1. Property Disclosure – Home Purchaser Knowledge
Home Purchaser Knowledge – How much do u know?
It’s not all about monthly instalments – the largest upfront cost in a home purchase is the 10%
down payment on the property. But that’s not all.
First-time home buyers may not know it; but buying and financing a home takes more than
just the down payment and the loan. There are various miscellaneous fees and charges
involved. Below is estimation* of the fees and charges that may be incurred:
1) Stamp duty for transfer of ownership title (also known as memorandum of transfer or
MOT)
1% for the first RM100,000
2% on the next RM400,000
3% on the subsequent amount
2) Sale & Purchase Agreement (SPA) legal fees
1% for first RM150,000
0.7% of remaining value of property within RM1 million
3) Stamping for SPA – Less than a hundred Ringgit
4) SPA legal disbursement fees – A few hundred Ringgit
5) Loan facility agreement legal fees
1% for first RM150,000
0.7% of remaining value of loan within RM1 million
6) Stamp duty for loan – 0.5% of loan amount
7) Legal disbursement fee for Loan Facility Agreement – A few hundred Ringgit

2. 8) Fee for transfer of ownership title – A few hundred Ringgit
9) Mortgage Reducing Term Insurance – Think of it as a life insurance for your home loan. It
can come up to RM1,000 or more, but this may be optional with some banks.
10) Government Tax on Agreements – 6% of total lawyer fees
11) Bank processing fee for loan – RM200
*Note: The fees and charges are just an estimation based on recommended numbers and
industry averages. Actual figures may differ.
To put things into perspective, a home valued at RM400,000 with 90% margin of financing
may set you back by about RM20,000 in fees and charges – which will have to be borne by
you, the buyer.
It is advisable to always have extra cash on top of the money allocated for the 10% down
payment before making any property purchases.
12) Insurance of MRTA/MLTA
13) Assessment & Quit Rent on yearly basis
14) Fire Insurance
15) Monthly Maintenance Fees (if applicable)
16) Electric/ Water & Maintenance Deposits (Refundable)