Imagine walking outside every morning to feel the warmth of the sun kissing your skin, smell the fresh Mediterranean Sea air and have access to the most extraordinary array of exciting adventures at your fingertips. While it almost sounds too good to be true, it isn’t a faraway reality at all! Let’s dive into how you can have your very own slice of paradise.
Accessible by plane or ferry, Malta is a stunning island off the coast of Italy with a thriving real estate market. To purchase a property in Malta as a foreigner though, there are a few requirements and considerations to review. With additional information and forms accessible through the Maltese government website, start with our simplified guide below:
Depending on whether you intend to live in your property full-time in Malta, or purchase an investment/vocational residence, each has different permits, tax laws, visa requirements and regulations which must be followed, differing for both EU and non-EU citizens.
For purchasing a home intended for permanent residency from outside the EU or ordinary residency as an EU citizen, certain tax laws must be adhered to, including:
- Between 0-35% of your income will be taxed (depending on how much you earn and your marital status). If your country of origin partakes in a double tax treaty with Malta, you will be exempt from paying tax in both countries, only Malta. Advantageous tax laws, now that’s something we all love!
For non-EU members, an AIP (Acquisition of Immovable Property) permit must be acquired for most locations on the island. However, no AIP permit is required if you purchase in an SDA (Special Designated Area) development. When purchasing within an SDA, there is no limit to the number of residences that can be owned, and additional benefits include that it doesn’t have to be your primary residence, but can be an investment property.
All citizens of EU member states who have or have not resided in Malta for more than 5 years need not apply for an AIP for primary residences, under chapter 246 of the Laws of Malta. Be sure to keep up to date with the latest immigration and property laws to make sure you fulfil all the requirements.
Exceptions to some permit laws apply to both EU and non-EU citizens who have been living in Malta for more than 5 years, so the property buying process goes from relatively simple to even easier.
Once all the mandated forms are completed, you’re almost there! You’ve been browsing through numerous luxury apartments, classic villas and tranquil farmhouses scattered over the island, Unfortunately, there does come more paperwork for the actual property purchase, along with the associated costs of stamp duty, property inspections and real estate agency fees, but engaging with local professionals can help fast-track this process, and ensure all requirements are met. This Mediterranean marvel of a country truly does invite foreign residents onto their island by making the process as simple and cost-effective as possible.
Finally, after completing this very straightforward process, we would love to say to you… Welcome home to your new patch of paradise!
Oyster Christie’s International Real Estate Malta
Head Office: Block 15, Level 0, Vjal Portomaso, Portomaso, St. Julian’s | Sales Office: The Hilton, Vjal Portomaso, St Julian’s, PTM 01, St Julian’s, Malta
oystermalta.com
