Monday, 6 August 2012

Costs involved to buy a property in Malaysia

What are the costs involved to buy a property in Malaysia? Below are the summary of it : -
Booking fee:
2% of the purchase price. The amount is subject to negotiation between the seller and buyer.
Down payment upon signing of Sales & Purchase Agreement (SPA): 10% of the purchase price (inclusive of the booking fee.
Stamp duty for Memorandum of Transfer:
First RM 100,000
1%
Next RM 400,000
2%
Above RM 500,000
3%
 

Legal fee:
Legal fee for Sales & Purchase Agreement *
First RM 150,000
1%
Next RM 850,000
0.7%
Next RM 2 million
0.6%
Next RM 2 million
0.5%
Next RM 2.5 million
0.4%
Next RM 7.5 million
Negotiable

*The legal fee is subject to a minimum RM 300 fee and for the purchase of a low-cost or medium cost houses governed by the Housing Development (Control & Licensing) Act 1966 (HAD 1966), special concession of flat rate of RM 250 is given to the lower income group.

Valuation fee (applicable for subsale buyer for loan security purposes):

Fee for other capital valuation / rating valuation services based on an 'Improved Value' basis 1
1/4% of the first RM100,000

1/5% of the residue up to RM2 million

1/6% of the residue up to RM7 million

1/8% of the residue up to RM15 million

1/10% of the residue up to RM50 million

1/15% of the residue up to RM200 million

1/20% of the residue up to RM500 million

1/25% of the residue over RM500 million

Estate agency fee  (applicable if you engage an Estate Agent):

Sale or purchase
Land and buildings
Maximum fee of 3%


And of course abit of miscellaneous charges from developer, lawyer and banks to be paid for buying a property in Malaysia.

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