Stamp Duty on a £900,000 House 2026
Quick answer: standard £35,000. FTB also £35,000. Second home £80,000. The last meaningful price point before the 10% band at £925k.
By buyer type at £900,000
| Buyer type | England + NI (SDLT) | Scotland (LBTT) | Wales (LTT) |
|---|---|---|---|
| Standard buyer | £35,000 | £63,350 | £47,450 |
| First-time buyer | £35,000 | £60,850 | £47,450 |
| Second home / additional property | £80,000 | £135,350 | £113,450 |
| Non-UK resident (standard) | £53,000 | £63,350 | £47,450 |
How the £35,000 standard SDLT is built
| Band | Rate | Taxable in this band | Tax due |
|---|---|---|---|
| £0 to £125,000 | 0% | £125,000 | £0 |
| £125,001 to £250,000 | 2% | £125,000 | £2,500 |
| £250,001 to £900,000 | 5% | £650,000 | £32,500 |
| Total | £35,000 | ||
Effective rate: 3.89%. The 5% band is doing virtually all the work: £32,500 of the £35,000 total. £25,000 below the 10% band threshold.
The £925,000 threshold up close
£900,000 sits £25,000 below the start of the 10% SDLT band at £925,001. The marginal SDLT rate doubles at the boundary, from 5p per pound to 10p per pound, on the slice above £925,000. So between £900k and £925k each pound costs 5p; between £925k and £926k each pound costs 10p. Over a £25,000 negotiation range straddling the boundary, the SDLT delta is meaningful but bounded.
The £925k threshold has been set since the 2014 SDLT reform under section 109 of the Finance Act 2014, and has not been adjusted for inflation. House-price inflation has eroded the real value of the threshold by roughly 35% in real terms since 2014, meaning many more transactions now cross into the 10% band each year. This is sometimes referred to as fiscal drag in the SDLT context.
For the next price point and the first material crossing of the threshold, see the £1 million page.
The £80,000 second-home figure
A £900,000 second home pays 5% on £125k (£6,250), 7% on £125k (£8,750), 10% on £650k (£65,000), totalling £80,000. The standard buyer pays £35,000, so the surcharge alone is £45,000. The October 2024 rise from 3% to 5% added £18,000 to this figure (the old rate would have given £62,000 total).
At this price band, second-home and buy-to-let purchases are increasingly held through limited-company SPVs rather than personal names. The 5% surcharge applies equally, but mortgage interest is deductible in corporation-tax computations (not in personal income-tax computations for higher-rate landlords since the Section 24 phase-out completed April 2020). The trade-off is dividend tax on extracted income, conveyancing complexity, and corporate Annual Tax on Enveloped Dwellings (ATED) considerations above £500k.
See companies and SPVs and buy-to-let SDLT for structuring detail.
The four nations at £900,000
England and Northern Ireland share SDLT at £35,000. Scotland LBTT is £63,350, £28,350 more. Wales LTT is £47,450, £12,450 more. So the ordering at £900k from cheapest to most expensive is: England/NI, Wales, Scotland. The gap widens further at higher prices because Scotland's 10% band has the longest reach (from £325,001 upward) and Wales's top rates also kick in earlier than England's.
Northern Ireland uses SDLT identical to England under section 116 of the FA 2003 (NI is not devolved for stamp duty); the only distinct NI treatment is the Land Registry NI fee scale, which is comparable to England's but not identical. See Northern Ireland SDLT.
For the price-by-nation comparison pages: Scotland, Wales, and the comparison pages LBTT vs SDLT and LTT vs SDLT.
Mortgage, deposit and total cost at £900,000
Typical 75% LTV £900k purchase: £225,000 deposit, £35,000 SDLT, around £3,000 in legal and search fees, and £1,000-£2,000 for a Level 3 building survey. Cash at completion approximately £264,000. A £675,000 mortgage at 5% over 25 years costs around £3,948 per month.
At this price band, professional indemnity-backed full structural surveys (Level 3) replace the cheaper homebuyer report (Level 2) because the consequences of undetected structural issues are large enough to justify the £700-£1,500 extra survey cost.
If the buyer holds shareholdings or other assets that could be sold to fund SDLT in cash, the trade-off is interest-rate arbitrage: a £35,000 mortgage portion at 5% costs £1,750 per year of interest. If the alternative is selling investments with a higher expected return, cash-funding the SDLT is often the right move. If the alternative is reducing the mortgage from say 75% to 71% LTV, the band-rate saving frequently offsets the interest cost.
Frequently Asked Questions
How much is stamp duty on a £900,000 house in 2026?
Standard £35,000, FTB £35,000 (no relief), second home £80,000, non-UK resident £53,000. Scotland LBTT £63,350; Wales LTT £47,450.
Where is £900k relative to the 10% band?
£25k below it. The 10% band starts at £925,001.
Should I push offer below £925k for SDLT reasons?
Saving on a £25k negotiation is £1,250-£2,500 depending on where you start. Modest at this price tier - structural property considerations should dominate.
Is Scotland or Wales materially different at £900k?
Scotland LBTT £63,350 (£28k more). Wales LTT £47,450 (£12k more). Both nations cross into 10% bands earlier than England.
How does SDLT compare with annual running costs at £900k?
Annual running costs (insurance, utilities, council tax band F-H, basic maintenance) typically £8,000-£15,000. The £35k SDLT is 2.5-4 years of running cost.
Does the SDLT add to the mortgage interest budget?
Only if you add it to the loan. £35k at 5% costs £1,750 per year of interest. Most £900k buyers fund SDLT from cash savings to keep LTV below the next pricing tier.
Related price points
Not tax advice. Always confirm with a qualified UK solicitor or chartered tax adviser before completing.