Buying real estate in Malta can be a wise investment and a beautiful lifestyle choice. But do it when a foreigner? That was a completely different process. If you are ready to stop searching and start acting, you need a clear answer. This guide covers every key step from eligibility to obtaining a key.
Key Highlights
- Learn about what areas of Malta are available for foreign buyers and what are not suitable.
- Learn how to apply for an AIP license and what documents you need.
- Discover how much you need and how much extra you need.
- Learn how real estate agencies in Malta work and what to pay attention to.
- Read tips on confident negotiation final price.
Who can buy real estate in Malta?
Foreign nationals can purchase property in Malta, but there are rules. EU citizens and Non-EU countries The treatment method is different. If you are not Malta, you need an AIP license or are eligible for exceptions.
Key conditions:
- If you are an EU citizen who has lived in Malta for more than five consecutive years, you can purchase property without restrictions.
- If you are purchasing a primary residence and hiring or self-employed in Malta, you are exempt from restrictions as well.
- All other cases require an AIP (Get Real Estate) license.
You can’t just buy any house on the island. Some attributes are restricted. This is why it is crucial to know which regions belong to a Specially Designated Region (SDA).
These are government-approved investment zones that foreigners can buy under restrictions. The SDA includes popular attractions such as Tigné Point in Sliema, Fort Cambridge and Portomaso in St. Julian’s.
How to choose the right location
Malta is small, but lifestyle depends on where you live. Want peace and space? Look to the north and central parts. need Nightlife And a walkable cafe? Then Sliema or St. Julian’s might fit.
Purchasing a tourist area usually means higher prices, but has stronger rental potential. The South offers more traditional homes and a quieter environment. Your choice should depend on whether you buy, rent or hold long-term capital gains.
If you are overwhelmed by the location options, consider working with real estate experts who understand local nuances and foreign buyer requirements. Excel Homes Malta It’s a good choice. Their team offers free property valuation services and personalized advice without stress.
The right agent is not just a middleman. They can negotiate on your behalf, show you property that matches your legal status and save you severe stress.
Step 1: Start with the AIP License (if required)
Non-residents who want to purchase property outside of SDA must apply for an AIP license. This step is not optional.
What you need:
- Passport copy
- Detailed attribute information
- Certificate of financing or proof of bank statement
- Application form and EUR 233 (non-refundable)
It is expected to take up to 35 working days to get approved. Without it, the purchase is legally invalid. Unless you have only one property in an SDA, you can start a licensed rental business.
Step 2: Set up a budget and prepare for expenses
Buying in Malta is more than just asking for a price. You also need to consider legal fees, Stamp dutyand agency fees.
Here is a breakdown of typical costs:
| Cost Type | Average range |
| Stamp duty | 5% of the purchase price |
| Notarization fee | 1-2% of the purchase price |
| AIP licensing fee | €233 (once) |
| Agent fee | Usually paid by the seller (5% + VAT) |
| Architect Fee (optional) | €300–€500 |
At least 7-10% additional savings exceed the property price to cover all of these costs. Keep your financing simple. Some banks offer home loans to foreigners, but not all. If you need a mortgage, get pre-approval as early as possible.
Step 3: Ensure the promise of sales (Konvenju)
Once you reach an agreement with the seller, both parties sign Konvenju, which is the promise of sales. This is a binding agreement. You have to put down 10% of your deposit to retain the property.
Your notary will then:
- Conduct a legal search
- Confirm ownership
- If necessary
- Set the final contract date (usually within 3 months)
From this point on, it’s hard to exit without losing your deposit. Make sure everything is checked before signing.
Step 4: Conclude a deal with the final contract
When all the legal checks are done and you are ready to raise funds, it’s time to make a final contract. This signature is usually present in your notary office with the seller. After signing:
- You pay the remaining balance
- The key was handed over to
- Public registration form for sale by notary registration
Congratulations – The property is yours now.
Common mistakes First time buyers make
Purchasing as a foreigner in Malta can be simple, but mistakes can take time and money. Avoid these:
- Skip notary: You need your own. Don’t rely on the seller’s notary.
- No SDA qualification checks: Not all areas are open to foreign ownership.
- Underestimate cost: Taxes and attorney fees quickly added up.
- Urgent quote: Some sellers exaggerate the price when they hear “foreign buyers”.
- Assuming oral transactions are final: Only signing Konvenju can protect you.
What type of property can you buy?
Foreigners are allowed to purchase:
- apartment
- Maisonettes
- villa
- Top level
- Farmhouse (in some cases)
However, if you buy outside the SDA, rather than an EU citizen who lives in Malta for a long time, it is strictly just a property. No holiday homes. The property will not be rented unless you have permission from the landlord.
What happens after purchasing?
After ensuring the deed, you need to take care of:
- Utilities Registration (Water and Electricity)
- Weapon Account Settings (avoid travel prices)
- Council Tax and garbage collection payment
- Furniture or renovation plan (if required)
You can move in or rent it out now – depending on your license type and license. Some areas produce strong rental yields due to foreign workers and students, so returns can be stable.
The final thought
Malta offers rare combinations European lifestyleEnglish-speaking locals and investor-friendly laws. But buying your first property as a foreigner doesn’t just mean sending money and signing documents. You need guidance, legal support, and a good understanding of the beginning and end of your rights.
Start early. Ask a question. Work with people who know the process. Buying in Malta doesn’t have to be complicated – as long as you follow each step without skipping the details.
