The world of property investment can sometimes be confusing; our Glossary is full of useful terms to help every investor, whether they are a first time landlord or a seasoned portfolio builder.
Stamp Duty Land Tax is the tax you pay when you buy a property. There are now two different types of stamp duty rates: one for homeowners and one for the purchase of a second home not used for owner-occupation (namely buy-to-let or second homes). For owner-occupiers, you pay nothing on the first £125,000 of the property price, 2% on the next £125,000, 5% on the next £675,000, 10% on the next £575,000 and 12% above £1.5million. For non-owner-occupiers, you pay an additional 3% levy on top of this slab rate.