Everything first-time and returning buyers need to know — stamp duty, mortgages, upfront costs, and legal compliance — explained in plain English.
England & Northern Ireland · 2024/25 rates
A clear walkthrough of every stage, from saving your deposit to collecting the keys.
Minimum 5% of price. Better rates kick in at 10%, 15%, 25%. Budget an extra 3–5% on top for all buying costs.
Get a Decision in Principle from a lender or broker. Sets your realistic budget and signals to sellers you are serious.
Search Rightmove, Zoopla, or local agents. Make an offer through the agent — no legal commitment at this stage.
Appoint a conveyancer early. They handle searches, contracts, title checks, and Land Registry registration.
The lender values the property. Commission your own independent survey — at minimum a Level 2 HomeBuyer Report.
Legally binding. You pay 10% deposit to your solicitor and agree a completion date. Buildings insurance starts now.
Funds transfer, keys collected. Your solicitor registers the title at Land Registry — you are now the legal owner.
Your solicitor submits the SDLT return and pays any duty owed within 14 days of completion. Late payments attract penalties.
Beyond your deposit, expect to budget 3–5% of the property price to cover all the costs below.
The largest single upfront cost. Higher deposits unlock lower interest rates. 5% is the minimum for most residential mortgages.
Tax on purchases in England & Northern Ireland. First-time buyers get relief up to £425,000. Must be paid within 14 days of completion.
Covers conveyancing, title searches, contracts, and Land Registry registration. Usually quoted as a fixed fee including VAT.
Arrangement fee £500–£2,000. Booking fee £100–£300. Valuation fee £150–£500. Some can be added to the mortgage but attract interest.
HomeBuyer Report (Level 2) £400–£1,000. Full Building Survey (Level 3) £600–£1,500. Vital for older or unusual properties.
Paid to HMLR to register you as the legal owner. Scales with property price. Handled by your solicitor at completion.
Local authority, water & drainage, environmental searches. Usually bundled in your solicitor's quote or itemised separately.
Depends on volume and distance. Get at least 3 quotes and book early — completion day slots fill quickly.
Required by your lender from exchange of contracts. Covers the structure of the building. First year often paid upfront.
Covers specific legal defects found in conveyancing — such as missing planning permission or absent freeholder consent.
Based on 10% deposit. Costs vary — always get professional quotes.
| Price | SDLT (FTB) | SDLT (Standard) | Other Costs Est. | Total Upfront* |
|---|---|---|---|---|
| £200,000 | £0 | £0 | £4,000–£6,000 | £24k–£26k |
| £300,000 | £0 | £2,500 | £5,000–£7,000 | £35k–£37k |
| £425,000 | £0 | £8,750 | £6,000–£8,000 | £48k–£51k |
| £500,000 | £3,750 | £12,500 | £7,000–£9,000 | £60k–£62k |
| £750,000 | £26,250 | £26,250 | £8,000–£11,000 | £109k–£112k |
Use these to estimate your costs before speaking to a solicitor or mortgage adviser.
| Band | FTB | Standard | Additional |
|---|---|---|---|
| Up to £250k | 0% | 0% | 3% |
| £250k–£425k | 0% | 5% | 8% |
| £425k–£625k | 5% | 5% | 8% |
| £625k–£925k | Relief lost | 5% | 8% |
| £925k–£1.5m | 10% | 10% | 13% |
| Over £1.5m | 12% | 12% | 15% |
Misrepresenting your buyer status to HMRC carries serious financial and criminal consequences.
To qualify as a First-Time Buyer you must never have owned residential property anywhere in the world — UK or abroad. This includes inherited property and property you owned and later sold. It applies regardless of your current ownership status.
Over 100 countries share financial data with HMRC under the Common Reporting Standard (CRS). HMRC also uses Land Registry records, mortgage applications, visa and immigration declarations, and probate filings to verify buyer status.
Selling a previous property before buying does not restore your FTB status. The test is ownership history — have you ever owned? Selling does, however, avoid the 3% Additional Property surcharge if completed before exchange.
Owning — or having ever owned — property abroad permanently disqualifies you from FTB relief. A small flat inherited from family overseas is enough. The rule is global and has no exceptions based on value or how the property was acquired.
If you think you may have incorrectly claimed FTB relief, speak to a tax solicitor and consider making a voluntary disclosure to HMRC before they contact you. Voluntary disclosures typically result in significantly lower penalties than being investigated. The sooner you act, the better the outcome.
Work through these before, during, and after your purchase.
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