The short answer
As at October 2026, a Malaysian citizen or permanent resident pays stamp duty on the transfer of a property at 1% on the first RM 100,000, 2% on the next RM 400,000, 3% on the next RM 500,000 and 4% on anything above RM 1,000,000. On top of that comes 0.5% of the loan amount on the loan agreement. A buyer who is neither a citizen nor a permanent resident pays a flat 8% on the transfer of a residential property.
A Malaysian citizen buying a first home at RM 500,000 or below pays no stamp duty on either document, for agreements signed up to 31 December 2027.
To run your own price, use the stamp duty calculator.
The rates (checked, updated October 2026)
Duty on the transfer (Memorandum of Transfer or Deed of Assignment)
| Slice of the price | Citizens and permanent residents |
|---|---|
| First RM 100,000 | 1% |
| RM 100,001 to RM 500,000 | 2% |
| RM 500,001 to RM 1,000,000 | 3% |
| Above RM 1,000,000 | 4% |
Flat rates for foreign buyers
| Buyer | Property | Rate on the whole price |
|---|---|---|
| Not a citizen and not a permanent resident, or a foreign company | Residential (house, condominium, apartment, flat, serviced apartment or SOHO used only as a dwelling) | 8%, for transfers from 1 January 2026 |
| Not a citizen and not a permanent resident, or a foreign company | Other property, such as a shop, office or land | 4% |
Duty on the loan agreement
| Document | Rate |
|---|---|
| Loan agreement in ringgit | 0.5% of the loan amount (RM 5 per RM 1,000 or part of it) |
Three points that apply to every row:
- The duty is charged on the price or the market value, whichever is higher.
- The tiers are slices. A RM 700,000 home pays 1% on the first slice, 2% on the second and 3% only on the last RM 200,000.
- Stamp duty is charged on the document, so the rate that matters is the one in force when that document is stamped.
Worked examples
Loan duty below assumes a 90% loan. That margin is my assumption for the example; your bank decides the actual figure.
Malaysian citizen or permanent resident
| Price | Duty on the transfer | How it adds up | Loan (90%) | Duty on the loan | Total |
|---|---|---|---|---|---|
| RM 500,000 | RM 9,000 | 1,000 + 8,000 | RM 450,000 | RM 2,250 | RM 11,250 |
| RM 700,000 | RM 15,000 | 1,000 + 8,000 + 6,000 | RM 630,000 | RM 3,150 | RM 18,150 |
| RM 1,000,000 | RM 24,000 | 1,000 + 8,000 + 15,000 | RM 900,000 | RM 4,500 | RM 28,500 |
| RM 1,500,000 | RM 44,000 | 1,000 + 8,000 + 15,000 + 20,000 | RM 1,350,000 | RM 6,750 | RM 50,750 |
A Malaysian citizen buying a first home at RM 500,000 pays RM 0 in place of the RM 11,250 in the first row, if the conditions in the next section are met.
Foreign buyer of a residential property (flat 8%)
| Price | Duty on the transfer | Duty on a 90% loan, if any | Total |
|---|---|---|---|
| RM 500,000 | RM 40,000 | RM 2,250 | RM 42,250 |
| RM 700,000 | RM 56,000 | RM 3,150 | RM 59,150 |
| RM 1,000,000 | RM 80,000 | RM 4,500 | RM 84,500 |
| RM 1,500,000 | RM 120,000 | RM 6,750 | RM 126,750 |
The first two rows are there for the arithmetic. In practice a foreign buyer also has to meet a minimum purchase price, which is RM 1,000,000 or more in most places. See minimum price for foreigners by state. The loan for a foreign buyer is set by the bank and may be lower than 90%, in which case the loan duty is smaller than shown.
The first-home exemption (checked, updated October 2026)
| Condition | What it says |
|---|---|
| Who | An individual who is a Malaysian citizen |
| What is exempt | 100% of the stamp duty on the transfer and on the loan agreement |
| Price limit | The home is worth not more than RM 500,000 |
| Dates | Sale and purchase agreement signed from 1 January 2021 to 31 December 2027 |
| First home | You have never owned a residential property, alone or jointly, including one received by inheritance or as a gift |
| How many | One unit only |
Two things to raise with your lawyer before you rely on it:
- The declaration form used for this exemption asks you to confirm that the home is not a SOHO, SOFO, SOVO or serviced apartment. If your unit is one of these, ask your lawyer whether the exemption will be given.
- A home priced even slightly above RM 500,000 does not qualify. As at October 2026 I have not found a current exemption for first homes priced above RM 500,000.
Foreign buyers: what changed in 2026
Until the end of 2025 a foreign buyer paid a flat 4% on the transfer of any property. For residential property the flat rate is now 8%, for transfers from 1 January 2026. It applies to an individual who is not a Malaysian citizen and not a permanent resident, and to foreign companies. Other property stays at 4%.
If you signed your sale and purchase agreement before 2026 and the transfer will only be stamped later, ask your lawyer which rate applies to you. I do not have a confirmed answer for that case.
For the full picture for overseas buyers, read foreigners buying property in Malaysia, and for buyers from Taiwan, buying property in Malaysia from Taiwan.
When you pay it
- Loan agreement: stamped when you sign the loan documents, so this duty is paid early.
- Transfer: stamped when the transfer document is signed. For a completed home with a title, that is during the purchase. For a home bought under construction, it is usually when the strata title is issued, which can be some years after you sign.
- Who handles it: your lawyer submits the documents for stamping and collects the duty from you.
What stamp duty is not
Stamp duty is paid when you buy. The tax on the gain when you sell is a different one: see RPGT rates in 2026. For the wider list of charges on a property, see Malaysian property taxes explained. To see what income a purchase needs, see how much salary to buy a house.
Check before you sign
The figures on this page were checked on 3 October 2026. They can change with each Budget, and this page is not tax or legal advice; confirm the duty for your purchase with your lawyer or LHDN before signing. For help with a specific property, WhatsApp Shyan Yee (REN 46305, IQI Realty) at +60 17-279 8932.
Frequently Asked Questions
How much is stamp duty on a RM 500,000 house in Malaysia?
For a Malaysian citizen or permanent resident, the duty on the transfer is RM 9,000 (1% on the first RM 100,000 and 2% on the next RM 400,000). The loan agreement adds 0.5% of the loan, which is RM 2,250 on a RM 450,000 loan. A Malaysian citizen buying a first home at RM 500,000 or below pays neither, under the first-home exemption for agreements signed up to 31 December 2027.
What are the stamp duty rates on a property transfer in 2026?
As at October 2026, 1% on the first RM 100,000, 2% on the amount from RM 100,001 to RM 500,000, 3% on the amount from RM 500,001 to RM 1,000,000 and 4% on anything above RM 1,000,000. The duty is worked out on the price or the market value, whichever is higher.
How much stamp duty do foreigners pay on property in Malaysia?
A buyer who is neither a Malaysian citizen nor a permanent resident, and a foreign company, pays a flat 8% on the transfer of a residential property, for transfers from 1 January 2026. On a RM 1,000,000 home that is RM 80,000. For other property, such as a shop or an office, the flat rate is 4%.
Do permanent residents pay the 8% foreign buyer rate?
No. The flat rate applies to a person who is not a citizen and not a permanent resident, and to foreign companies. Permanent residents pay the same 1% to 4% tiers as citizens. The first-home exemption, however, is for Malaysian citizens only.
How much is stamp duty on the loan agreement?
0.5% of the loan amount (RM 5 for every RM 1,000 or part of it). A RM 630,000 loan carries RM 3,150. It is paid by every borrower, local or foreign, unless the first-home exemption applies.
Is there still a stamp duty exemption for first-time buyers?
Yes. A Malaysian citizen who has never owned a residential property pays no stamp duty on the transfer and on the loan agreement for a first home worth RM 500,000 or less, where the sale and purchase agreement is signed between 1 January 2021 and 31 December 2027. A home received earlier by inheritance or as a gift counts as having owned one.
Is stamp duty based on the purchase price or the market value?
On whichever is higher. If the valuation used for stamping is above the price in your agreement, the duty follows the valuation.
When is stamp duty paid?
It is paid when the documents are stamped, which your lawyer handles. The duty on the loan agreement is paid when the loan documents are signed. The duty on the transfer is paid when the transfer document is stamped; for a home bought under construction that is usually when the title is ready, which can be years after you sign.
How much stamp duty on a RM 1 million property?
RM 24,000 on the transfer for a citizen or permanent resident, plus RM 4,500 on the loan agreement if you borrow RM 900,000. A foreign buyer of a residential property pays RM 80,000 on the transfer, plus the same 0.5% on any loan.
Written by
REN 46305 · IQI Realty Sdn Bhd · Kuala Lumpur
Licensed real estate negotiator focused on new launches in Kuala Lumpur, Selangor and Johor Bahru. Articles draw on developer material and site visits; prices and rules change, so confirm the latest before you buy.
Related articles
- RPGT Malaysia 2026: Rates, Exemptions and How to File
- How Much Salary to Buy a House in Malaysia (2026)
- Minimum Property Price for Foreigners in Malaysia by State
- Malaysian Property Taxes: The Five You Will Meet
- Buying Property in Kuala Lumpur from Taiwan: A Guide
- The Ultimate Guide to Foreigner Property Ownership in Malaysia (2026)
Need Personalized Advice on Malaysian Real Estate?
Speak with licensed senior agent Shyan Yee (REN 46305) for MM2H property consultations, state consent processing, and curated project shortlist.
WhatsApp Shyan Yee (+60 17-279 8932)