Sale and Purchase & Loan: Conveyancing/Corporate

Can You Gift Property Just Out of Love?
Love is a powerful feeling. One moment, you’re annoyed about misplaced laundry, and the next, you’re thinking about giving someone property as a gesture of affection.
In Malaysia, there is actually a legal provision that permits property transfers based on love—although not because of laundry issues! However, this law is rooted in old common law principles, making it somewhat complicated to determine when and how it applies.
When Does Love Play a Role in Property Transfers?
Property law can be complex, and this is especially true when it involves love and affection. Typically, for a contract to be valid, it needs something called “consideration.” In simple terms, this means both parties in the contract must offer something in return.
However, there are exceptions. While traditional common law doesn’t generally consider “love and affection” as valid consideration, there’s a specific legal provision in Malaysia that does. Section 26(a) of the Contract Act 1950 is the relevant law. Here’s a breakdown:
An agreement without consideration is usually void unless:
• It is written and registered, and
• It is made out of natural love and affection between parties who are closely related.
So, what does this mean? Essentially, love and affection can be a legitimate reason to transfer property without needing anything in return. But there are conditions: the agreement must be in writing, registered, and the parties must be closely related.
Do I Still Need a Formal Agreement?
Absolutely! Even though Malaysian law acknowledges love and affection as valid reasons for a property transfer, you still need a formal, written, and registered document to make it official.
But don’t stress—this doesn’t mean you need a complicated contract. A Memorandum of Transfer (MoT) or a Deed of Assignment is usually enough for these types of transfers:
• Memorandum of Transfer: Used when the property has an Individual or Strata Title.
• Deed of Assignment: Used when an Individual or Strata Title hasn’t been issued yet, typically in cases involving developers.
You’ll also need to have the document stamped by a lawyer to make it legally binding.
Stamp Duty Exemptions for Love Transfers
Here’s some good news: Malaysia offers stamp duty exemptions for property transfers made out of love and affection:
• Husband to wife: 100% exemption
• Wife to husband: 100% exemption
• Parent to child: 50% exemption
• Child to parent: 50% exemption
Remember, since January 2020, this exemption for parent-to-child transfers only applies if the recipient is a Malaysian citizen.
What Is Love, Really?
Now that we’ve covered the technical aspects, let’s lighten up with a few perspectives on love from around the world:
• “We are all a little weird and life’s a little weird, and when we find someone whose weirdness is compatible with ours, we join up with them and fall in mutual weirdness and call it love.” — Robert Fulghum
• “A love that is brief is love nonetheless.” — Maori proverb
• “This was love: a string of coincidences that gathered significance and became miracles.” — Chimamanda Ngozi Adichie, Half of a Yellow Sun
• “To get the full value of a joy, you must have somebody to divide it with.” — Mark Twain
No need to feel sad about leaving this world when you can pass your property on to those you love, thanks to contract law.
If you’d like to learn more about property transfers, check out our guide on What Is A Master Title And Why Is It So Important?

Disclaimer: The information provided is for general purposes only. ANN & AIN, ADVOCATES & SOLICITORS make no representations or warranties regarding the accuracy or fitness of the information for any particular purpose. While we have made every effort to ensure the information is accurate as of the time of writing, it should not be relied upon for making any financial, investment, real estate, or legal decisions. Always seek professional advice that considers your personal circumstances.