How much stamp duty you pay when buying property in Malaysia — the transfer (MOT) tiers, the loan duty, exemptions, and a worked example you can copy.
General guidance for 2026 — not legal or tax advice. Rates and rules change with each Budget; confirm current figures with LHDN, your state authority or a licensed professional. Just bought? Ask us about renovating →
Stamp duty is a tax on legal documents, governed by the Stamp Act 1949 and administered by LHDN (Lembaga Hasil Dalam Negeri). When you buy property you pay it on two documents: the transfer (MOT/Form 14A) and the loan agreement. It is one of the biggest “hidden” upfront costs of buying, so budget for it early. Unlike renovation costs or furnishing, stamp duty is a one-time unavoidable outlay that hits before you even collect the keys, which is why smart buyers calculate it at the very start of their property search. Understanding how the tiered system works — and knowing about potential exemptions — can make a meaningful difference to how much cash you need to set aside.
| Property price band | Stamp duty rate | Duty on that band |
|---|---|---|
| First RM100,000 | 1% | RM1,000 max |
| RM100,001 – RM500,000 | 2% | Up to RM8,000 |
| RM500,001 – RM1,000,000 | 3% | Up to RM15,000 |
| Above RM1,000,000 | 4% | On the excess |
The duty is charged on the higher of the purchase price or the market value. It is tiered (marginal), so each band is charged at its own rate — not the whole price at the top rate.
If you take a housing loan, the loan agreement is stamped at a flat 0.5% of the loan amount. On a RM450,000 loan that is RM2,250. Cash buyers skip this entirely. The loan stamp duty is payable alongside your legal fees when you sign the loan documents, so factor it into your upfront cash planning.
| Item | Calculation | Amount |
|---|---|---|
| MOT — first RM100k | 1% × 100,000 | RM1,000 |
| MOT — next RM400k | 2% × 400,000 | RM8,000 |
| MOT — next RM100k | 3% × 100,000 | RM3,000 |
| MOT total | RM12,000 | |
| Loan duty | 0.5% × 540,000 | RM2,700 |
| Total stamp duty | RM14,700 |
The government periodically offers stamp-duty exemptions or discounts — commonly for first-time homebuyers up to a price cap, and under specific Budget incentives. These change yearly, so check the current Budget and LHDN announcements (or ask your lawyer) before assuming an exemption applies. When an exemption is in force, it typically covers the MOT duty fully or partially on the qualifying portion, and sometimes the loan duty too. Always obtain written confirmation from your lawyer that a specific incentive applies to your transaction.
| Property price | MOT stamp duty | Loan duty (90% loan) | Total stamp duty |
|---|---|---|---|
| RM300,000 | RM5,000 | RM1,350 | RM6,350 |
| RM500,000 | RM9,000 | RM2,250 | RM11,250 |
| RM600,000 | RM12,000 | RM2,700 | RM14,700 |
| RM800,000 | RM18,000 | RM3,600 | RM21,600 |
| RM1,000,000 | RM24,000 | RM4,500 | RM28,500 |
These figures use the standard tiered scale. First-home exemptions or Budget incentives in a given year can reduce these amounts — verify with LHDN or your lawyer.
On top of stamp duty you pay legal fees for the SPA and loan documents, on a regulated scale (roughly 1% on the first RM500,000, lower above), plus disbursements. Altogether, upfront costs beyond the price are typically 3–5%. See our buying property cost guide → and legal fees guide →.
Your conveyancing lawyer normally handles stamping through LHDN’s STAMPS system as part of the transaction. You can also self-assess and pay via the LHDN stamp duty portal. Keep the stamp certificate — it is proof the document is legally valid. The MOT stamp duty is usually due within 30 days of the instrument being executed, and the loan stamp duty is paid when the loan agreement is signed. Your lawyer will advise on exact timing and collect the funds from you.
Stamp duty on the MOT is generally processed after the SPA is signed and the loan is approved, before or at the time of transfer registration. Your lawyer collects the funds and handles STAMPS submission. The timeline from SPA signing to MOT registration for a completed subsale is typically 3–4 months. For new-launch projects still under a master title, transfer happens when the individual title is issued, which can be years later. Understanding this timeline helps you plan when the stamp-duty cash will be drawn down so you are not caught short between the SPA deposit and the transfer completion. Talk to your lawyer at the outset about the expected timing of each payment milestone.
Stamp duty and legal fees eat into your upfront budget, so plan the renovation realistically. Our renovation cost guide → and condo renovation guide → help you budget, and if it’s a brand-new unit, claim defects first — see defect inspection →.
This guide cites Malaysian legislation and official bodies. Always confirm current rates and rules with the official source:
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