MIPFM: Stamp duty exemption may not help strata property purchasers

PETALING JAYA (Nov 6): Malaysian Institute of Property and Facility Managers (MIPFM) president Adzman Shah (pictured) said the full stamp duty exemption on Memorandum of Transfer (MOT) and loan agreement for first home priced below RM500,000 will be good for the property market but it may not help strata property purchasers if the strata titles are delayed beyond 2025.

“Stamp duty is payable only upon MOT being submitted when strata titles are issued,” he told EdgeProp.my.

Read other Budget 2021 news on EdgeProp.my/Budget2021  

He also lauded the announcement on the government looking to work with certain banks on Rent-to-own schemes up to 2022 for PR1MA housing units, however, more details needed for homebuyers to check whether they are eligible for the scheme.

“This is a very community/group specific focused budget towards the B40 group and those earning RM5,000 and below. Allowances given hopefully will encourage more spending to help the economy,” he said.

He also pointed out that some plus points which may increase domestic consumption include the drop in the income tax rate by 1% where the government has agreed to lower the rate by 1% for those earning taxable wages from RM50,001 to RM70,000 which is expected to benefit 1.4 million taxpayers’ employee’s EPF deductions reducing from 11% to 9% and EPF account holders being able to take out RM500 monthly from their Account 1 for 12 months amounting to RM6,000.

“However, there is no strong incentive to boost the property market especially for properties above RM500,000 and nothing really significant to boost property investment,” he concluded.

Get the latest news @ www.EdgeProp.my

Click here for more property stories.