): the purchaser is liable to pay the tax | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Purchase tax: SDLT, LBTT or LTT | Source: FA 2003; LBTT(S)A 2013; LTTA 2017FA 2003; LBTT(S)A 2013; LTTA 2017 | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Purchase tax: SDLT, LBTT or LTT | Source: FA 2003; LBTT(S)A 2013; LTTA 2017FA 2003; LBTT(S)A 2013; LTTA 2017 | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Non-resident surcharge | Source: FA 2003FA 2003 | Provision: Sch 9ASch 9A | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Land registration fee | Source: Land registration fee orders (see the region tables)Land registration fee orders (see the region tables) | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Land registration fee: the lender's mortgage | Source: Land registration fee orders (see the region tables)Land registration fee orders (see the region tables) | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Solicitor or conveyancer (conveyancing) | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Survey | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Lender's product fee | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Estate agent's fee | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Initial fixed-rate period, example | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Prepayment penalty | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Overpayment allowance each year | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Maximum debt-to-income ratio (DTI), on gross income | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Usual maximum loan-to-value (LTV) | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| High loan-to-income (LTI) threshold | Source: Financial Policy Committee recommendation, implemented in PRA rules and FCA guidanceFinancial Policy Committee recommendation, implemented in PRA rules and FCA guidance | Provision: LTI flow limitLTI flow limit | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
| Purchase tax: rounding down to the whole pound | Source: FA 2003; LBTT and LTT return guidanceFA 2003; LBTT and LTT return guidance | Provision: FA 2003 s.55; LTT: "rounded down to the nearest whole pound"FA 2003 s.55; LTT: "rounded down to the nearest whole pound" | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
| Higher rates for additional homes (ADS): lowest price they apply to | Source: FA 2003 Sch 4ZA; Sch 9A; LBTT(S)A 2013 Sch 2A; LTTA 2017 Sch 5FA 2003 Sch 4ZA; Sch 9A; LBTT(S)A 2013 Sch 2A; LTTA 2017 Sch 5 | Provision: Sch 4ZA para 3(2) (Condition A); Sch 9A de minimisSch 4ZA para 3(2) (Condition A); Sch 9A de minimis | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Council tax per year (domestic rates in Northern Ireland) | Source: LGFA 1992; Rates (Northern Ireland) Order 1977LGFA 1992; Rates (Northern Ireland) Order 1977 | Provision: LGFA 1992 s.1 (England and Wales), s.70 (Scotland): tax on dwellings by valuation band; Northern Ireland: rates on the capital value of the homeLGFA 1992 s.1 (England and Wales), s.70 (Scotland): tax on dwellings by valuation band; Northern Ireland: rates on the capital value of the home | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
| Service charge per month, leasehold | Source: LTA 1985LTA 1985 | Provision: s.18 (meaning of service charge); s.19 (charges limited to costs reasonably incurred)s.18 (meaning of service charge); s.19 (charges limited to costs reasonably incurred) | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
| Ground rent per year, leasehold | Source: Leasehold Reform (Ground Rent) Act 2022Leasehold Reform (Ground Rent) Act 2022 | Provision: s.3s.3 | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
| Buildings insurance per year | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Value-added tax (VAT) on rent: none on letting a home | Source: VATA 1994VATA 1994 | Provision: Sch 9 Group 1 item 1Sch 9 Group 1 item 1 | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
| Personal income tax on rent, example rate | Market convention, no legal document | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Property allowance on rental income | Source: ITTOIA 2005ITTOIA 2005 | Provision: Part 6A Chapter 2, s.783BD (property allowance 1,000)Part 6A Chapter 2, s.783BD (property allowance 1,000) | Last verified: Oct 11, 2026Oct 11, 2026 | Read the text (opens in a new tab) |
| Capital gains tax (CGT) on selling a home that is not your main home | Source: TCGA 1992TCGA 1992 | Provision: s.1Hs.1H | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
Rules specific to England
| Item | Document | Provision | Last verified | Link |
|---|---|---|---|---|
| Purchase tax: SDLT, LBTT or LTT | Source: FA 2003FA 2003 | Provision: s.55 (residential rates table)s.55 (residential rates table) | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Purchase tax: SDLT, LBTT or LTT | Source: FA 2003FA 2003 | Provision: Sch 6ZA (relief for first-time buyers; not available when the price is over 500,000)Sch 6ZA (relief for first-time buyers; not available when the price is over 500,000) | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Purchase tax: SDLT, LBTT or LTT | Source: FA 2003FA 2003 | Provision: Sch 4ZA para 1 (higher rates, 5 points since 31 October 2024), para 3(2)Sch 4ZA para 1 (higher rates, 5 points since 31 October 2024), para 3(2) | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Non-resident surcharge | Source: FA 2003FA 2003 | Provision: Sch 9A (from 1 April 2021)Sch 9A (from 1 April 2021) | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Land registration fee | Source: Land Registration Fee Order 2024 (in force 9 December 2024)Land Registration Fee Order 2024 (in force 9 December 2024) | Provision: Scale 1Scale 1 | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Land registration fee: the lender's mortgage | Source: Land Registration Fee Order 2024Land Registration Fee Order 2024 | Provision: charges of registered landcharges of registered land | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
Rules specific to Northern Ireland
| Item | Document | Provision | Last verified | Link |
|---|---|---|---|---|
| Purchase tax: SDLT, LBTT or LTT | Source: FA 2003FA 2003 | Provision: s.55 (residential rates table)s.55 (residential rates table) | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Purchase tax: SDLT, LBTT or LTT | Source: FA 2003FA 2003 | Provision: Sch 6ZA (relief for first-time buyers; not available when the price is over 500,000)Sch 6ZA (relief for first-time buyers; not available when the price is over 500,000) | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Purchase tax: SDLT, LBTT or LTT | Source: FA 2003FA 2003 | Provision: Sch 4ZA para 1 (higher rates, 5 points since 31 October 2024), para 3(2)Sch 4ZA para 1 (higher rates, 5 points since 31 October 2024), para 3(2) | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Non-resident surcharge | Source: FA 2003FA 2003 | Provision: Sch 9A (from 1 April 2021)Sch 9A (from 1 April 2021) | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Land registration fee | Source: Land Registry (Fees) Order (Northern Ireland) 2014Land Registry (Fees) Order (Northern Ireland) 2014 | Provision: scale fees, transfersscale fees, transfers | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
| Land registration fee: the lender's mortgage | Source: Land Registry (Fees) Order (Northern Ireland) 2014Land Registry (Fees) Order (Northern Ireland) 2014 | Provision: chargescharges | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
Rules specific to Scotland
| Item | Document | Provision | Last verified | Link |
|---|---|---|---|---|
| Purchase tax: SDLT, LBTT or LTT | Source: LBTT(S)A 2013; Land and Buildings Transaction Tax (Tax Rates and Tax Bands) (Scotland) Order 2015, as amendedLBTT(S)A 2013; Land and Buildings Transaction Tax (Tax Rates and Tax Bands) (Scotland) Order 2015, as amended | Provision: LBTT(S)A 2013 s.24; rates from 1 April 2021, unchanged for 2026-27LBTT(S)A 2013 s.24; rates from 1 April 2021, unchanged for 2026-27 | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Purchase tax: SDLT, LBTT or LTT | Source: Land and Buildings Transaction Tax (First-Time Buyer Relief) (Scotland) Order 2018Land and Buildings Transaction Tax (First-Time Buyer Relief) (Scotland) Order 2018 | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) | |
| Purchase tax: SDLT, LBTT or LTT | Source: LBTT(S)A 2013LBTT(S)A 2013 | Provision: Sch 2A (ADS); 8 % for contracts from 5 December 2024Sch 2A (ADS); 8 % for contracts from 5 December 2024 | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Non-resident surcharge | Source: LBTT(S)A 2013LBTT(S)A 2013 | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Land registration fee | Source: Registers of Scotland (Fees) Order 2014, as amended by the Registers of Scotland (Fees) Amendment Order 2021 (SSI 2021/139)Registers of Scotland (Fees) Order 2014, as amended by the Registers of Scotland (Fees) Amendment Order 2021 (SSI 2021/139) | Provision: Schedule, Part 1Schedule, Part 1 | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
| Land registration fee: the lender's mortgage | Source: Registers of Scotland (Fees) Order 2014, as amended by the Registers of Scotland (Fees) Amendment Order 2021 (SSI 2021/139)Registers of Scotland (Fees) Order 2014, as amended by the Registers of Scotland (Fees) Amendment Order 2021 (SSI 2021/139) | Provision: Schedule, Part 1Schedule, Part 1 | Last verified: Oct 8, 2026Oct 8, 2026Default value. Ask your lender or tax office for the figure that applies to you. | Read the text (opens in a new tab) |
Rules specific to Wales
| Item | Document | Provision | Last verified | Link |
|---|---|---|---|---|
| Purchase tax: SDLT, LBTT or LTT | Source: LTTA 2017; Land Transaction Tax (Tax Bands and Tax Rates) (Wales) Regulations 2018, as amendedLTTA 2017; Land Transaction Tax (Tax Bands and Tax Rates) (Wales) Regulations 2018, as amended | Provision: LTTA 2017 s.24LTTA 2017 s.24 | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Purchase tax: SDLT, LBTT or LTT | Source: LTTA 2017LTTA 2017 | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) | |
| Purchase tax: SDLT, LBTT or LTT | Source: LTTA 2017LTTA 2017 | Provision: s.24, Sch 5 (higher rates residential property transactions)s.24, Sch 5 (higher rates residential property transactions) | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Non-resident surcharge | Source: LTTA 2017LTTA 2017 | Last verified: Oct 8, 2026Oct 8, 2026 | ||
| Land registration fee | Source: Land Registration Fee Order 2024 (in force 9 December 2024)Land Registration Fee Order 2024 (in force 9 December 2024) | Provision: Scale 1Scale 1 | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |
| Land registration fee: the lender's mortgage | Source: Land Registration Fee Order 2024Land Registration Fee Order 2024 | Provision: charges of registered landcharges of registered land | Last verified: Oct 8, 2026Oct 8, 2026 | Read the text (opens in a new tab) |