Stamp Duty, MOT, and SPA Calculator
Estimate Your Property Purchase Costs in Malaysia
Use our calculator below to estimate these costs based on your property price, then read on to understand exactly what each charge covers and how it is calculated.
Legal Fee Calculator
Sale & Purchase Agreement · Loan Agreement
Estimate only. Excludes disbursements and SST on professional fees. Solicitors may offer a discount of up to 25% at their discretion.
Stamp Duty Calculator
Sale & Purchase · MOT · Property Transfer
Based on purchase price or market value, whichever is higher. Estimate only.
Stamp Duty Loan
Loan Agreement · Facility Agreement
0.5% of loan amount. First-time buyer exemption applies to residential property ≤ RM500k. Estimate only.
Home Loan Calculator
Estimate your monthly mortgage installment
Based on standard reducing balance method. Actual installment depends on your bank's terms. Consult your banker for a precise figure.
Disclaimer: This page is intended to give you a general idea of the costs involved in a property transaction in Malaysia. The calculations are estimates only. Actual costs may differ depending on the specifics of your transaction. We do not accept liability for any loss or damage resulting from reliance on the information provided here. For advice tailored to your situation, please contact us to consult a qualified property lawyer.
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What Are Stamp Duty, MOT, and SPA Fees?
When you purchase property in Malaysia, three significant cost items arise beyond the purchase price itself:
- stamp duty on the transfer of ownership;
- legal fees for the preparation of the Sale and Purchase Agreement; and
- legal fees for the Memorandum of Transfer
Each serves a distinct legal purpose, and each is calculated differently. Understanding these costs upfront helps you plan your finances accurately and avoid surprises at the point of completion.
Stamp Duty
How Is Stamp Duty Calculated?
Stamp duty on a property transfer is calculated based on the higher of the purchase price or the market value of the property, whichever is greater.
| Purchase Price / Market Value | Stamp Duty Rate |
|---|---|
| First RM100,000 | 1% |
| RM100,001 – RM500,000 | 2% |
| RM500,001 – RM1,000,000 | 3% |
| Above RM1,000,000 | 4% |
Stamp Duty Exemptions
Certain buyers and transactions may qualify for stamp duty exemptions or remissions under Malaysian law. Common exemptions include:
First-Time Homebuyers
First-time homebuyers purchasing a residential property priced at RM500,000 and below are eligible for a full stamp duty exemption on the instrument of transfer, subject to conditions. This exemption is available for Malaysian citizens only and applies to the first property purchased.
Transfers Between Family Members
Transfers of property between spouses are fully exempt from stamp duty. Transfers between parents and children attract a remission of 50% on the stamp duty otherwise payable.
Note: Exemption eligibility should always be verified with a qualified lawyer or the Inland Revenue Board before proceeding, as conditions and qualifying thresholds are subject to change.
Sale and Purchase Agreement (SPA)
SPA legal fees are the charges payable to your solicitor for preparing or reviewing the Sale and Purchase Agreement and handling the conveyancing process on your behalf. These fees are regulated by the Solicitors’ Remuneration Order 2023 and are calculated based on the purchase price of the property.
How Are SPA Legal Fees Calculated?
These fees are regulated by the Solicitors’ Remuneration Order 2023 and are calculated based on the purchase price of the property.
| Purchase Price | Legal Fee Rate |
|---|---|
| First RM500,000 | 1.25% |
| Above RM500,000 | 1.0% |
| Minimum fee | RM500 |
Note: The above reflects the scale fee. A solicitor may charge a reduced fee at their discretion, but may not charge above the prescribed scale.
Memorandum of Transfer (MOT)
MOT legal fees are the charges payable to your solicitor for preparing the Memorandum of Transfer and handling its presentation and registration at the Land Office. Like SPA legal fees, MOT fees are governed by the Solicitors’ Remuneration Order 2023 and are calculated on the same scale based on the purchase price.
How Are MOT Legal Fees Calculated?
MOT legal fees follow the same scale as SPA legal fees under the Solicitors’ Remuneration Order 2023:
| Purchase Price | Legal Fee Rate |
|---|---|
| First RM500,000 | 1.25% |
| Above RM500,000 | 1.0% |
| Minimum fee | RM500 |
Frequently Asked Questions
What is the difference between stamp duty and legal fees?
Stamp duty is a government tax paid to the Inland Revenue Board of Malaysia and is calculated based on the value of the property being transferred. Legal fees are charges paid to your solicitor for professional services rendered in preparing and completing the transaction. They are entirely separate charges and are both payable in a standard property purchase.
Do I pay both SPA and MOT legal fees?
In most property transactions, yes. The SPA legal fee covers the preparation of the sale contract, while the MOT legal fee covers the preparation and registration of the transfer instrument. Both are governed by the same scale under the Solicitors’ Remuneration Order 2023 and are typically billed separately by your solicitor.
When is stamp duty payable?
Stamp duty on the MOT must be paid before the document can be presented for registration at the Land Office. In practice, your solicitor will assess and arrange payment of stamp duty on your behalf as part of the conveyancing process. Late payment of stamp duty attracts penalties under the Stamp Act 1949.
Am I eligible for a stamp duty exemption as a first-time buyer?
First-time homebuyers who are Malaysian citizens purchasing a residential property may be eligible for a stamp duty exemption, subject to conditions including the purchase price threshold and the buyer having no prior property ownership. Eligibility should be confirmed with your solicitor before proceeding, as the applicable conditions depend on the current exemption order in force at the time of your purchase.
Are SPA and MOT legal fees negotiable?
The Solicitors’ Remuneration Order 2023 prescribes a scale of maximum fees that solicitors may charge. Solicitors may charge below the scale at their discretion but may not exceed it. It is worth discussing fees with your solicitor before engaging them, particularly for higher-value transactions.
Do I need my own lawyer for a property purchase, or can I use the developer's lawyer?
For primary market purchases from a developer, the SPA is prepared by the developer’s solicitor. While you are not legally required to appoint your own lawyer, doing so is strongly advisable. Your own lawyer reviews the agreement independently in your interest, advises you on the terms and implications, and represents you throughout the transaction.
Does stamp duty apply to property transfers between family members?
Transfers between spouses are fully exempt from stamp duty. Transfers between parents and children qualify for a 50% remission on the stamp duty otherwise payable. Other transfers between family members are generally subject to standard stamp duty rates unless a specific exemption applies.
What happens if I do not pay stamp duty on time?
Late payment of stamp duty attracts penalties under the Stamp Act 1949. The penalty amount depends on how late the payment is made — penalties range from a fixed sum to a percentage of the duty outstanding. Your solicitor will manage the stamp duty assessment and payment process to ensure deadlines are met.
Can a lawyer help me reduce my overall property purchase costs?
A lawyer cannot reduce statutory charges such as stamp duty, which are fixed by legislation. However, an experienced property lawyer adds value by ensuring the transaction is properly structured, identifying any applicable exemptions you may be entitled to, and protecting you from costly errors or disputes that could arise from poorly drafted agreements or overlooked legal issues.
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