Legal Fees for Sale and Purchase Agreement
Legal fees for drawing up the Sale and Purchase to completion of transfer depends on the property value as set out in the Sales and Purchase Agreement or the market value as determined by Valuation Department.

Purchase from individual/ public action/ developer etc

Value of property

Legal fees

1st RM100,000

1% of property value (min RM200)

Next RM4.9million

0.5% of property value

Thereafter

0.25% of property value

 

Purchase from developer with a standard S&P Agreement

Value of property

Legal fees

Below RM30,000

RM120

RM30,001 - RM100,000

1% less 25%

1st RM100,000

1% of property value

Next RM4.9 million

0.5% of property value

Next RM5 million

0.25% of property value

Next RM10million

Negotiable but not exceeding 0.25% of the excess amount of RM10 million

In addition there is also a 5% service tax on legal fee and lawyers' disbursements.

 

Legal fees for Loan Documentation

Purchase from individual/ public action/ developer etc

Principal Instruments (Loan Agreements):

Loan sum

Legal fees

1st RM100,000

1% of loan sum (min RM200)

Next RM4.9million

0.5% of loan sum

Thereafter

0.25% of property value

 

For subsidiary Instruments (Collateral Documents):

Within section 4(3) of the Stamp
Act 1949

10% of full scale for each principal instrument

 

Purchase from developer with a standard S&P Agreement

Loan sum

Legal fees

Below RM30,000

RM120

RM30,001 - RM100,000

1% of loan sum less 25%

All legal fees are subject to 5% service tax

 

Stamp Duty for S&P Agreement

Value of Property

Stamp Duty

1st RM100,000 subsequent

1%

RM 100,001 - RM 500,000 subsequent

2%

RM 500,001 - RM 2million

3%

Above RM 2million

4%

 

Stamp Duty for Loan Agreement
Stamp duty for the Loan Document is RM2.50 for each RM500 or part thereof of the loan amount

Stamp Duty for transfer of house title

Value of Property

Stamp Duty

1st RM100,000 subsequent

1%

Next RM400,000

2%

Next RM1.5 million

3%

Thereafter

4%

 

Conditions for registration of residential properties for purpose of stamp duty exemption

No

Item

Details

1.

Exemption Period

Subject to Stamp Duty (Exemption) (No.7) Order 2002 (P.U.(A)71/21.2.2002), Stamp Duty is exempted for residential properties which are sold during the period between 1 January 2002 to 30 June 2002.

2.

Eligibility for Exemption

Only ‘residential properties', defined as houses, condominium units, apartments and flats built as a dwelling house – with valid developer's licence and advertisement & sale permit (where applicable) are eligible to register;

 

It must be a sale from a developer to a purchaser;

 

The Sale & Purchase Agreement is executed during the period between 1 January 2002 to 30 June 2002;

 

Eligible properties in Peninsular Malaysia must be registered with REHDA Malaysia. Eligible properties in Sarawak and Sabah must be registered with Sarawak HDA and/or Sabah HDA respectively;

 

The stamp duty exemption is applicable to the following instruments:-

 

- Sale & Purchase Agreement executed between the purchaser and the developer on or after 1 January 2002 but not later than 30 June 2002;

 

- All instruments affecting the transfer of title of the property from the developer to the purchaser named in the Sale & Purchase Agreement;

 

- Documents for Securing Loans.

3.

Categories of Eligible Properties

Only residential properties, defined as houses, condominium units, apartments and flats built as a dwelling house – with valid developer's licence and advertisement & sale permit are eligible to participate.

 

All other property types are not included in this exercise.

4.

Registration Exercise

All interested developers with residential properties in Peninsular Malaysia may register their properties with REHDA Secretariat by completing the prescribed registration forms A and B (attached).

 

The registration form must be accompanied by a certified copy of the developer's licence (DL) and advertisement & sale permit (AP), or copies of the CFO, in the case of completed properties;

 

Payment of the relevant fees;

 

The registration exercise is open throughout the exemption period. However, please note that Sale & Purchase Agreement affecting the transaction must be executed between the purchaser and the developer on or after 1 January 2002 but not later than 30 June 2002;

 

The address of the REHDA Secretariat is No 2C Jalan SS5D/6, Kelana Jaya, 47301 Petaling Jaya.

5.

Certification Exercise

Only properties which have been registered with REHDA Malaysia, Sarawak HDA and Sabah HDA will be entitled to stamp duty waiver. Upon the sale of a property which has been registered, the developer shall prepare a “Certificate for Stamp Duty Waiver” as in Appendix 2, in quadruplicate, and forward all 4 copies together with a copy of the Sale & Purchase Agreement to the REHDA Branch in the state where the property is situated for certification;

 

The REHDA Branch concerned shall return 2 copies of the certification to the developer upon payment of the relevant fee.

 

1 copy of the certification shall be retained by the developer and the other to be produced to the relevant stamp duty offices for the purpose of stamp duty exemption.