FAQs
Below you will find answers to the questions we get asked the most.
The Second Time Buyers Scheme applies when a person sells their property and acquires another residential property within 1 year. The refund on stamp duty shall be €3,000.
- Promise of Sale (also known as Preliminary Agreement or Konvenju in Maltese)
- Final Contract of Sale
- Price
- Ground rent (if any)
- Deposit
- Payment terms
- Any works to be undertaken by the owner
- Any extras included in the price, such as furniture
- Date of the final contract (usually 3 months after the Promise of Sale)
- Any additional terms
The Promise of Sale is binding on both parties.
EU citizens
If an EU citizen is purchasing property in Malta as their primary residence, they do not need an AIP permit.
If an EU citizen has resided in Malta for more than 5 years, then they will not require an AIP permit.
If an EU citizen is purchasing property in Malta as a second home (and therefore not as a primary residence), then they will require an AIP permit, unless they have resided in Malta for more than 5 years.
Non-EU citizens
Non-EU citizens require an AIP permit to buy a property in Malta, except if they are buying in an SDA.
The minimum property values to acquire an AIP permit are:
- Flat/Maisonette: €153,018
- Any other property: €264,296
These values were updated in August 2022, however, they may change according to the Property Price Index.
A fee of €233 is charged per permit. The permit is usually issued within 35 days.
The application form for this permit can be found here. You will find more info here.
- Gozo, Fort Chambray
- Gozo, Kempinski Residences
- Gozo, Vista Point
- Gzira, Metropolis Plaza
- Gzira, Manoel Island
- Kalkara, SmartCity
- Madliena, Madliena Village
- Marsascala, Ta’Monita Residence
- Mellieha, Southridge
- Mellieha, Tas-Sellum Residence
- Mriehel, The Quad Business Towers
- Naxxar, Targa Square
- Rabat, Verdala Terraces
- Sliema, Fort Cambridge
- Sliema, Tigne Point Residences
- St Julian’s, Mercury Suites
- St Julian’s, Mercury Towers
- St Julian’s, Pender Gardens
- St Julian’s, Portomaso
- Vittoriosa, St Angelo Mansions
- Xemxija, Mistra Heights
- Stamp duty 5%*
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Notarial fee is approximately 0.5% (not including disbursements and searches)
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Searches (the cost of searches varies on a case-by-case basis)
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AIP (where applicable) €233 plus professional fees for an accountant, auditor, lawyer, etc.
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Recognition fee equivalent to one year’s ground rent (only applicable to properties subject to ground rent)
*Some reductions may apply depending on the purpose of the purchase.
Buyers not requiring an AIP permit do not pay Stamp Duty on properties situated in a UCA (Urban Conservation Area) for the first €750,000.
Yes, there is a reduction in stamp duty when buying property in Gozo. The stamp duty is reduced from 5% to 2%.
When it comes to buying your first home in Malta, you may need to get a bank loan as financing. You will need 10% of the purchase price to put down as front finance. The rest of the funding is usually arranged as a bank loan from top local banks, with monthly repayments.
Your budget will be determined by your income, but keep in mind that you will have other expenses related to buying property, such as notary fees, utility bills, and regular living expenses. You will also be required to purchase life insurance to cover the value of the property.
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Speak to a reputable rental agent and make sure you determine your budget, ideal locations, and what features you require in your rental home
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Your rental agent will take you to view properties, hopefully, you will find one which is right for you
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Once the landlord and tenant agree, terms are set down in the letting agreement and a deposit must be paid to the landlord (usually equivalent to one month’s rent)
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Both the landlord and the tenant must pay the letting agent the equivalent of half a month’s rent plus VAT
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The tenant usually pays the rent each month