Before you decide to invest in property on the beautiful island of Malta let Joe from shortletsmalta.com/ st Julians give you an overview of the real estate market. We offer services such as sale of commercial and residential properties, property management, insurance and after sales assistance with the finishing and furnishing of the properties. Last but not the least we assist with property conversions and constructions projects.

 

A Solid Investment

Like elsewhere in the world, Malta has not experienced a devaluation of property. We are in a boom due to a range of factors;

  • we have savvy local investors.
  • Malta has seen an influx of number of companies some of these are influential names in fields of institutional finance, reinsurance and other online companies.
  • The government is offering incentives to the first-time buyers.
  • Malta is offering citizenship, and visa programs to the NON-EU and EU nationals with attractive residences. This contributes to the real estate boom.
  • Taking advantage of these factors, the locals are investing in buy-to-let properties – giving a boost to the rental market.

All these trends are positive portents for the real estate market and the economy overall.

 

Near Zero Depreciation of Property Value

There is near zero devaluation of properties in Malta as they are in limited supply. The local buyers constitute the bulk of this market. Besides, Malta enjoys a diverse mix of buyers who integrate well with the locals. Our banks are stable and lend cautiously. The business owners do not force relocation due to a job change in Malta. This prevents distress sales and other destabilizing trends.

 

Properties that offer a good Return on Investment

The trends show that people are investing in;

  • Maisonettes and Apartments
  • House of Character
  • Palazzos
  • Bungalows and Villas; and enjoying a good ROI.

 

According to the census of 2011; 42% of households prefer living in a terraced home. While 27% prefer a Maisonette as it is easy to maintain and sufficient for a family of four. On the other hand, 25% prefer apartments due to their family size and low cost of maintenance. Around 3% live in semi-detached and detached villas; these are usually communities with children. As Malta is a place of history, 2% prefer to live in houses of character. While 1% choose penthouses due to the modern lifestyle and investment value.

 

Number of rooms preferred

An average household has 2 - 3 bedrooms, 58% of these have 2 bathrooms. Of all the houses surveyed, 40% homes had at least one balcony or terrace. Approximately 7.5% homes have 4 or more bedrooms and 6% have 3 or more bathrooms. This small percentage may be due to smaller family sizes as compared to the past. Only 10% homes do not have any balcony or terraces.

 

Number of Property Viewings and time elapsed before a Purchase

On an average 70%, people view 1 - 10 homes, while 21% people view 11-20 homes before making their decision. It usually it takes around 4 months to find a suitable property. As it is a large investment. 34% people take around 6 months to decide on their dream home. While 25% take 3 - 6 months and only 18% buy within a month.

 

We hope these insights will help you make well-informed decisions for buying and investment in the real estate market in Malta. If you have any further questions, do contact us.

 

Published by Elena Tahora