Breakthrough Performance
In Malta, the state sector achieved remarkable success in May 2023. According to the Malta Property Developers Association, the market had its greatest month in history, with a record amount of offers.
The number of pre-sales agreements in Malta has climbed by 16% in the last year, while sales volume has increased by 25%. The number of real estate transactions in Malta increased by 13% between January and May 2023, reaching 6,976 transactions. Sales volume climbed by 19% to more over €1.9 billion. This tremendous expansion can be attributed to excellent market conditions, a healthy economy, and continuous state sector investment. Despite the challenges created by the worldwide pandemic, the Maltese real estate market has demonstrated great resilience and development, securing its position as a top investment destination.
Current Market Trends Unravelled
There are several significant developments affecting Malta’s real estate market. To begin with, Malta has become a popular destination for overseas buyers due to its residence and citizenship-by-investment programmes. These programmes attract international investors, which increases demand and contributes to price increases. Then, thanks to the imputation mechanism, Malta’s corporate tax structure is favourable, with an effective tax rate of only 5%. When combined with additional incentives, this attracts companions who want to optimise their tax preparation and maximise their profits. The demand for high-end luxury properties in Malta is increasing. Affluent purchasers want premium residences with modern facilities and breathtaking sea views. Because of the thriving tourism business, there is a robust rental market, particularly for short-term vacation rentals. Real estate investors are drawn to the Maltese property market because rental revenue can produce lucrative profits.
Property Values
Real estate prices in Malta have risen consistently during the last five years. Let us now examine the average pricing in various cities. The average flat price in Valletta is roughly €3,000 per square metre, whereas houses can cost up to €4,000 per square metre. Apartments in Sliema, a beautiful coastal town, cost an average of €2,800 per square metre, while mansions can cost up to €3,500 per square metre. Apartment prices in St. Julian’s, famed for its active nightlife, average €2,700 per square metre, with home prices about €3,000 per square metre. (The statistics are only estimates; actual prices will vary depending on criteria such as home type, location, and amenities.)
Elevate Your Wealth Game: Empowering UHNWIs for Simplified Asset Management. Altoo Platform Preview
