Cost of Buying a Home & Moving in Scotland (2026)
- What are the real costs of buying a home?
- Land and Buildings Transaction Tax (LBTT)
- Additional Dwelling Supplement (second homes and buy-to-let)
- First-time buyer relief
- Other costs to budget for
- How much should I budget in total?
- When are these costs paid?
- Costs when buying at auction
- Ways to keep costs down
- Common budgeting mistakes
What are the real costs of buying a home?
It is easy to fix on the asking price and forget that the true cost of buying is higher. Under-budgeting is one of the most common reasons a purchase becomes stressful late in the day, so the smart move is to price every line before you offer. The single biggest variable is the tax, so we start there.
Land and Buildings Transaction Tax (LBTT)
Scotland does not charge Stamp Duty. Instead it charges Land and Buildings Transaction Tax, collected by Revenue Scotland on purchases above the threshold. LBTT is tiered, so like income tax you only pay each rate on the slice of the price that falls in that band, not on the whole price. The residential bands for 2026/27 are set out below.
| Portion of price | LBTT rate 2026/27 |
|---|---|
| Up to £145,000 | 0% |
| £145,001 to £250,000 | 2% |
| £250,001 to £325,000 | 5% |
| £325,001 to £750,000 | 10% |
| Above £750,000 | 12% |
Worked example: on a £250,000 home you pay nothing on the first £145,000 and 2% on the next £105,000, giving an LBTT bill of £2,100. On a £325,000 home you add 5% on the slice from £250,000 to £325,000, taking the bill to £4,600. Always confirm your exact figure with the Revenue Scotland calculator before you budget.
Additional Dwelling Supplement (second homes and buy-to-let)
If the property will not be your only home, for example a buy-to-let or a second home, you also pay the Additional Dwelling Supplement (ADS). ADS is charged at 8% of the whole purchase price on properties of £40,000 or more, and it has been at 8% since 5 December 2024. It is a flat charge on the entire price, not tiered, so on a £180,000 second home ADS alone is £14,400 on top of the standard LBTT. The 2026/27 Scottish Budget kept ADS and all LBTT rates and bands at their current levels.
First-time buyer relief
First-time buyers get relief that raises the nil-rate band from £145,000 to £175,000, so you pay no LBTT on the first £175,000 of the price. The maximum saving is £600. To qualify, you and any joint buyer must never have owned a home anywhere in the world. Unlike the equivalent English relief, Scotland's version has no upper price limit, so it applies to any residential purchase.
Other costs to budget for
LBTT is the largest single item on many purchases, but the smaller costs add up quickly. Here is what else to set aside, with honest 2026 ranges.
| Cost | Typical range (2026) | Notes |
|---|---|---|
| Solicitor / conveyancing fees | £800 - £1,500 + VAT | Plus outlays such as registration dues and searches |
| Land Register registration dues | £80 - £600+ | Scales with the purchase price |
| Mortgage arrangement fee | £0 - £1,500 | Some lenders let you add it to the loan |
| Mortgage / lender valuation | £0 - £400 | Sometimes free as an incentive |
| Extra survey beyond the Home Report | £0 - £1,000+ | Optional; the Home Report Single Survey covers the basics |
| Removals | £400 - £1,500 | Depends on distance and volume |
| Buildings insurance | From about £150 / year | Required from the date of entry |
| Factor's apportionment (flats) | Varies | Share of shared-building costs on a tenement or block |
Note the Scottish quirk that helps buyers: the seller, not the buyer, provides the Home Report, whose Single Survey often removes the need for a separate valuation survey. That said, for an older or unusual property, a fuller private survey can still be money well spent.
Key takeaways
- Budget roughly 2-5% of the price for buying and moving costs in Scotland.
- Scotland uses tiered LBTT, not Stamp Duty; 2026/27 bands start at 0% up to £145,000.
- ADS adds a flat 8% on second homes and buy-to-lets of £40,000 or more.
- First-time buyer relief lifts the nil-rate band to £175,000, saving up to £600.
- Set aside solicitor, mortgage, survey, removal and insurance costs too.
How much should I budget in total?
For an average Scottish home bought as a main residence, the buying and moving costs beyond the price commonly land between 2% and 5% of the purchase price. On a £200,000 home that is roughly £4,000-£10,000 once you add LBTT, legal fees, mortgage costs, a survey if you choose one, removals and insurance. A second home or buy-to-let is far higher because the 8% ADS applies. First-time buyers sit at the lower end thanks to the relief. Build a line-by-line figure rather than trusting a rule of thumb.
When are these costs paid?
The costs land at different points. You pay for a mortgage valuation and any survey early, during your offer and finance stage. Solicitor fees, outlays, LBTT and registration dues are settled around the date of entry, when the purchase completes, and your solicitor submits the LBTT return within the statutory window. Removals and the first insurance premium fall due on or just before you move in. Knowing the timing helps you keep enough cash liquid at completion.
Costs when buying at auction
Buying at auction changes the discipline, not the list. Because a winning bid is binding on the day, you must have your finance agreed and your costs budgeted before you bid, not after. That means proof of funds or a mortgage in principle, a solicitor briefed to move fast, and the deposit ready. The upside is certainty: no gazumping and a fixed completion, usually around 28 days. Read how to buy a property at auction in Scotland and, if you need speed, auction finance and bridging loans.
Ways to keep costs down
You can trim the total without cutting corners: use the Home Report Single Survey instead of commissioning a second survey where the property is straightforward, compare solicitors on a fixed-fee basis, and check whether your lender offers a free valuation or a fee-free mortgage. First-time buyers should always claim their relief. For the full journey from offer to keys, see the ultimate guide to buying a house in Scotland.
Common budgeting mistakes
The classic errors are forgetting ADS on a second home, under-estimating LBTT on a higher-priced house, assuming the survey is free, and leaving no contingency for repairs the Home Report flags. If you are buying and selling at once, remember the overlap costs too, such as a short period of two council-tax bills or bridging interest. Building a realistic figure up front, with a small buffer, prevents a nasty surprise at the date of entry.
All figures reflect the 2026/27 tax year, in which the Scottish Government held LBTT rates, bands and the 8% ADS at their existing levels. If you are selling to fund the purchase and need certainty on timing and budget, a fast auction sale gives you a firm completion date. Start with a free, no-obligation valuation in 60 seconds.
Founder & Director of Scotland Property Auction. Julie has spent over a decade helping Scottish homeowners, landlords and executors sell property quickly at auction — covering Home Reports, missives, repossession and the modern method of auction.
More about Julie →✔ Last reviewed June 2026 by Julie McAndrews. We keep our guides current with Scottish property law and market conditions.