LTT in Wales: What Auction Buyers Need to Know

Buying property in Wales? Stamp Duty is officially called Land Transaction Tax (LTT).

For a main residential property, you pay no LTT on purchases of £225,000 or less. Above that, LTT is charged in bands, not on the full price.

Current main home rates:

•⁠ ⁠Up to £225,000: 0%

•⁠ ⁠£225,001 to £400,000: 6%

•⁠ ⁠£400,001 to £750,000: 7.5%

•⁠ ⁠£750,001 to £1,500,000: 10%

•⁠ ⁠Over £1,500,000: 12%

Buying a second home, buy-to-let or additional property? Higher LTT rates usually apply from the first taxable band, starting at 5% up to £180,000, and rising to 17% over £1.5 million.

Auction tip: Always factor LTT into your maximum bid before the auction. Your winning bid is only part of the total cost.

Takeaway: Speak to your solicitor or tax adviser before bidding, so there are no surprises after the hammer falls.