If you bought a property and paid the higher rate of Stamp Duty Land Tax (SDLT) because you already owned another property, you may be entitled to a refund — provided certain conditions are met.

This situation commonly affects homeowners who buy a new home before selling their previous main residence.

Why the Higher Rate SDLT Was Charged

The higher rate of SDLT applies when, at the time of purchase, you own more than one residential property and are not replacing your main residence on the same day. In these cases, an additional higher rate surcharge is added to the standard SDLT rates.

When a Refund Is Available

You can reclaim the higher rate SDLT if all of the following apply:

• You paid the higher rate SDLT on the purchase of your new home
• The property you sold was your previous main residence
• You sell that previous main residence within 3 years of buying the new one

If these conditions are met, HMRC allows you to reclaim only the higher rate surcharge, not the full SDLT paid.

What Counts as a Main Residence

HMRC looks at the facts, not just ownership. Indicators of a main residence include where you lived most of the time, where your family lived, council tax records, electoral register, GP registration and correspondence address.

How Much Can You Claim Back

The refund equals the additional higher rate SDLT paid on the purchase price of the new home. For example, if the surcharge added £15,000 to your SDLT bill, that £15,000 can be reclaimed once the old home is sold within the 3-year window.

How and When to Claim

You must submit the refund claim to HMRC within 12 months of selling your previous main residence, or within 12 months of the SDLT filing date, whichever is later.

Claims are made online directly with HMRC, but errors are common — particularly around dates, property details and main residence evidence.

Common Pitfalls to Watch Out For

Many claims are delayed or rejected due to incorrect completion, misunderstanding what qualifies as a main residence, or missing the deadline. If the 3-year deadline is missed, the refund is usually lost, even if the sale happens shortly after.

Final Thoughts

Paying the higher rate SDLT can feel painful, but for many homeowners it is temporary. If you sell your previous main residence within 3 years, a refund can provide a significant cash boost — but only if claimed correctly and on time.

If you are unsure whether you qualify or want help submitting a claim, getting professional advice can save both time and stress.