Exploring the property market in Malta and why it is a good time to buy
As global markets continue to evolve, it is becoming increasingly important to explore new avenues for investment diversification. We are thrilled to present you with an exciting opportunity – the chance to expand your portfolio by investing in the thriving property market of Malta.
In today’s fast-paced and interconnected world, diversification has emerged as a key strategy for South African investors looking to safeguard their assets and maximize returns. We believe it is essential to provide you with opportunities that can help you achieve your investment goals.
Malta: The Jewel of the Mediterranean:
Situated in the heart of the Mediterranean, Malta offers a unique blend of rich history, stunning landscapes, and a robust property market. Known for its warm climate, vibrant culture, and strategic location, this picturesque island has become an attractive destination for investors seeking both stability and growth.
Superb Property Market:
The property market in Malta has been witnessing remarkable growth over the past decade, fueled by a strong economy, favorable government initiatives, and a steady influx of foreign investment. May 2023 has become the best month in history for the real estate sector in Malta—having had a record number of proposals. The news was shared by the Malta Property Developers Association (MDA).From luxurious beachfront villas to contemporary city apartments, Malta offers a diverse range of real estate options to suit every investor’s preference.
Rental Market
“Not enough supply” seems to be the consensus among directors of companies in the real estate industry.
Mercieca, CEO of Zanzi Homes, said that according to his statistics, the price of rent has risen by 19% compared to 2022. He confirmed that the influx of foreign workers are definitely pushing up the property prices and he believes that there is not enough property at the moment in long lets to supply the market.”
CEO of Alliance Group Michael Bonello, said that rent has increased over the past six months and that the problem in the market is a lack of supply. He said that when talking about rent, we’re talking about a foreign market. The Maltese however are still purchasing property.
He added that prices in the sales of property have increased following increases in construction and finishing prices.
Kevin Buttigieg, chairman of RE/MAX, states on the matter of overpopulation and its impact on the property market, he said: “That’s the reason why I believe that I find my agents in the office crying because they have three, four, five, six clients with good budgets to rent out or even buy, and there’s nothing available on the market.” He said that the biggest issue in Malta currently is the property supply.
Capital Growth
Malta house prices grew 10.5% Year on Year (YoY) in Mar 2023, following an increase of 2.7% YoY in the previous quarter.
YoY growth data is updated quarterly, available from Mar 2001 to Mar 2023, with an average growth rate of 5.0%.
Property does grow at different rates. Considering the last 5 years house prices went up by 30% on average according to Eurostat.
The continued demand for luxury properties in Malta is expected to remain strong, as more high-net-worth individuals seek premium homes in this Mediterranean paradise.
The ongoing Foreign Investment in Malta’s residency and citizenship programs, coupled with its appealing tax regime, are likely to continue attracting foreign investors, further supporting the growth of the property market.
Conclusion:
In conclusion, we highly encourage you to consider diversifying your portfolio by investing in Malta’s superb property market. With its stable economy, favorable tax benefits, and promising growth prospects, Malta presents an attractive opportunity for investors seeking to enhance their wealth and secure their financial future.
We are here to assist you every step of the way, providing expert guidance and personalized solutions tailored to your unique investment needs. Don’t miss out on this exceptional opportunity – contact us today to learn more about investing in Malta’s property market.
