Legal Fees Calculator Malaysia

The lawyer's fee is set by the Solicitors' Remuneration Order 2023 (SRO 2023). For the SPA and the transfer together it is 1.25% of the first RM500,000 of the price (minimum RM500) and 1% of the next RM7,000,000; above RM7,500,000 it is negotiable but capped at 1%. The loan agreement is charged separately on the same scale, on the loan amount. Buying from a developer uses a lower scale, Table B. Disbursements, stamp duty and service tax are extra.

The Solicitors' Remuneration Order 2023, P.U.(A) 207/2023, gazetted on 12 July 2023 and in force since 15 July 2023. It replaced the Solicitors' Remuneration Order 2005 and sets the scale fees for conveyancing and loan documents. Work that started before 15 July 2023 stays on the 2005 order.

Yes. A sale governed by the Housing Development (Control and Licensing) Act 1966, which is how a licensed developer sells homes, uses Table B: RM500 up to RM50,000, then 75% of the Table A fee up to RM250,000, 70% up to RM500,000, 65% up to RM1,000,000 and 50% above that. The price picks the band and the share applies to the whole fee, so the SPA and transfer on a RM500,000 home cost RM4,375 instead of RM6,250. The loan for that purchase uses the same Table B. Ask your lawyer if you are unsure whether your purchase qualifies.

No. Under the First Schedule of the SRO 2023 one scale fee covers drawing up the SPA and preparing and registering the transfer (the MOT, or a deed of assignment while the title is not yet issued). If the individual or strata title is issued only after your purchase completes, the lawyer who acted for you may charge up to 25% of the scale fee for the later transfer, and a different lawyer up to 50%.

For a subsale, the SPA and transfer cost RM6,250 (1.25% of RM500,000) and the RM450,000 loan agreement RM5,625 (1.25% of RM450,000): RM11,875 in scale fees. With about RM1,050 of estimated disbursements the bill is roughly RM12,925, before service tax and stamp duty. Bought from a developer under Table B, the same purchase costs RM4,375 plus RM3,938, or RM8,313 in scale fees.

For Table A, which covers subsales and their loans, the SRO 2023 lets a lawyer give a discount of up to 25% of the scale fee. No discount is allowed on Table B fees for developer purchases. Developers sometimes pay the SPA and loan legal fees as a promotion, which changes who pays, not the fee. Get a written quote either way.

Disbursements are costs your lawyer pays on your behalf and bills at cost: land and bankruptcy searches, registration fees at the land office, stamping of copies, courier and similar. The SRO 2023 scale fee does not include them. This calculator uses a flat estimate of RM350 per document; ask your lawyer for the actual figure.

Not necessarily. The SRO 2023 lets the purchaser's lawyer also act for the bank in the financing, though many banks only accept firms on their panel. The loan agreement fee is charged on the loan amount, not the property price. If the bank also needs a separate security document, such as a charge or a deed of assignment, each one adds 10% of the Table A fee, between RM500 and RM2,000.

The SRO 2023 is made under the Legal Profession Act 1976, which has been brought into force in Peninsular Malaysia; it applies to Sabah and Sarawak only through a separate order. For a property in Sabah or Sarawak, ask your lawyer which fee scale applies.

Legal fees for buying a property are a capital cost, so they do not reduce income tax. They do reduce Real Property Gains Tax when you sell: the legal fees for buying and for selling count as costs that come off the gain. Keep the receipts.