The Property Banks Buyers Guide to Malta
Non-Maltese buyers may freely
purchase a property in Malta as a holiday home or for permanent
residence, subject to the following conditions:
The purchase price must not be less than Lm30,000 for an apartment
or Lm50,000 for any other sort of property.
All funds for the purchase must be brought into the country from
external sources.
The property may only be used as a holiday or permanent residence,
not for commercial purposes.
Expenses involved in the purchase of property:
Duty on documents - 5% of value of property
Legal Fees - 1% approximately of purchase price
Relevant permits – Lm100.00
At present, there are no annual property taxes in Malta, and if one
decides to sell the property purchased, all amounts resulting from
the sale (after any relevant expenses have been paid) can be
repatriated without any complications.
If one wishes to take up permanent residency in Malta, certain
conditions relating to minimum income (from external sources),
taxation, and similar issues need to be satisfied, to ensure that
one does not become a burden on the state.
Once you have selected a property that fits your requirements and
budget, and purchase price has been established, a preliminary
purchase agreement is drawn up by a notary, including any conditions
for sale previously agreed upon with vendor which binds purchaser
and seller to appear for the signing of final contract within a
specified period of time.
Usually, purchaser places a deposit of 10% of the purchase price at
time of drawing up of preliminary agreement, (which may be deposited
with notary for peace of mind) and this agreement is valid for 3
months, but both the actual deposit amount and period of validity of
agreement may be varied as previously negotiated.
During this period your notary will make all necessary checking into
legal title of the property, and will apply for permits required.