First-Time Home Buyer Stamp Duty Exemption Malaysia (2026 MOT & Loan Guide)
Complete 2026 guide to Malaysia First-Time Home Buyer Stamp Duty Exemption (i-Miliki): 100% free MOT and loan agreement stamp duty up to RM 500,000.
Key 2026 Malaysian Regulatory Takeaways
- 100% Stamp Duty Exemption applies to both the Memorandum of Transfer (MOT) and Loan Facility Agreement for residential homes priced up to RM 500,000.
- At RM 500,000 property price (90% loan), a first-time Malaysian buyer saves RM 9,000 in MOT stamp duty + RM 2,250 in loan stamp duty = RM 11,250 total cash savings.
- To qualify as a first-time buyer under LHDN Stamp Duty Exemption Orders, the applicant must be a Malaysian citizen who has never owned any residential property (including via inheritance or gift).
How the First-Time Home Buyer Stamp Duty Exemption Works in Malaysia
When purchasing a residential property in Malaysia, buyers normally face two distinct government stamp duties governed by the Stamp Act 1949: ad valorem stamp duty on the instrument of transfer (Memorandum of Transfer / MOT or Deed of Assignment) and a flat 0.5% stamp duty on the principal amount of the housing loan agreement.
Under the Malaysian Government’s Home Ownership Initiative (Program Pemilikan Rumah Pertama), Malaysian citizens purchasing their very first residential property priced at RM 500,000 or below receive a 100% stamp duty remission on both the MOT and the loan facility agreement. At the RM 500,000 ceiling, this removes RM 9,000 in MOT transfer duty and RM 2,250 in loan duty—reducing upfront cash requirements by RM 11,250.
Eligibility Conditions & Joint Application Rules (LHDN Rules)
Lembaga Hasil Dalam Negeri (LHDN) requires a statutory declaration confirming that the purchaser has never owned a residential property in Malaysia, whether acquired by purchase, inheritance (pusaka), or gift (hibah). Commercial shoplots or agricultural land do not disqualify you from residential first-time buyer status.
If you are buying jointly with a spouse or family member, both co-purchasers named on the Sale and Purchase Agreement (SPA) must be first-time residential buyers to enjoy the full 100% MOT exemption on the entire transfer value.
Frequently Asked Questions: First-Time Buyer Stamp Duty Exemption
Does the first-time buyer stamp duty exemption apply to sub-sale (second-hand) houses?
Yes. The 100% stamp duty exemption up to RM 500,000 applies to both new developer launches (under HDA Schedule G/H) and completed sub-sale residential properties.
Are SPA and Loan lawyer legal fees also exempted by the government?
No. Government exemptions only waive Stamp Duty (MOT and Loan Stamp Duty). Legal fees are billed by conveyancing law firms under the Solicitors’ Remuneration Order (SRO) 2023 scale unless absorbed by a developer promotional package.