Property guides
The additional costs of buying
Once all of the legal work has taken place, the completion statement will be issued showing the remaining costs that need to be paid. These will include:
The deposit:
This is normally at least 5% of the purchase price.
Stamp Duty Land Tax (SDLT)
You may also have to pay Stamp Duty Land Tax. This government tax is payable on property or land above a certain price threshold in England or Northern Ireland. Use our stamp duty calculator to work out how much your stamp duty will be.
Similarly, if you’re buying a property or land in Scotland or Wales, there are equivalents of this tax that you might have to pay. Different rates apply for different property prices, as well as if you’re buying your first home, so it’s worth looking into it well in advance.
For full information on stamp duty, including what it is, how much it costs and to use our stamp duty calculator, take a look here.
What are stamp duty rates in England and Northern Ireland?
| Purchase price | Normal rate |
| Up to £250,000 | 0% |
| £250,001 to £925,000 | 5% |
| £925,001 to £1.5 million | 10% |
| Over £1.5 million | 12% |
| First-time buyer purchase price | Rate (first-time buyers only) |
| Up to £425,000 | 0% |
| £425,001 to £625,000 | 5% |
| Homes priced above £625,000 | Normal rate applies (see table above) |
What are stamp duty rates in Scotland? (Land and Buildings Transaction Tax)
Stamp Duty in Scotland is now called Land and Buildings Transaction Tax (LBTT). It needs to be paid for any land purchases, as well as both residential and commercial property purchases.
It was introduced as a replacement to stamp duty in April 2015.
| Purchase price | Rate |
| Up to £145,000 | 0% |
| The portion over £145,000 up to £250,000 | 2% |
| The portion over £250,000 up to £325,000 | 5% |
| The portion over £325,000 up to £750,000 | 10% |
| Over £750,000 | 12% |
What are stamp duty rates in Wales? (Land Transaction Tax)
Land Transaction Tax (LTT) applies to properties and land purchased in Wales. This replaced what was known as stamp duty, in April 2018.
Land Transaction Tax applies to properties that are either bought or leased above a certain price threshold.
| Purchase price | Rate |
| The portion up to and including £225,000 | 0% |
| The portion over £225,000 up to and including £400,000 | 6% |
| The portion over £400,000 up to and including £750,000 | 7.5% |
| The portion over £750,000 up to and including £1.5 million | 10% |
| The portion over £1.5 million | 12% |
Visit the Welsh Government’s website for more information and the latest breakdowns.
Pro-rated leasehold charges
The service charges and ground rent due for leasehold properties are often paid annually or every six months. If the seller has already paid for a period when you will be the owner, you will need to reimburse them the amounts that have already been paid.
Engrossment Fee
This is payable for new build properties and is a fee payable to the developer’s conveyancer for preparing and supplying the legal documentation for signature. The fee varies depending on the developer but is typically £120 – £150.
Land Registration Fee
This is the amount you need to pay to the land register in order to register the property in your name. There is a table of charges depending on when and how the registration is made but the maximum current charges are:
| Property Price | Fee |
|---|---|
| 0 to £80,000 | £40 |
| £80,001 to £100,000 | £80 |
| £100,001 to £200,000 | £190 |
| £200,001 to £500,000 | £270 |
| £500,001 to £1,000,000 | £540 |
| £1,000,001 and over | £910 |
Transfer of Money Fee
This is usually a flat fee charged to transfer the money during the transaction as it is usually sent be CHAPs transfer
Finally, other costs which you may want to consider are:
- Life Insurance: It may be a requirement of your mortgage, but if not it is still worth considering as it will cover the cost of the outstanding mortgage if you were to die.
- Buildings Insurance: this will be required if you are purchasing your property freehold and will be a condition of the mortgage. If you are purchasing the property leasehold, the property is normally insured by the freeholder and you contribute towards the cost
- Removals costs — Unless you are travelling light, it is likely you will need to get professional movers in. Get quotes from a removal firm that’s a member of The British Association of Removers.
- Mail redirection
