Legal Fees & Stamp Duty Calculator
Calculate your property purchase costs in Malaysia
Sales & Purchase Agreement
Loan Agreement
Understanding Legal Fees for Property Purchases in Malaysia
When purchasing property in Malaysia, buyers typically engage lawyers to handle two key areas — the Sales and Purchase Agreement (SPA) and the loan agreement with the bank. The fees lawyers charge for these services are governed by the Solicitors Remuneration Order 2023.
These professional charges generally cover legal advisory services, document preparation, and representation throughout the transaction. On top of legal fees, there are also disbursement costs such as filing fees and administrative expenses.
Below is a breakdown of how legal fees are calculated for both the SPA and the loan agreement.
1. Sales and Purchase Agreement (SPA) Legal Fees
| Property Value | Fee Rate |
|---|---|
| First RM 500,000 | 1.25% (minimum RM 500) |
| RM 500,001 — RM 7,500,000 | 1% |
| Above RM 7,500,000 | Negotiable, up to 1% |
2. Loan Agreement Legal Fees
| Loan Amount | Fee Rate |
|---|---|
| First RM 500,000 | 1.25% (minimum RM 500) |
| RM 500,001 — RM 7,500,000 | 1% |
| Above RM 7,500,000 | Negotiable, up to 1% |
Both SPA and loan agreement legal fees follow the same tiered structure under the Solicitors Remuneration Order 2023. Buyers may also want to check their home loan eligibility before committing to a purchase.
Stamp Duty Rates for Property Transactions in Malaysia
Stamp duty is a government-imposed tax on legal documents involved in property transactions. Both the SPA and loan agreement are subject to stamp duty, and these costs are borne by the buyer.
The amount payable depends on the type of document and the property's adjudicated value — which is the purchase price or the market value assessed by LHDN (Lembaga Hasil Dalam Negeri), whichever is higher.
Once the SPA is submitted to LHDN for adjudication, the buyer must settle the stamp duty within 30 days. Failure to do so may delay the property transfer process.
1. SPA Stamp Duty Rates
| Adjudicated Value | Stamp Duty Rate |
|---|---|
| First RM 100,000 | 1% |
| RM 100,001 — RM 500,000 | 2% |
| RM 500,001 — RM 1,000,000 | 3% |
| Above RM 1,000,000 | 4% |
2. Loan Agreement Stamp Duty
The stamp duty for loan agreements, including housing loans, is calculated at a flat rate of 0.5% of the total loan amount.
Frequently Asked Questions
1. How does a stamp duty calculator work?
A stamp duty calculator estimates the government tax payable when stamping legal documents for property transactions. In Malaysia, this duty is assessed and collected by the Inland Revenue Board (LHDN).
2. What does a legal fees calculator do?
A legal fees calculator helps property buyers estimate the professional fees payable to lawyers for handling the SPA and loan agreement. These fees are regulated under the Solicitors Remuneration Order 2023 and follow a fixed tiered scale.
3. Are these calculations exact?
The figures provided by this calculator are estimates based on the standard fee schedules. Actual costs may vary depending on specific circumstances, additional disbursements, or negotiations with your solicitor.
Disclaimer
This calculator provides estimates of legal fees and stamp duty for property purchases in Malaysia. The results are for reference purposes only and may not reflect the exact amounts payable. We accept no liability for any loss or damages arising from reliance on the information provided by this tool. For precise figures, please consult a qualified solicitor.