Guide & Calculator · Malta 2026
Property & ROI Calculator
Buy vs rent. Gross yield, net yield, payback period, 10-year return. Plus stamp duty costs, AIP rules, and grants up to €54,000. The honest Malta property numbers.
Avg property price
€414K
Malta 2025 average
Gross yield
~2.9%
Malta average
Annual property tax
€0
No annual tax in Malta
Rental income tax
15%
flat rate, final
ROI Calculator
Purchase Costs Breakdown
Stamp duty and notary estimates only. AIP fee, agent commission (1–2%) and legal fees not included.
ROI Results
Gross Yield
4.0%
Net Yield
2.0%
Payback Period
25 yrs
Total Return (10yr)
€634K
Gross yield = annual rent ÷ price. Net = gross minus costs. Total 10yr = cumulative net rent + capital appreciation. Excludes mortgage interest, vacancy, agent fees.
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What You Need to Know
Buying Property in Malta — The Key Facts
Who Can Buy — AIP Rules
EU citizens resident 5+ years: buy anywhere, no restrictions.
Non-resident EU citizens: need an AIP (Acquisition of Immovable Property) permit outside Special Designated Areas (SDAs). AIP fee: €233.
Non-EU nationals: AIP required outside SDAs. In SDAs — no permit needed for any nationality. SDAs include Portomaso, Tigne Point, Cottonera and others.
Non-resident EU citizens: need an AIP (Acquisition of Immovable Property) permit outside Special Designated Areas (SDAs). AIP fee: €233.
Non-EU nationals: AIP required outside SDAs. In SDAs — no permit needed for any nationality. SDAs include Portomaso, Tigne Point, Cottonera and others.
Grants — Free Money Available
First-time buyer grant
€10,000 (Malta) or €15,000 (Gozo) — paid directly to reduce purchase price
UCA restoration grant
€15,000 (Malta) or €40,000 (Gozo) for first-time buyers of Urban Conservation Area properties
VAT refund on renovation
Up to €54,000 VAT refund on renovation works for UCA properties
Stamp duty exemption
First-time buyers: 0% on first €200,000. UCA buyers: 0% on first €750,000
Stamp Duty — Standard Rates
Standard stamp duty is 5% of purchase price.
First-time buyers: 0% on first €200,000, 5% on the rest.
UCA properties: 0% on first €750,000 — the most significant exemption available.
Seller pays: Property Transfer Tax at 8% of sale price (or 2% in some cases). This is the seller's cost, not the buyer's.
First-time buyers: 0% on first €200,000, 5% on the rest.
UCA properties: 0% on first €750,000 — the most significant exemption available.
Seller pays: Property Transfer Tax at 8% of sale price (or 2% in some cases). This is the seller's cost, not the buyer's.
Market Prices by Area — 2026
Sliema / St Julian's€500K–€1.5M+
Valletta€350K–€800K
Central Malta€250K–€500K
South Malta€180K–€350K
Gozo€150K–€400K
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Frequently Asked Questions
Is there an annual property tax in Malta?
No. Malta has no annual property tax. You pay stamp duty once when you buy (5%, with significant exemptions for first-time buyers and UCA properties), and the seller pays Property Transfer Tax (8%) when selling. After purchase, no recurring government tax on ownership — this is a significant advantage over Portugal, Greece and the UK.
Can foreigners buy property in Malta?
Yes. EU citizens who have been resident in Malta for 5+ years can buy anywhere without restrictions. Non-resident EU citizens and non-EU nationals need an AIP (Acquisition of Immovable Property) permit to buy outside Special Designated Areas. In SDAs such as Portomaso and Tigne Point, all nationalities can buy freely without a permit.
What is a UCA property and what grants are available?
UCA stands for Urban Conservation Area — typically older, character properties in traditional towns and villages. First-time buyers of UCA properties get: 0% stamp duty on the first €750,000; a restoration grant of €15,000 (Malta) or €40,000 (Gozo); and a VAT refund of up to €54,000 on approved renovation works.
How is rental income taxed in Malta?
Flat 15% final withholding tax on gross rental income. Simple, low and final — you don't need to include it in your annual income tax return if you take this rate. Most landlords do. For short-term rentals (Airbnb-style), a Malta Tourism Authority licence is required regardless of nationality.
Does buying property in Malta give residency?
Property purchase alone does not give residency. However, it is a qualifying component within the Malta Permanent Residency Programme (MPRP — minimum €375,000 purchase) and the Malta Residency Programme (minimum €275,000). Both require additional government contributions and due diligence beyond the property purchase.
What is the difference between freehold and leasehold in Malta?
Freehold means you own land and building outright. Leasehold (enfitewsi) means a third party owns the land and charges annual ground rent — sometimes as low as €50/year, sometimes more. Non-freehold can often be converted to freehold through negotiation with the landowner. Always verify freehold/leasehold status with your notary before signing.