Short answer: For a Malaysian buyer, stamp duty on the transfer is charged in bands: 1% on the first RM100,000, 2% up to RM500,000, 3% up to RM1 million and 4% above that. Loan stamp duty is 0.5% of the loan. Legal fees follow the 2023 Solicitors’ Remuneration Order, starting at 1.25% on the first RM500,000, plus 6% service tax. First-time Malaysian buyers of homes up to RM500,000 are exempt from transfer and loan stamp duty for agreements signed up to 31 December 2027 (Skrine, January 2026). Non-citizens pay a flat 8% on transfer and get no exemption.

Last verified: 7 October 2026. This is a planning guide, not legal, tax or financial advice. Rules and prices change, so check the official sources and ask your lawyer for a written quote.

What costs come on top of the property price?

Budget for these items besides the price and your deposit:

The general checklist is in our buying costs guide.

How is transfer stamp duty calculated for Malaysians?

Reported rates for the memorandum of transfer (PropCashflow, updated July 2026; iProperty) are applied per band, not to the whole price:

Property valueRate
First RM100,0001%
RM100,001 to RM500,0002%
RM500,001 to RM1,000,0003%
Above RM1,000,0004%

Worked example, RM500,000 property: 1% of RM100,000 is RM1,000, plus 2% of RM400,000 is RM8,000, so RM9,000 before any exemption.

Worked example, RM800,000 property: RM1,000, plus RM8,000, plus 3% of RM300,000 which is RM9,000, so RM18,000.

What is the loan stamp duty?

Loan agreement stamp duty is 0.5% of the loan or financing amount, for conventional and Islamic financing alike (PropCashflow). On a RM400,000 loan that is RM2,000.

Who is exempt as a first-time buyer?

Two exemption orders cover Malaysian citizens buying a first residential property with a market value up to RM500,000: P.U.(A) 53/2021 for the transfer and P.U.(A) 54/2021 for the loan agreement. Skrine reports both were extended to apply to agreements executed up to 31 December 2027, with the amendments gazetted on 23 December 2025.

Conditions apply, such as it being your first residential property and the property price limit. Your lawyer will check eligibility. It does not apply to foreign buyers.

What do foreign buyers pay?

A flat 8% on the transfer for non-citizens, which has replaced the banded rates and has no first-home exemption (PropCashflow; NST, April 2026). In Johor there is also a state levy. See Johor property for Singaporean buyers and foreigners buying property in Johor. For a RM1 million purchase, that is RM80,000 of transfer duty alone.

The Solicitors’ Remuneration Order 2023 took effect on 15 July 2023. Reported scale for sale and purchase transactions (Business Today, July 2023):

Examples reported: RM6,250 on a RM500,000 property, and RM12,250 on RM1.1 million. Service tax of 6% applies to professional fees (PropCashflow), and lawyers may offer discounts, so ask for a written quote. Whether and how the scale applies to the loan agreement can differ, so confirm with your lawyer.

What disbursements should I expect?

PropCashflow lists typical out-of-pocket items: land title search RM60 to RM150, bankruptcy search RM8 to RM12 per person, registration fee RM50 to RM1,500 depending on state and value, courier RM100 to RM300 and miscellaneous items RM60 to RM230, totalling roughly RM1,500 to RM3,000 excluding the transfer stamp duty. Treat these as estimates.

What is a realistic total for a RM500,000 first home?

For a Malaysian citizen buying a first home at RM500,000 with a RM450,000 loan, transfer and loan stamp duty may be exempt. The remaining costs are mainly legal fees, service tax and disbursements. For a second property at the same price, transfer duty would be about RM9,000 and loan duty RM2,250 on the same loan. Ask your lawyer and bank for a full written breakdown before you sign.

Try the tool: estimate your own numbers with the property cost calculator, or see all buyer tools.

Frequently asked questions

How much is stamp duty on a RM500,000 property in Malaysia?

For a Malaysian buyer without an exemption, RM9,000 on transfer (1% on the first RM100,000 and 2% on the next RM400,000), plus 0.5% of any loan.

Is there a stamp duty exemption for first-time buyers?

Yes, for Malaysian citizens buying a first home up to RM500,000, for agreements executed up to 31 December 2027, per the extended orders reported by Skrine.

What is the stamp duty for foreigners in Malaysia?

A flat 8% on the transfer from 1 January 2026, as reported by NST and PropCashflow. There is no first-home exemption, and Johor adds a state levy.

Under the 2023 scale, 1.25% on the first RM500,000 and 1% on the next portion up to RM7.5 million, plus 6% service tax and disbursements. Lawyers may discount.

Do I pay stamp duty on my home loan?

Yes, 0.5% of the loan amount, unless you qualify for the first-home exemption.

Sources