Authored by the expert who managed and guided the team behind the Malta Property Pack
Everything you need to know before buying real estate is included in our Malta Property Pack
Yes, foreigners can buy property in Malta, but the rules depend on your nationality, how long you have lived there, and where you want to purchase.
Malta has specific permit requirements and minimum price thresholds that most foreign buyers need to navigate before completing a purchase.
This guide covers what you can legally own, the buying process, taxes, mortgages, and the most common mistakes foreigners make in Malta in 2026.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Malta.
Insights
- Foreigners who buy property under Malta's AIP permit system cannot legally rent it out, which catches many investors off guard when planning buy-to-let strategies.
- Non-residents are generally limited to purchasing only one property in Malta, unless they buy inside a designated Special Designated Area like Portomaso or Tigne Point.
- Malta has no annual property tax for homeowners, which is unusual in Europe and means your recurring costs are mostly maintenance, insurance, and any ground rent.
- The minimum purchase price for foreigners needing an AIP permit is around 175,000 euros for apartments and over 300,000 euros for houses or villas in 2026.
- Maltese mortgage rates for residents sit between 2.5% and 3.4%, but non-residents typically pay a premium of 0.7 to 1 percentage point on top.
- Buyer closing costs in Malta generally range from 6.5% to 8.5% of the purchase price, with stamp duty at 5% being the largest single expense.
- EU citizens who have lived in Malta continuously for five years can usually buy without needing an AIP permit, which simplifies the process significantly.
- Malta's rental income tax for foreigners can be as low as 15% if you elect the flat-rate final withholding option, but only if renting is allowed for your property type.
What can I legally buy and truly own as a foreigner in Malta?
What property types can foreigners legally buy in Malta right now?
Foreigners can legally buy apartments, maisonettes, penthouses, townhouses, villas, and even farmhouses in Malta, as the law regulates who can buy rather than what property types are available.
The most important condition is that most non-EU buyers and EU citizens who have not lived in Malta for five years need to obtain an Acquisition of Immovable Property (AIP) permit before completing a purchase.
This permit comes with minimum purchase thresholds, currently around 175,000 euros for flats and maisonettes and around 300,000 euros for other property types like houses and villas.
The exception is Special Designated Areas (SDAs) such as Portomaso, Tigne Point, and Smart City, where foreigners can often buy without an AIP permit and without the one-property restriction.
Finally, please note that our pack about the property market in Malta is specifically tailored to foreigners.
Can I own land in my own name in Malta right now?
Yes, foreigners can own land in their own name in Malta when they purchase a house, villa, or townhouse, as these properties typically include the land footprint as part of the freehold title.
The key limitation is not on land ownership itself but on how many properties you can buy and whether you need an AIP permit, which applies to most non-residents regardless of whether the purchase includes land.
You should also watch for Malta-specific title structures like perpetual ground rent or temporary emphyteusis, which are long-lease arrangements that can affect what you truly own even if you are legally allowed to buy.
As of 2026, what other key foreign-ownership rules or limits should I know in Malta?
As of January 2026, the rule that surprises most foreign buyers in Malta is that property purchased under an AIP permit cannot be rented out and must be used solely as your residence.
There is no foreign-ownership quota for apartments or condos in Malta, but non-residents are typically limited to buying just one property unless they purchase within a Special Designated Area.
Foreigners must apply for the AIP permit during the promise-of-sale period, and approval typically takes several weeks, so this step needs to be built into your purchase timeline.
There have been no major regulatory changes to foreign ownership rules announced for 2026, but the minimum purchase values for AIP are indexed and updated periodically, so buyers should confirm the current thresholds before signing any agreement.
If you're interested, we go much more into details about the foreign ownership rights in Malta here.
What's the biggest ownership mistake foreigners make in Malta right now?
The biggest ownership mistake foreigners make in Malta is buying under an AIP permit while planning to rent the property out later, not realizing that AIP properties cannot legally be rented.
If you make this mistake, you could find yourself stuck with a property that generates no income and that you cannot easily sell to another foreign buyer who also wants rental income.
Other classic pitfalls in Malta include not checking whether a property has unauthorized extensions, missing ground rent obligations buried in the title, and assuming you can buy a second property later without understanding the one-property rule.
We have made this infographic to give you a quick and clear snapshot of the property market in Malta. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which visa or residency status changes what I can do in Malta?
Do I need a specific visa to buy property in Malta right now?
No, Malta does not require a specific visa to buy property, and you can sign a promise of sale and complete a purchase even while visiting on a tourist visa.
The most common administrative hurdle for buyers without local residency is obtaining the AIP permit, which is based on your nationality and residency status rather than your visa type.
You do not need a Maltese tax ID just to buy property, but if you plan to earn rental income or have other Maltese tax obligations, you should register as an expatriate taxpayer through the official government portal.
Foreign buyers typically need to present a valid passport, proof of funds, and sometimes a police clearance certificate, and many buyers also arrange a power of attorney so they do not need to be physically present for every step.
Does buying property help me get residency and citizenship in Malta in 2026?
As of January 2026, buying property in Malta does not automatically give you residency or citizenship, but it can be one component of certain residency programmes that have property requirements.
Malta's Permanent Residence Programme (MPRP) requires applicants to either buy or rent a qualifying property and meet other financial and background conditions to obtain long-term residency.
For citizenship, there is no direct path through property purchase alone, and Malta's investment citizenship routes have faced significant EU scrutiny in recent years, so any claims of easy citizenship through real estate should be treated with caution.
We give you all the details you need about the different pathways to get residency and citizenship in Malta here.
Can I legally rent out property on my visa in Malta right now?
Your visa status does not directly determine whether you can rent out property in Malta, but the type of property you bought and the permit conditions attached to it absolutely do.
You do not need to live in Malta to rent out a property, and many foreign owners manage rentals from abroad using local property managers, but only if renting is legally permitted for their specific property.
The critical detail foreigners must know is that properties bought under an AIP permit cannot be rented out at all, so if rental income is your goal, you should focus on buying in a Special Designated Area where this restriction typically does not apply.
We cover everything there is to know about buying and renting out in Malta here.
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Don't base significant investment decisions on outdated data. Get updated and accurate information with our guide.
How does the buying process actually work step-by-step in Malta?
What are the exact steps to buy property in Malta right now?
The standard sequence in Malta starts with agreeing on a price, then signing a Promise of Sale (called a Konvenju) before a notary and paying a deposit, followed by applying for an AIP permit if required, completing notarial due diligence, arranging financing and insurance, signing the final deed, and finally registering the property.
You do not have to be physically present for every step because Malta allows the use of a power of attorney, though many buyers prefer to attend the final deed signing in person.
The Promise of Sale is the step that typically makes the deal legally binding for both parties, and walking away after signing usually means losing your deposit or facing legal action.
From accepted offer to final registration, the process in Malta typically takes between two and four months, depending on whether you need an AIP permit and how quickly financing is arranged.
We have a document entirely dedicated to the whole buying process our pack about properties in Malta.
Is it mandatory to get a lawyer or a notary to buy a property in Malta right now?
A notary is effectively mandatory in Malta because notaries handle conveyancing, title searches, deed drafting, publication, and registration, making them central to every property transaction.
The main difference is that the notary acts as a neutral public official who formalizes the transaction for both parties, while a lawyer you hire separately would advocate specifically for your interests and scrutinize the deal from your perspective.
One key item to include in any lawyer or notary engagement is a clear scope for verifying that there are no unauthorized building works, outstanding ground rents, or planning enforcement notices that could affect your ownership.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Malta versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
What checks should I run so I don't buy a problem property in Malta?
How do I verify title and ownership history in Malta right now?
The official sources to verify title and ownership history in Malta are the Public Registry for deed chains and the Land Registration Agency for properties in designated registration areas.
The key document to request is a certified copy of the title deed or, in Land Registration Areas, a certificate from the Land Registration Agency confirming the registered owner and any noted encumbrances.
Buyers in Malta commonly check ownership history going back at least 30 years, and your notary will typically trace the full chain of title to ensure there are no gaps or disputes.
A clear red flag that should stop or pause a purchase is any unresolved inheritance dispute, missing heir signatures, or a title that passed through a sale without proper documentation.
You will find here the list of classic mistakes people make when buying a property in Malta.
How do I confirm there are no liens in Malta right now?
The standard way to confirm there are no liens or encumbrances on a property in Malta is through your notary's searches of the Public Registry and, where applicable, the Land Registration Agency records.
One common type of encumbrance to specifically ask about is a hypothec, which is a mortgage-like security interest that must be cleared before the property can transfer cleanly to you.
The best proof of lien status is a notarial certificate or search report confirming that no hypothecs, privileges, or other charges are registered against the property at the time of your purchase.
How do I check zoning and permitted use in Malta right now?
The authority to check zoning and permitted use in Malta is the Planning Authority, and its online eApps portal allows you to search planning applications, permits, and enforcement notices by address or application number.
The document that confirms zoning classification is typically a planning permit or a certificate from the Planning Authority showing the property's approved use and any conditions attached.
A common zoning pitfall foreigners miss in Malta is buying a property with converted garages, rooftop rooms, or split units that were never formally sanctioned, which can lead to enforcement action or difficulty reselling.
Buying real estate in Malta can be risky
An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
Can I get a mortgage as a foreigner in Malta, and on what terms?
Do banks lend to foreigners for homes in Malta in 2026?
As of January 2026, yes, Maltese banks do lend to foreigners for home purchases, though the process involves more documentation and often less generous terms than for local residents.
Foreign borrowers in Malta typically see loan-to-value ratios between 60% and 70%, while residents with local income can often access up to 80% LTV.
The most common eligibility requirement that determines whether a foreigner qualifies is having verifiable income, whether local or foreign, and banks will scrutinize currency risk and employment stability more closely for non-residents.
You can also read our latest update about mortgage and interest rates in Malta.
Which banks are most foreigner-friendly in Malta in 2026?
As of January 2026, the banks most commonly cited as foreigner-friendly for mortgages in Malta are Bank of Valletta, HSBC Bank Malta, and APS Bank, with BNF Bank and Lombard Bank also serving this market.
The feature that makes these banks more foreigner-friendly is their willingness to underwrite foreign-source income, offer English-language service, and work with buyers who may not yet have Maltese residency.
These banks do lend to non-residents in Malta, though you should expect stricter documentation requirements and potentially a pricing premium compared to what residents pay.
We actually have a specific document about how to get a mortgage as a foreigner in our pack covering real estate in Malta.
What mortgage rates are foreigners offered in Malta in 2026?
As of January 2026, foreigners in Malta can expect mortgage interest rates roughly between 3.2% and 4.3%, which reflects a premium of about 0.7 to 1 percentage point above the rates offered to residents with local income.
Variable-rate mortgages in Malta tend to start lower than fixed rates but carry the risk of increasing with ECB policy changes, while fixed-rate products offer payment certainty at a slightly higher initial cost.
We made this infographic to show you how property prices in Malta compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What will taxes, fees, and ongoing costs look like in Malta?
What are the total closing costs as a percent in Malta in 2026?
The typical total closing cost for a buyer in Malta in 2026 is around 7% to 8% of the purchase price for a cash transaction.
The realistic range that covers most standard transactions runs from about 6.5% on the low end to 9.5% on the high end if you are taking out a mortgage and adding bank fees, valuations, and required insurance.
The specific fee categories that make up closing costs in Malta include stamp duty, notary fees and disbursements, registration costs, and if applicable, mortgage arrangement fees and valuation charges.
The single biggest contributor to closing costs in Malta is stamp duty, which is typically 5% of the purchase price paid by the buyer.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Malta.
What annual property tax should I budget in Malta in 2026?
As of January 2026, Malta does not have a traditional annual property tax or council tax for simply owning a home, so your recurring costs are mainly building maintenance, common area fees for apartments, any ground rent if your title has one, and insurance, which typically adds up to between 600 and 1,800 euros per year for an apartment or 900 to 3,000 euros for a house.
Since there is no assessed-value-based annual property tax in Malta, your budget should focus on actual service charges, sinking funds for building repairs, and insurance premiums rather than a government-imposed yearly levy.
How is rental income taxed for foreigners in Malta in 2026?
As of January 2026, the typical effective tax rate on rental income for foreigners in Malta can be as low as 15% if you elect the final withholding tax option on gross rent, which applies to both residents and non-residents.
If you choose this 15% flat rate, you simply pay on the gross rent received without claiming any deductions, and the tax is considered final, meaning no further filing is required for that income in Malta.
What insurance is common and how much in Malta in 2026?
As of January 2026, typical annual home insurance premiums in Malta range from about 180 to 450 euros for apartments and 300 to 900 euros for houses or villas, depending on the sums insured and coverage selected.
The most common type of property insurance coverage in Malta is buildings insurance, which covers the structure itself and is usually required by lenders if you have a mortgage.
The biggest factor that makes insurance premiums higher or lower for the same property type in Malta is the declared rebuild value and location, with higher-value properties in exposed coastal areas typically paying more than inland apartments.
Get the full checklist for your due diligence in Malta
Don't repeat the same mistakes others have made before you. Make sure everything is in order before signing your sales contract.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Malta, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Malta Tax & Customs Administration (MTCA) AIP FAQ | Official government guidance for foreigners buying property in Malta. | We used it to confirm AIP permit rules, minimum purchase values, rental restrictions, and the one-property limit. We cross-checked these rules against Chapter 246. |
| MTCA Conditions for Buying Property | Government summary of who needs an AIP permit and when. | We used it to distinguish EU/EEA/Swiss buyers from third-country nationals. We explained primary vs secondary residence logic based on this page. |
| Chapter 246 (Malta's Immovable Property Law) | The actual statute behind AIP rules in Malta. | We used it as the legal source of truth for ownership rights. We interpreted it using MTCA guidance for buyer-friendly language. |
| PwC Malta Property Tax & Duty | Major international consultancy summarizing Maltese tax rules. | We used it to verify the standard 5% stamp duty rate. We cross-checked closing cost components against MTCA guidance. |
| MTCA Rental Income Manual | Official MTCA manual explaining how rental income is taxed. | We used it to confirm the 15% final withholding tax option for non-residents. We built rental income tax guidance based on this document. |
| Central Bank of Malta | Malta's central bank publishing official interest rate statistics. | We used it to anchor mortgage rate estimates for Malta. We triangulated these rates with ECB data and bank pricing. |
| European Central Bank MFI Statistics | Euro area's official source for harmonized bank rate data. | We used it to cross-check Malta mortgage rates against the euro area context. We avoided relying on marketing rates alone. |
| Land Registration Agency Malta | Official agency for land registration and title rules in Malta. | We used it to explain where registration applies and how title verification works. We incorporated it into our due diligence checklist. |
| Planning Authority eApps Portal | Official portal for planning permits and enforcement status. | We used it to show how buyers can check permits and sanctioning history. We flagged common zoning pitfalls based on this tool. |
| MPRP Regulations (S.L. 217.26) | Official regulation text for Malta's permanent residence programme. | We used it to explain property requirements tied to residency pathways. We treated it as the legal baseline for MPRP conditions. |
| MFSA Home Insurance Explainer | Malta's financial regulator explaining consumer insurance basics. | We used it to clarify buildings vs contents coverage. We structured the insurance cost section based on MFSA guidance. |
| Frank Salt Real Estate | Established Maltese agency providing mortgage market overviews. | We used it to identify foreigner-friendly banks in Malta. We cross-checked lender names against our internal tracking. |
| GVZH Advocates | Reputable Malta law firm providing real estate tax summaries. | We used it to confirm the absence of annual property tax in Malta. We built recurring cost estimates from actual expense categories. |
| GasanMamo Insurance | Major Maltese insurer offering home insurance products. | We used it to estimate typical insurance premium ranges. We calibrated our figures against MFSA definitions and EU benchmarks. |
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Malta. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
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