Written by PropertyGenie
Last updated: 27 October 2026
Buying your first home in the next few years just got a little cheaper. Budget 2027, tabled in the Dewan Rakyat on 9 October 2026, proposes to extend stamp duty relief for first-time buyers to 2030 and widen it to homes priced up to RM750,000. It also adds RM20 billion in financing guarantees aimed at self-employed buyers.
Here is what the property measures mean for you, whether you are buying your first home, waiting on an abandoned project, or watching the Johor market.
Malaysian citizens buying their first home priced up to RM500,000 will continue to pay zero stamp duty on both the Memorandum of Transfer (MOT) and the loan agreement. The relief covers sale and purchase agreements (SPAs) signed from 1 January 2027 to 31 December 2030.
The bigger change is a new tier. For first homes priced up to RM750,000, the first RM500,000 is fully exempt and the remaining amount gets a 50% exemption. Under the current rules, which run until end-2027, homes above RM500,000 get no relief at all.
What this could save on the MOT (estimates based on standard stamp duty rates):
| Home price | MOT stamp duty (normal) | Under Budget 2027 proposal | Saving |
|---|---|---|---|
| RM400,000 | RM7,000 | RM0 | RM7,000 |
| RM500,000 | RM9,000 | RM0 | RM9,000 |
| RM650,000 | RM13,500 | RM2,250 | RM11,250 |
| RM750,000 | RM16,500 | RM3,750 | RM12,750 |
The loan agreement stamp duty (normally 0.5% of the loan amount) gets the same treatment, so the actual savings are higher. Speak to your lawyer for the exact figure on your purchase.
The government is providing up to RM20 billion in housing financing guarantees through Skim Jaminan Kredit Perumahan (SJKP), targeting 80,000 first-time buyers. The focus is on people without a fixed monthly salary, such as gig workers, freelancers and small business owners.
If banks have turned you down because you can't show a regular payslip, SJKP is worth asking about. Under the scheme, the government guarantees part of your loan, which makes banks more willing to approve it.
The 100% stamp duty exemption for reviving abandoned housing projects is being reinstated from 2027 to 2030. It covers developers, contractors and original buyers involved in the rescue. The government's target is zero abandoned housing projects by 2030. Industry group REHDA said the exemption should make it easier to restart stalled projects and give affected buyers some relief.
On affordable housing, nearly RM1 billion is allocated to Rumah Mesra Rakyat (RMR) and Program Residensi Rakyat (PRR). This includes four new projects in Kulai (Johor), Nilai (Negeri Sembilan), Paya Rumput (Melaka) and Pertang. RM500 million of this goes to RMR, which targets about 6,800 new homes for people who own land but can't afford to build on it.
Strata residents also get some attention: more than RM40 million is set aside for lift repairs, upgrades and replacements in strata buildings.
Johor features prominently in Budget 2027. The Budget named the Elevated Autonomous Rapid Transit (e-ART) as the main solution to Johor Bahru's traffic congestion. Better public transport within JB could lift demand for homes along the planned routes, especially for buyers who work in the city centre.
The Johor-Singapore Special Economic Zone (JS-SEZ) continues to draw investment, with RM132 billion recorded from 2025 to June 2026. Together with the RTS Link to Singapore, this keeps Johor on the radar for both homebuyers and investors. Developers such as S P Setia have welcomed the continued focus on Johor as an economic and investment corridor.
For first-time buyers in Johor, the expanded stamp duty relief matters a lot. Many new landed homes in areas like Kulai and Skudai fall within the RM500,000 to RM750,000 range, which now qualifies for partial relief. Kulai is also one of the four locations for a new affordable housing project.
Keep in mind that these are Budget proposals. The tax measures still need to pass through the Finance Bill, and the final details may change. Property consultancy Knight Frank described the Budget as a constructive platform for the market but said delivery will be the real test.
Is the first-home stamp duty exemption extended in Budget 2027? Yes. Budget 2027 proposes to extend the exemption to SPAs signed until 31 December 2030. Homes up to RM500,000 get a full exemption, and homes up to RM750,000 get a partial one.
Who qualifies for the exemption? Malaysian citizens buying their first residential property. Check the final conditions once the Finance Bill is passed and gazetted.
How much stamp duty do I pay on a RM700,000 first home? Under the proposal, the first RM500,000 is exempt and the remaining RM200,000 gets 50% relief. MOT stamp duty drops from about RM15,000 to about RM3,000.
When does the new exemption take effect? It is proposed to apply to SPAs signed from 1 January 2027, subject to the Finance Bill.
What is SJKP and who can apply? Skim Jaminan Kredit Perumahan (SJKP) is a government scheme that guarantees housing loans for people without a fixed income. Budget 2027 adds RM20 billion in guarantees, targeting 80,000 first-time buyers.
This article is for general information only and is not financial or legal advice.