Stamp Duty for Property Malaysia 2026: Calculator, Rates & Exemptions Explained

Stamp duty is often the single biggest overlooked cost when buying a property in Malaysia. A first-time buyer picking up a RM500,000 condominium can face a stamp duty bill of close to RM9,000 for the Memorandum of Transfer alone before even adding legal fees. This 2026 guide breaks down the tiered rates currently in force, who qualifies for an exemption, and how to estimate your total stamping cost before you sign anything.

Stamp duty is calculated on a tiered, ad valorem basis on every property purchase in Malaysia.

What is Stamp Duty on Property?

Stamp duty is a tax levied by Lembaga Hasil Dalam Negeri (LHDN) on legal documents that transfer ownership or create security over an asset. For a property purchase in Malaysia you will normally deal with two stamping documents: the Memorandum of Transfer (MOT) that transfers title from seller to buyer, and the Loan Agreement that your bank uses to secure its lending.

Ad Valorem Stamp Duty Rates for Property Transfer (MOT) 2026

The MOT is stamped based on the property purchase price or market value, whichever is higher. Malaysia uses a tiered progressive structure:

Property Value Band	Stamp Duty Rate	Cumulative Duty
First RM100,000	1%	RM1,000
RM100,001 – RM500,000	2%	RM9,000 (on RM500K total)
RM500,001 – RM1,000,000	3%	RM24,000 (on RM1M total)
Above RM1,000,000	4%	RM24,000 + 4% on excess

Worked Example: RM750,000 condominium

• First RM100,000 × 1% = RM1,000
• Next RM400,000 × 2% = RM8,000
• Next RM250,000 × 3% = RM7,500
• Total MOT stamp duty = RM16,500

Stamp Duty on Loan Agreement

Loan documents are stamped at a flat 0.5% of the loan amount. For a 90% margin of finance on a RM750,000 property, the loan is RM675,000 and the loan stamp duty is RM3,375. Applicable bank charges and disbursement fees are separate from this.

First-Time Homebuyer Exemption (i-MILIKI / Budget 2026 Stamp Duty Exemption)

As part of recent Budget exercises, the government has continued to offer full or partial stamp duty exemptions for Malaysian first-time home buyers. Key 2026 parameters to verify at lhdn.gov.my and kpkt.gov.my before your SPA date:

• Properties priced up to RM500,000 typically receive 100% exemption on both MOT and loan stamp duty for first-time buyers.
• Properties priced RM500,001 to RM1,000,000 historically received partial exemption on the first RM500,000 of the transaction value.
• Exemption requires the buyer to be a Malaysian citizen purchasing in their individual name and to not have owned a residential property previously.
• The SPA must be executed within the window specified by Budget 2026 gazette — keep a copy of the gazette notification for your lawyer.

Who Pays What — Buyer vs Seller

In a standard Malaysian property transaction:

• Buyer pays: MOT stamp duty, loan stamp duty, legal fees on SPA and loan agreement, disbursements.
• Seller pays: Real Property Gains Tax (RPGT) where applicable, agent commission, outstanding assessment and quit rent up to completion.

How to Save on Stamp Duty Legally

• Time your purchase around Budget announcements — announced exemptions often apply only to SPAs signed in specific windows.
• Buy as a single purchaser if only one spouse is a first-time buyer; joint purchase with a seasoned owner disqualifies the exemption.
• Prefer a subsale property priced just under RM500,000 if you want the cleanest first-home exemption path. Browse KL listings, Selangor, or Penang.
• Ensure the SPA reflects the actual transacted price; artificially lowering to cut duty is tax evasion and LHDN routinely triggers audits using JPPH valuation data.

Stamp Duty Calculator — Quick Formula

Plug your numbers into this simple formula:

Total stamp duty ≈ (MOT tiered duty on purchase price) + (0.5% × loan amount)

Remember to add legal fees (approximately 1% for the first RM500K on SPA plus another 0.5% on the loan agreement), disbursements (around RM1,500–RM3,000), and the real property valuation fee if applicable.

Sample Stamp Duty by Property Price

Property Price	MOT Stamp Duty (no exemption)	After First-Home Exemption
RM300,000	RM5,000	RM0
RM500,000	RM9,000	RM0
RM750,000	RM16,500	~RM7,500 (partial)
RM1,000,000	RM24,000	~RM15,000 (partial)
RM1,500,000	RM44,000	No exemption

FAQ

Does GST or SST apply on stamp duty?

No. Stamp duty is a separate transfer tax and is not subject to SST.

Can I pay stamp duty in instalments?

No. Stamp duty must be paid in full before the documents are stamped by LHDN. Your lawyer will usually collect payment from you before submitting to STAMPS.

What happens if the property is bought under a company name?

Company purchases pay the full tiered stamp duty without any first-home exemption and may be subject to a higher flat rate on transfer to or from non-citizens depending on the state.

Do foreigners pay extra stamp duty?

Some states impose an additional flat 4% non-citizen surcharge on top of standard tiers. KLCC, Mont Kiara and Bangsar are popular MM2H foreigner destinations — verify the surcharge rate with your conveyancing lawyer.

Plan your purchase

Browse properties under RM500K for full stamp duty exemption — Kuala Lumpur, Selangor, Johor and Penang.

Talk to a Property Genie agent — Get a personalised affordability calculation including all stamp duty, legal fees and bank disbursements before you sign anything. Find an agent →