Stamp Duty Ireland: Rates, New Build Rules, and First-Time Buyer Exemptions

Before you sign anything, you need to know what Revenue will charge you just for completing the purchase. Stamp duty on residential property in Ireland is mandatory, non-negotiable, and — despite what many buyers assume — applies to first-time buyers with no exemption or relief.

This is the complete picture for 2026.

The Stamp Duty Rates on Residential Property

Stamp duty is calculated on the purchase price of the property on a banded basis:

• 1% on the portion of the purchase price up to €1 million
• 2% on the portion between €1 million and €1.5 million
• 6% on any portion above €1.5 million

For the vast majority of first-time buyers, only the 1% band is relevant. A property purchased for €350,000 generates a stamp duty bill of €3,500. A €450,000 property generates €4,500. The calculation is straightforward — 1% of the purchase price, full stop, for everything under €1 million.

No First-Time Buyer Exemption in Ireland

This is the question that comes up constantly, and the answer has not changed. Ireland does not offer stamp duty relief, exemptions, or reduced rates for first-time buyers. Every residential purchase pays the standard rates regardless of whether you've owned a property before.

This is a significant departure from the UK system, where first-time buyers benefit from stamp duty land tax (SDLT) relief. In Ireland, there is no equivalent. The €3,500 stamp duty on a €350,000 purchase must come from the buyer's own cash reserves — it cannot be borrowed as part of the mortgage.

New Build Properties: The VAT Exclusion Rule

There is one meaningful calculation difference for new-build properties. Stamp duty on a newly built home is calculated on the base price excluding VAT, not the total VAT-inclusive price you pay.

New residential properties attract VAT at 13.5%. If the total VAT-inclusive price is €400,000, the base price excluding VAT is approximately €352,422 (400,000 / 1.135). Your stamp duty is calculated on €352,422 — approximately €3,524 rather than the €4,000 you'd pay if calculated on the full purchase price.

The saving is modest in absolute terms, but it's legitimate and worth knowing. Your solicitor handles the stamp duty return and will calculate the correct figure based on the net price.

How to Calculate Your Stamp Duty

For any property under €1 million, the formula is simple:

Purchase price × 0.01 = stamp duty

If you're buying a new build, your solicitor will divide the purchase price by 1.135 first, then apply the 1% rate.

Example calculations:

When Stamp Duty Must Be Paid

Your solicitor files a stamp duty return with Revenue and makes the payment on closing day — the day funds transfer and you get your keys. The money must be available in the conveyancing account at that point. This is not a payment you can defer, arrange on installments, or pay after moving in.

Because it comes due on closing day alongside legal fees, Land Registry registration fees, and other disbursements, many first-time buyers miscalculate how much cash they actually need available at that point. On a €350,000 purchase, the total out-of-pocket cash requirement on closing day includes the stamp duty (€3,500), solicitor's professional fee and VAT (approximately €2,460), PRA registration fees (€875), pre-closing searches and bank valuation (approximately €400), and the balance of any deposit not already paid to the developer or held by the vendor's solicitor.

The Complete Transaction Cost Picture

Stamp duty is just one component of the closing costs. For a €350,000 second-hand purchase funded by a €315,000 mortgage, the total non-mortgage cash requirement looks like this:

• 10% deposit: €35,000
• Stamp duty: €3,500
• Solicitor's fee plus VAT: ~€2,460
• Land Registry transfer and mortgage registration: €875
• Pre-closing searches: €250
• Structural survey: €450
• Bank valuation: €150
• Home insurance and mortgage protection (first year): ~€650
• Sundry (Commissioner for Oaths, admin): ~€150

Total cash needed excluding the deposit: approximately €8,485. Total cash needed including the deposit: approximately €43,485.

This is why financial advisors stress the importance of having more than just the 10% deposit saved before you start bidding. Running out of cash at the closing stage because you didn't budget for stamp duty and legal fees is one of the most common and avoidable problems in Irish property transactions.

Land Registry Fees: The Other Mandatory Cost

Land Registry (Property Registration Authority) fees are separate from stamp duty and are often confused with it. These fees cover registering the transfer of ownership and noting the mortgage charge on the property's folio:

• Properties up to €50,000: €400
• €50,001 to €200,000: €500
• €200,001 to €400,000: €700
• Over €400,000: €800
• Mortgage registration: €175 flat fee

For a €350,000 purchase with a mortgage, you pay €700 plus €175 — a total of €875 to the Property Registration Authority.

The Ireland First-Time Home Buyer Guide includes a complete cost worksheet you can fill in for your specific purchase price, letting you see exactly what cash you need available before you sign any contracts.

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