Malta as a nation is one of Europe’s highly lucrative property investment propositions. While the European property market has witnessed a downturn, the real estate market in Malta has earned itself a reputation of being relatively stable with excellent ROI.   

The legal system in Malta does not impose a tax on wealth ownership, favouring expats investing in immovable property in Malta. It has been the catalyst for attracting many foreigners to take up residence in Malta or the sister island of Gozo, described as the place where time stood still.   

Wise investment leads to appreciation and returns over the years. A new high-rise policy and other factors have fuelled further growth in the property sector. Invest in a property and get returns in the long run.  

Services include:

Tax services upon buying or selling of immoveable property in Malta

Tax services upon buying or selling of immoveable property in Malta

Structure the acquisition or the disposal of your property according to your needs and with minor tax consequences possible. We provide tax advisory services about the liquidation or division of companies owning immovable property in Malta.

Restructuring of holdings involving immovable property in Malta

Restructuring of holdings involving immovable property in Malta

Structure your holdings in immovable property according to your intentions. Be guided on your wealth protection or business purposes.

Tax compliance obligations on income from immovable property in Malta

Tax compliance obligations on income from immovable property in Malta

Meet your income tax obligations about income derived from immovable property. We advise on the different methods of taxation of income from immovable property. Choose the most efficient approach according to your circumstances.

VAT obligations in Malta in relation to immovable property

VAT obligations in Malta in relation to immovable property

Be on top of your VAT obligations on projects involving immovable properties. We can also assist you in compliance obligations from a VAT perspective upon selling your business property in Malta. Invest in Malta’s Real Estate industry Maximise the benefits, and relish the return on investment. Our team is ready to guide you.

Frequently Asked Questions

Q1. Do Non-EU citizens need a permit to buy immovable property in Malta?

All citizens from a non-EU country need a permit to buy immovable property.  

Citizens from an EU country who have not resided in Malta for at least five years must obtain the Acquisition of Immovable Property (AIP) permit from the Inland Revenue Department to buy a holiday home (secondary residence). This permit is granted within 6 to 7 weeks. 

Q2. Are there any exceptions when it comes to requiring a permit? If yes, what are they?

Yes.

A) If an EU citizen declares on the contract of purchase that they intend to purchase the immovable property as a primary residence, i.e., permanent resident.

B) If any foreign national (including non-EU) purchases immovable property in a Special Designated Area (SDA).

C) If an EU citizen has been a resident of Malta for more than five years.

Q3. Can EU citizens buy more than one immovable property in Malta?

EU citizens may only buy one property, unless:  

(1) They have been residents for at least five years;   

(2) They buy in a Special Designated Area (SDA); or  

(3) The second property is required for business activities or services supply.  

EU citizens who have already lived in Malta for a continuous period of 5 years may immediately purchase another property without the necessity of a permit.

Q4. Can Non-EU citizens buy more than one immovable property?

No, except in Special Designated Areas (SDA).

Q5. Can any foreigner buy three immovable properties in a Special Designated Area (SDA) and one outside Special Designated Areas (SDA)?

Yes. There are no restrictions on Special Designated Areas (SDA).

Q6. Can an immovable property be purchased in the name of a company?

Yes, that is if:  

1. The property is in a Special Designated Area (SDA).  
2. 75% of the share capital is held by persons who are EU citizens and who have resided in Malta continuously for five years.  
3. The company operates in an EU state, and all directors must have five years residence qualifier.  

In other cases, a permit will only be granted if the property is required for an industrial or tourist project or contributes to the development of the economy of Malta.

Q7. Can a foreign national rent their immovable property?

Foreigners may rent the property as long as:

A) It is in a Special Designated Area (SDA).

B) It is issued with a license from the Ministry of Tourism Authority under the “Superior” and “Comfort” categories.

© 2021 Endevio

Integritas Trustees Ltd (C 22574) is authorised under the Trusts & Trustees Act by the MFSA. Integritas Consulting Ltd (C 52711) and Integritas Corporate-Services Ltd (C 52395) are registered to act as Company Services Providers by the MFSA. Agenzija Integritas Endevio Ltd is authorised to act as an Accredited Agent by Agenzija Komunita Malta through licence number AKM-AGEN-22.