Land and Buildings Transaction Tax (LBTT) (Scotland only)
Land and Buildings Transaction Tax (LBTT) has been in place since 2015 and is the Scottish equivalent of Stamp Duty. Recent changes made by the Scottish Government mean that home ownership could now be more affordable for first-time buyers, as you won’t pay any LBTT on a home up to £175,000 – and those buying first homes over £175,000 will only pay LBTT on the difference.
What is LBTT?
Land and Buildings Transaction Tax (LBTT) is the tax charged by the Government in Scotland when you buy a home of more than £145,000, or £175,000 f you are a first time buyer.
Why do we have to pay it?
When you buy a property the change in land ownership has to be legally registered at the Land Registry. This process requires a certificate from Revenue Scotland – which they will only issue on receipt of the LBTT payment due on the purchase of the property. So, put simply, if you don't pay the LBTT, you can't buy your new home. The transfer of funds to pay the LBTT will be managed for you by your solicitor.
How much is LBTT?
The LBTT tax rates for homes in Scotland are below:
|
Purchase Price |
LBTT rate |
|
£0 to £145,000 |
0% (Zero) |
|
£145,001 to £250,000 |
2% |
|
£250,001 to £325,000 |
5% |
|
£325,001 to £750,000 |
10% |
|
£750,001 and over |
12% |
See terms and conditions.
Help to Sell Schemes
We have a range of schemes to help you sell your existing home.
Low Deposit Schemes
If you have a low deposit, we have a variety of schemes to help make moving more affordable.
Part Exchange
We could be your guaranteed buyer. No stress or fuss, just an easy move for you and your family.
Key Worker Scheme
We could help make your move with our Key Worker Deposit Contribution Scheme.
Own New - Rate Reducer
Own New - Rate Reducer is a brand-new scheme available on new build homes that could mean lower mortgage rates and reduced monthly payments.
Parent Power
Parents can also help. Typically they (or a close family member) could help you with your deposit, or guarantee your mortgage, or act as a joint applicant.