Buying property in Malta
Malta is a great place to live. Besides friendly and warm people, our islands are blessed with mild climate, great entertainment possibilities whether you are a sport-loving, adventurous person or laid-back one that indulges in relaxing pleasures of Maltese great restaurants, long promenades, numerous spa resorts, or rich culture Maltese Islands have.
Whether you are the young one in need for adventure, middle aged business person in need for good tax benefits that Malta offers or elderly in need for great health services, you surely will enjoy in Malta and freedom that everyone feels in this sun-blessed nearly crime free island.
If you are Maltese, this was just a small reminder in which great place you were born.
Before anyone starts searching for the property he needs, it is good to put on paper real needs that new property has to satisfy.
Probably the most important two subjects are size and price. How big property you need and how much you can afford to pay for the property.
However it is important to keep in mind other aspects too such as Locations where you prefer to live, Types of property you prefer, do you need garage or you can without it for some time? Finishings? Are you willing to do some works yourself or you prefer finished or maybe even furnished property?
Once you have clear vision what you need, it is good to see how to finance new property. In most transactions there is Bank involved, so it is good to check with bank which is your real budget.
Impact Real Estate is an agency which can help you with all issues, both finding proper property and making contacts for you with Banks, and in further steps helping with finding architect and notary as well.
Once you choose property you like, it is good to call the architect to do inspection of the property and establish if everything is according to the plans. Impact associates will help you with this if needed.
When property is chosen it is time to do promise of sale (“konvenju”) for buying of the property.
Important issues here are:
- length of konvenju (usually 3-6 months, or other depending on what was pre-agreeed with the owner of the property),
- deposit (usually 10% of the value of the property)
- subject to bank loan,
- maybe subject to permits,
- finishings of the works and other conditions that need to be written for the smooth process while signing final deed.
Our experienced people will be happy to assist you in all steps of the process and help you with all issues that might arise. We are there for you to serve you in a best possible manner and make buying of your new home a pleasant experience.
The Expenses involved in buying property in Malta are:
1) Stamp duty: 5% on the total amount of the buying price
Year 2014 First-time buyers benefit from lower Stamp duty : 0% on first EUR 150,000 and 5% on the rest of the buying price
2) Deposit on konvnju 10% on the buying price.
3) Notary charges: approx 2% and are being paid on contract.
4) Recognition Fee (Laudemium) - Due to vendor or third party
Buying property in Malta for Foreign Buyers
Citizens of European Union member states (including Maltese citizens), who have not resided in Malta for a minimum period of five years, require a permit to acquire immovable property as a secondary residence purpose.
Individuals who are not citizens of a European Member state may not acquire any immovable property unless they are granted an acquisition of immovable property permit.