Saturday, July 18, 2009

The Stamp Duty for Property Purchase...

The prescribed rate of duty is as shown below. The duty at this rate is also payable where the instrument of transfer constitutes a DEED OF ASSIGNMENT executed on sale or gift of the contractual interest on the property.

-On the first RM100,000:

RM1.00 for every RM100 or fractional part of RM100.

-On any amount in excess of RM100,000 but not exceeding RM500,000:

RM2.00 for every RM100 or fractional part of RM100.

-On any amount in excess of RM500,000
RM3.00 for every RM100 or fractional part of RM100.

Legal Fees for Sale & Purchase Agreement and Loan Agreement...

There are 2 legal fees to take into consideration when purchasing a property.

Legal Fees on Sale & Purchase Agreement (SPA) and Loan Agreement

Shown below are the Solicitors' Remuneration Order 2005 (Effective on 1 January 2006).

Consideration (RM)

Scale Fees

For the first 150,000.00

1.00% (min RM300.00)

For the next 850,000.00

0.70%

For the next 2,000,000.00

0.60%

For the next 2,000,000.00

0.50%

For the next 2,500,000.00

0.40%



Below are the rate for any purchase under Housing Development Act (HDA).

Purchase Price (RM)

Fees

From 100,000.00 to 500,000.00

70% of Scale Fees

More than 500,000.00

65% of Scale Fees



In total, the purchaser will need to pay twice the amount calculated from the tables above. The reason for the double calculation is for the SPA and Loan Agreement.