Question 1

Will first-time buyers have to pay stamp duty in 2026?

Accepted Answer

Yes, first-time buyers may still have to pay Stamp Duty, depending on the purchase price. Since the changes introduced in April 2025, first-time buyers in England pay 0% Stamp Duty on the first £300,000 of a property purchase, provided the total price does not exceed £500,000. If the property is priced between £300,001 and £500,000, 5% is charged on the portion above £300,000.
If the purchase price exceeds £500,000, first-time buyer relief does not apply and standard Stamp Duty rates are charged on the full purchase price. These thresholds remain in place in 2026 unless further government changes are announced.
Stamp Duty rules differ in Scotland and Wales, where separate property tax systems apply.
Your home/property may be repossessed if you do not keep up repayments on your mortgage.

Question 2

Who is exempt from stamp duty?

Accepted Answer

In England, very few buyers are fully exempt from Stamp Duty. Instead, most people either fall within a 0% tax band or qualify for specific relief. First-time buyers pay 0% Stamp Duty on the first £300,000 of a property purchase, provided the total price does not exceed £500,000. If the purchase price is above £500,000, first-time buyer relief does not apply.
No Stamp Duty is due if the purchase price falls below the standard nil-rate threshold. Certain transfers, such as property passed through inheritance or some transfers following divorce or separation, may also not trigger Stamp Duty depending on the structure of the transaction.
Stamp Duty rules differ in Scotland and Wales, where separate property tax systems apply. Eligibility depends on the type of transaction and property value.
Your home/property may be repossessed if you do not keep up repayments on your mortgage.

Question 3

How to avoid paying 5% stamp duty?

Accepted Answer

In England, first-time buyers currently pay 0% Stamp Duty on the first £300,000 of a property purchase, provided the total price does not exceed £500,000. The 5% rate only applies to the portion of the purchase price between £300,001 and £500,000.
There is no legal way to avoid Stamp Duty if it is due. The only way to avoid paying the 5% band is to purchase at £300,000 or below, or to buy in a way that qualifies for relief, such as an eligible Shared Ownership structure. If the property price exceeds £500,000, first-time buyer relief does not apply and standard Stamp Duty rates are charged on the full purchase price.
Stamp Duty systems in Scotland and Wales operate under different rules, so thresholds vary depending on location.
Your home/property may be repossessed if you do not keep up repayments on your mortgage.

Question 4

What salary do I need for a 200k mortgage in the UK?

Accepted Answer

To borrow £200,000, lenders typically require income between £45,000 and £50,000, based on common income multiples. However, each lender applies detailed affordability checks that consider more than salary alone.
Existing debts, credit commitments and regular household expenditure all influence the final borrowing amount. Lenders also stress test applications to ensure repayments remain manageable if interest rates rise. A larger deposit can improve interest rates but does not necessarily increase the amount available to borrow.
Joint applicants can combine incomes to meet affordability requirements. A full affordability review provides the most reliable guidance before making an offer on a property.
Your home/property may be repossessed if you do not keep up repayments on your mortgage.

Question 5

What salary do I need for a 300k mortgage in the UK?

Accepted Answer

To borrow £300,000 in 2026, lenders typically look for household income of around £67,000 to £75,000, based on standard income multiples. However, each lender applies detailed affordability checks beyond simple salary calculations.
Existing debts, monthly spending and stress testing against higher interest rates all influence borrowing capacity. A strong credit history improves product access. A larger deposit may provide better interest rates but does not always increase the amount you can borrow.
Joint applicants can combine incomes, which often makes this borrowing level achievable. A full affordability assessment provides more accurate guidance than relying purely on income multiples.
Your home/property may be repossessed if you do not keep up repayments on your mortgage.

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