Malta, an ideal place to live and invest in a property!
With over 300 days of sunshine a year, a growing economy, a good quality of life and security, Malta is the ideal place to live or invest in real estate.
Investing in real estate in a foreign country is the result of long reflection and real knowledge of the terrain and legislation. Between the type of property and its location, prices can vary exceptionally, and sometimes, without any logic for the neophyte.
Residential properties in Malta
The houses of character
The houses of character, built more than 100 or 400 years ago, are located in the heart of typical Maltese villages. This type of property attracts a lot of people because of its incomparable architectural richness: baroque facades, rooms decorated with stone vaults, wooden beams… most of them also have the mythical Maltese “Bow Window” balcony. For coolness, the houses of character have few windows, the light is however generated by skylights or central courtyards.
Revamped to today’s tastes with very modern equipped kitchens, they are of great comfort, while having kept their authenticity.
For a smaller budget, farmhouses and terraced houses easily compete with character homes.
Secondary properties
Investing in a second home is a very common practice in Malta and Gozo. This type of housing can be chosen to spend your vacations or for family events for example. It is also possible to imagine your future retirement in the sun. This represents a very interesting property because it is affordable. Note that it is also possible to convert a second home into a short or medium term rental property when it is not occupied.
Luxury properties
For the more discerning, a range of prestigious properties are available in Malta. These properties can clearly compete with the posh Caribbean islands because the archipelago has adapted to a new clientele in search of luxury and comfort. Exceptional places, private pools, sumptuous settings, exceptional views of the sea, all this can be found in Maltese paradise places. On the island of Gozo, many luxury villas have been refurbished and adapted to the current comfort. These villas may be suitable for you if you are looking for peace and space.
The apartments
Malta and Gozo offer a wide range of apartments for all tastes and budgets. From the studio to the one or more bedroom apartment with or without sea view, close to shops, entertainment areas or on the contrary in a quiet residential area, you will inevitably find an accommodation that meets your expectations. In addition, many accommodations are available in prestigious or luxury complexes offering, for example, security, concierge service, guarded parking, individual swimming pools…
In Malta, there are apartments designed with modern architecture, which include a living room and a cool night area that is very useful for the summer nights.
However, it is very important to take into account all the information in order to guarantee a lasting investment without any surprises. Indeed, since the real estate boom of the 80s and 2000s, some buildings can now present quality defects (insufficient insulation, noise and accessibility problems…).
Investments in Malta
Rental investments
Since the last decade during which the rental market has exploded, the demand always exceeds the offer on the whole island. The North and South of the country are experiencing a large influx of nationals, which requires an increase in the number of properties available for long-term rental.
Renting is becoming more and more common. People demand freedom of mobility in their work. While some expatriates arriving in Malta, to work in online service companies, in the film industry or other lucrative professions on short term contracts (1-3 years), are looking for accommodation for this period in the best places in Malta.
In general, people considering investing in Malta, rent properties before a final move. Most of these properties are furnished.
But renting is not only for foreigners, in fact it has become common practice among Maltese.
It is therefore interesting to invest in rental properties. In addition, the government is encouraging landlords to put their available property on the market by reducing the tax rate to 15% on rental income.
New programs
The Maltese real estate market has seen a significant increase in the last few years. Despite a slight decline in 2012, this increase was also very significant in the early 2000s. According to a study conducted in 2022, as for 60% of Europeans, stone remains a safe value in Malta. Thanks to numerous incentives (tax credits for first-time buyers, waiving of inheritance fees, etc.), the government is stimulating and boosting the local market for both old and new properties.
Professional real estate in Malta
Commercial premises
When you want to invest in real estate, you should know that commercial and retail properties yield two to three times more than rental properties, which makes this type of investment more interesting. In addition, unpaid bills are less frequent, the investor will sign a long-term lease and will have a lasting relationship with his professional tenants.
The Offices
Thanks to its cheap labor and its intrinsic advantages, the economic attractiveness of the archipelago is no longer to be proven in Europe among companies. Indeed, many international companies and investors wish to establish themselves there, and this more and more over time. The return on investment is therefore faster than elsewhere, especially when it comes to offices or business centers with a view of the sea, parking lots, shops and services nearby … So, if you want to invest in offices, choose a strategic location, well served and close to all amenities, it will ensure high rents and sustainable.
The boutique-hotels
The term “boutique hotel” was first used in North America and the United Kingdom. It refers to a small hotel with generally between ten and forty rooms. Boutique hotels are charming hotels offering high-end services, which attract more and more Western tourists looking for an intimate setting.
Thanks to the tourism boom in Malta and its continuous growth since 2000, more and more European investors are convinced by this type of real estate which offers very quick returns on investment.
