How it is calculated
Transfer (MOT) stamp duty follows this scale:
| Property value | Rate |
|---|---|
| First RM100,000 | 1% |
| RM100,001 – RM500,000 | 2% |
| RM500,001 – RM1,000,000 | 3% |
| Above RM1,000,000 | 4% |
The loan agreement is charged 0.5% of the loan. Duty is based on the higher of the price and the market value.
First-home exemption: full exemption on both the MOT and the loan for Malaysian citizens buying their first residential home up to RM500,000, for SPAs signed from 1 January 2026 to 31 December 2027 (extended in Budget 2026), as announced in Budget 2026 (Finance Act 2025); confirm with LHDN. The exemption is for Malaysian citizens only; permanent residents (PR) pay tiered duty and 0.5% loan duty with no exemption.
Non-citizens: a flat 8% on residential property for instruments from 1 January 2026, as announced in Budget 2026 (Finance Act 2025); confirm with LHDN.
This is an estimate; the actual duty is assessed by LHDN.
Worked example
A RM450,000 home: RM1,000 (1% × RM100,000) + RM7,000 (2% × RM350,000) = RM8,000 MOT duty. A RM400,000 loan is charged RM2,000.
A first home priced at RM480,000 with a RM432,000 loan: stamp duty of RM0.
Why your number may differ
The valuation may be higher than the sale price. LHDN may round differently. Financed insurance premiums are not included, and the rules may change after 2027.