Stamp Duty Land Tax (SDLT) is a tax on property purchases. Rates vary based on property value and type:

• 0% on properties up to £250,000.
• 5% on £250,001–£925,000.
• 10% on £925,001–£1.5m.
• 12% above £1.5m.
• For additional properties, a 3% surcharge applies to all tiers.

Example: For a £300,000 property, the Stamp Duty is £11,500 for a second home.

Legal fees include conveyancing, searches, and registration costs:

• Conveyancing: £800–£1,500.
• Search Fees: £250–£500.
• Land Registration: £20–£910 (depends on property value).

Example: For a £300,000 property, legal fees might total ~£1,735.

Capital Gains Tax (CGT) is paid on profits from selling investment properties:

• Basic Rate Taxpayers: 18% on gains.
• Higher Rate Taxpayers: 28% on gains.

Example: If your taxable gain is £74,000, the CGT could be £13,320–£20,720.

Be aware of additional costs like:

• Contingency Fund: 10–20% of renovation budget.
• Holding Costs: Mortgage, utilities, insurance during the renovation period.
• Estate Agent Fees: 1–2% of sale price (+VAT).
• Bridging Loan Costs: Short-term financing with ~1% monthly interest.