Authored by the expert who managed and guided the team behind the Malta Property Pack
Yes, the analysis of Valletta's property market is included in our pack
If you are thinking about buying an apartment in Valletta, one of the first questions you probably have is how much rent you can actually charge and what kind of return you can expect on your investment.
Valletta is unique because it is a UNESCO World Heritage city with limited housing stock, which affects both prices and rental demand in ways that differ from other parts of Malta.
We constantly update this blog post to give you the freshest numbers and insights available.
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 Valletta.
What rental yields can I realistically get from an apartment in Valletta?
What's the average gross rental yield for apartments in Valletta as of 2026?
As of early 2026, the estimated average gross rental yield for apartments in Valletta sits around 4.2%, which is a reasonable middle-ground expectation for a well-located long-term rental property in the city.
The realistic range of gross rental yields for most apartment investments in Valletta falls between 3.5% and 5.0%, depending on purchase price, location within the city, and the quality of the unit.
The main factor that causes gross rental yields to vary significantly between different Valletta apartments is the heritage-constrained nature of the city, where older stone buildings with character often command premium purchase prices that compress yields, while units needing renovation can offer higher returns if bought below market value.
Compared to other major rental hubs in Malta like Sliema, Gzira, and St Julian's, Valletta apartments typically deliver slightly lower gross yields because the purchase prices in the capital tend to be higher relative to achievable rents due to the prestige and scarcity of housing stock in this historic fortified city.
What's the average net rental yield for apartments in Valletta as of 2026?
As of early 2026, the estimated average net rental yield for apartments in Valletta is around 3.0%, which accounts for the typical costs landlords face in this market.
The realistic range of net rental yields that most apartment investors can expect in Valletta falls between 2.5% and 3.5%, with the variation depending on building condition, management choices, and how you handle taxes.
The single biggest expense category that reduces gross yield to net yield for Valletta apartments is the combination of maintenance costs and the 15% final withholding tax on gross rent, because the city's older stone buildings exposed to humidity and salt air require more frequent upkeep than modern blocks elsewhere in Malta, and the flat tax does not allow expense deductions.
By the way, you will find much more detailed data in our property pack covering the real estate market in Valletta.
What's the typical rent-to-price ratio for apartments in Valletta in 2026?
As of early 2026, the typical rent-to-price ratio for apartments in Valletta is about 0.35% per month, which translates to roughly 4.2% gross yield annually.
The realistic range of rent-to-price ratios that covers most apartment transactions in Valletta spans from 0.30% to 0.42% per month, meaning annual gross yields between 3.6% and 5.0%.
Within Valletta, apartments in less touristy residential streets just off Republic Street and Merchants Street, as well as units closer to the Floriana boundary, tend to have the highest rent-to-price ratios because purchase prices are somewhat lower while rental demand remains strong from expats and professionals seeking the capital's walkability and charm.
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How much rent can I charge for an apartment in Valletta?
What's the typical tenant budget range for apartments in Valletta right now?
The estimated typical monthly tenant budget range for renting an apartment in Valletta in early 2026 spans from around 900 EUR (roughly 970 USD) for a compact unit to 2,700 EUR (roughly 2,900 USD) or more for larger, premium properties.
For tenants targeting mid-range apartments in Valletta, the budget typically falls between 1,300 EUR and 1,900 EUR per month (roughly 1,400 USD to 2,050 USD), which gets you a nice 1-bedroom or an average 2-bedroom in a decent location.
For tenants seeking high-end or luxury apartments in Valletta, budgets usually start at 2,700 EUR per month (roughly 2,900 USD) and can exceed 3,500 EUR (roughly 3,780 USD) for large 3-bedroom units with heritage features, terraces, or harbor views.
We have a blog article where we update the latest data about rents in Valletta here.
What's the average monthly rent for a 1-bed apartment in Valletta as of 2026?
As of early 2026, the estimated average monthly rent for a 1-bed apartment in Valletta is around 1,150 EUR (roughly 1,240 USD).
The realistic entry-level monthly rent range for a decent 1-bed apartment in Valletta is between 950 EUR and 1,100 EUR (roughly 1,025 USD to 1,190 USD), and these units are typically older, located on darker interior streets, or lack any outdoor space like a balcony.
The realistic mid-range monthly rent for a typical 1-bed apartment in Valletta falls between 1,150 EUR and 1,300 EUR (roughly 1,240 USD to 1,400 USD), and these units usually have good natural light, a bright living space, and are located on quieter but still central streets.
The realistic high-end monthly rent for a luxury 1-bed apartment in Valletta ranges from 1,300 EUR to 1,450 EUR (roughly 1,400 USD to 1,565 USD), and these are typically renovated heritage units with quality finishes, a small balcony or terrace, and are located near desirable spots like Upper Barrakka or the Waterfront area.
What's the average monthly rent for a 2-bed apartment in Valletta as of 2026?
As of early 2026, the estimated average monthly rent for a 2-bed apartment in Valletta is around 1,650 EUR (roughly 1,780 USD).
The realistic entry-level monthly rent range for a decent 2-bed apartment in Valletta is between 1,350 EUR and 1,500 EUR (roughly 1,460 USD to 1,620 USD), and these are typically older units with basic finishes, possibly on higher floors without a lift, or in less sought-after corners of the city.
The realistic mid-range monthly rent for a typical 2-bed apartment in Valletta falls between 1,500 EUR and 1,800 EUR (roughly 1,620 USD to 1,940 USD), and these units usually offer a good layout, decent light, air conditioning, and are located on pleasant residential streets like those off Republic Street or Merchants Street.
The realistic high-end monthly rent for a luxury 2-bed apartment in Valletta ranges from 1,800 EUR to 2,200 EUR (roughly 1,940 USD to 2,375 USD), and these are typically well-renovated heritage properties with outdoor space like a balcony or terrace, harbor views, or a prestigious address near the Waterfront or Upper Barrakka.
What's the average monthly rent for a 3-bed apartment in Valletta as of 2026?
As of early 2026, the estimated average monthly rent for a 3-bed apartment in Valletta is around 2,350 EUR (roughly 2,540 USD).
The realistic entry-level monthly rent range for a decent 3-bed apartment in Valletta is between 2,000 EUR and 2,200 EUR (roughly 2,160 USD to 2,375 USD), and these are typically functional units in older buildings that may need some updating, located away from the prime waterfront or view areas.
The realistic mid-range monthly rent for a typical 3-bed apartment in Valletta falls between 2,200 EUR and 2,700 EUR (roughly 2,375 USD to 2,915 USD), and these units usually offer good space, reasonable finishes, air conditioning, and a location on quieter central streets with decent access to amenities.
The realistic high-end monthly rent for a luxury 3-bed apartment in Valletta ranges from 2,700 EUR to 3,500 EUR or more (roughly 2,915 USD to 3,780 USD+), and these are typically prime heritage restorations with large terraces, stunning harbor or city views, high-end finishes, and addresses near the Waterfront, Upper Barrakka, or Castille area.
How fast do well-priced apartments get rented in Valletta?
The estimated average time-to-rent for a well-priced apartment in Valletta is typically between 2 and 6 weeks in early 2026.
The typical vacancy rate for apartments in Valletta remains relatively low, generally under 5%, because demand from expats, professionals, and lifestyle renters stays consistent in this compact, desirable capital city.
The main factors that cause some Valletta apartments to rent faster than others include brightness and natural light (many heritage buildings have dark interiors), the presence of even a small balcony or terrace, strong internet connectivity for remote workers, and avoiding quirky layouts common in older stone buildings.
And if you want to know what should be the right price, check our latest update on how much an apartment should cost in Valletta.
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.
Which apartment type gives the best yield in Valletta?
Which is better for yield between studios, 1-bed, 2-bed and 3-bed apartments in Valletta as of 2026?
As of early 2026, the apartment type that typically offers the best rental yield in Valletta is the 1-bedroom, followed closely by studios, because smaller units command the highest rent per square meter while purchase prices stay more accessible.
The typical gross rental yield range for each apartment type in Valletta is roughly 4.0% to 5.0% for studios and 1-beds, around 3.5% to 4.5% for 2-beds, and approximately 3.0% to 4.0% for 3-beds.
The main reason why 1-beds and studios tend to outperform larger units in Valletta is that tenants in this UNESCO World Heritage city pay a premium for location and charm rather than space, and the smaller renter pool for large 3-bed apartments combined with their high purchase prices significantly compresses yields.
Which features are best if you want a good yield for your apartment in Valletta?
The top features that most positively impact rental yield for Valletta apartments are outdoor space (even a small balcony matters hugely in this dense historic city), good natural light and ventilation, air conditioning with dehumidification to combat salt air and humidity in stone buildings, and reliable high-speed internet for the remote workers who make up a growing share of tenants.
In Valletta, higher floors with lift access are easiest to rent out because they typically offer better light and views, while ground-floor units can suffer from dampness and limited privacy in narrow heritage streets.
Apartments with balconies or terraces in Valletta command noticeably higher rents and rent faster because outdoor space is rare and highly prized in this fortified city where most buildings were constructed centuries ago without such amenities.
Building features like elevators justify higher service charges in Valletta because many older buildings lack them, and tenants readily pay more to avoid climbing multiple flights of stairs in converted heritage properties.
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Which neighborhoods give the best rental demand for apartments in Valletta?
Which neighborhoods have the highest rental demand for apartments in Valletta as of 2026?
As of early 2026, the top micro-areas with the highest rental demand for apartments in Valletta include the Waterfront and Pinto Wharf area, the City Gate and Triton Square vicinity, the corridors along Republic Street (Triq ir-Repubblika) and Merchants Street (Triq il-Merkanti), and the Upper Barrakka and Castille neighborhood.
The main demand driver that makes these Valletta neighborhoods attractive to apartment tenants is the combination of walkability to restaurants, shops, and cultural sites, plus easy transport access at City Gate, which appeals strongly to the expats and professionals who dominate the rental market in Malta's capital.
The typical vacancy rate and time-to-rent in these high-demand Valletta micro-areas is quite low, with well-priced units often finding tenants within 2 to 4 weeks because supply is limited by the city's heritage building constraints.
One emerging area gaining rental demand momentum in Valletta is the Strait Street neighborhood, which has transformed from a quiet backstreet into a trendy zone with bars and restaurants, though demand there depends on tenant tolerance for evening noise.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Valletta.
Which neighborhoods have the highest yields for apartments in Valletta as of 2026?
As of early 2026, the top Valletta micro-areas with the highest rental yields for apartments are the edges closer to Floriana, quieter residential streets just off Republic Street and Merchants Street, and units with fixable cosmetic issues that can be bought below market value.
The typical gross rental yield range in these higher-yielding Valletta areas is around 4.5% to 5.0%, compared to 3.5% to 4.0% for prime waterfront or view properties where purchase premiums are steeper.
The main reason these Valletta neighborhoods offer higher yields than others is that purchase prices per square meter are somewhat lower while rents stay strong, because tenants care most about being inside the city walls and having walkable access to amenities rather than paying extra for postcard-perfect harbor views.
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.
Should I do long-term rental or short-term rental in Valletta?
Is short-term rental legal for apartments in Valletta as of 2026?
As of early 2026, short-term rental is legal for apartments in Valletta, but you must obtain a Holiday Furnished Premises licence from the Malta Tourism Authority before operating.
The main legal requirement for operating a short-term rental apartment in Valletta is securing this licence, which involves an application process, compliance checks, and periodic renewal to ensure your property meets tourism accommodation standards.
For Airbnb-style rentals in Valletta, you must register with the Malta Tourism Authority and display your licence number on all listings, and the process applies whether your unit is classified as a studio, apartment, or maisonette.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Valletta.
What's the gross yield difference short-term vs long-term in Valletta in 2026?
As of early 2026, the gross yield difference between short-term and long-term rental strategies for apartments in Valletta is significant, with short-term rentals potentially reaching 5.5% to 9.0% gross compared to 3.5% to 5.0% gross for long-term lets.
The typical gross yield range for short-term rentals in Valletta is 5.5% to 9.0% when well-managed, while long-term rentals typically deliver 3.5% to 5.0% gross, making short-lets look much more attractive on paper.
The main additional costs that reduce the net yield advantage of short-term rentals in Valletta include platform fees (typically 3% to 15%), frequent cleaning and laundry, higher furniture wear and replacement, licensing compliance time, and more volatile occupancy during off-peak seasons.
To outperform a long-term rental in Valletta, a short-term rental typically needs to achieve at least 55% to 65% occupancy at competitive nightly rates, because once you factor in all the extra costs and management effort, the net advantage over a steady long-let shrinks considerably.
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What costs will eat into my net yield for an apartment in Valletta?
What are building service charges as a % of rent in Valletta as of 2026?
As of early 2026, the typical building service charge for apartments in Valletta runs between 5% and 10% of monthly rent, which translates to roughly 60 EUR to 165 EUR per month (65 USD to 180 USD) for a unit renting at 1,200 EUR to 1,650 EUR.
The realistic range of building service charges for most Valletta apartments spans from around 3% of rent for simple buildings with minimal common areas up to 12% or more for properties with lifts, maintained courtyards, or higher-end shared facilities.
In Valletta specifically, the services that typically justify higher-than-average service charges include lift maintenance (crucial in taller heritage buildings), regular upkeep of stone facades and shared stairwells, and managing drainage or humidity issues that affect older buildings exposed to the Mediterranean climate.
What annual maintenance budget should I assume for an apartment in Valletta right now?
The estimated typical annual maintenance budget that apartment owners should assume in Valletta is between 0.6% and 1.0% of property value, which for a 500,000 EUR apartment means setting aside roughly 3,000 EUR to 5,000 EUR per year (3,240 USD to 5,400 USD).
The realistic range of annual maintenance costs in Valletta varies from around 0.4% to 0.5% of property value for newer or well-maintained units up to 1.2% or more for older heritage buildings requiring regular attention.
The most common maintenance expenses Valletta apartment owners face annually include dealing with humidity and salt air damage to fixtures and finishes, maintaining older plumbing and electrical systems in heritage buildings, addressing stonework and facade issues, and replacing air conditioning filters more frequently due to the coastal environment.
What property taxes should I expect for an apartment in Valletta as of 2026?
As of early 2026, Malta does not charge a classic annual property tax simply for owning an apartment in Valletta, which is unusual compared to many other European countries.
The realistic range of annual property holding taxes in Valletta is essentially zero for the ownership itself, but you will face significant taxes on rental income (15% final withholding tax on gross rent is the most common choice) and on property transfers when buying or selling.
Property taxes in Malta are calculated primarily at the transaction stage through the duty on documents and transfers, not as a recurring annual charge, which means your ongoing holding costs focus on maintenance, insurance, and income tax rather than a yearly property levy.
There are no specific annual property tax exemptions needed in Valletta because the recurring tax simply does not exist in the traditional sense, though first-time buyers and certain property types may qualify for reduced stamp duty rates at purchase.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Valletta.
How much does landlord insurance cost for an apartment in Valletta in 2026?
As of early 2026, the typical annual landlord insurance cost for an apartment in Valletta is between 200 EUR and 450 EUR (roughly 215 USD to 485 USD), covering buildings, contents, and basic liability.
The realistic range of annual landlord insurance costs in Valletta spans from around 150 EUR (160 USD) for basic coverage on a smaller unit up to 600 EUR (650 USD) or more for comprehensive policies on higher-value properties or those used for short-term rentals with higher liability limits.
What's the typical property management fee for apartments in Valletta as of 2026?
As of early 2026, the typical property management fee for long-term rental apartments in Valletta is between 8% and 12% of monthly rent, which for a unit renting at 1,650 EUR means roughly 130 EUR to 200 EUR per month (140 USD to 215 USD), plus VAT where applicable.
The realistic range of property management fees for Valletta apartments spans from around 8% for basic long-let management up to 15% to 25% of revenue for short-term rental management that includes guest turnover, pricing optimization, cleaning coordination, and channel management.
Services typically included in standard Valletta property management fees are tenant sourcing, rent collection, routine maintenance coordination, periodic inspections, and handling tenant communications, though some managers charge additional letting fees when sourcing new tenants.
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 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 Valletta, 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 Housing Authority Rent Report 2023 | Official government source using real registered contract data. | We used it to anchor typical rent levels and understand where rental demand concentrates in Malta. We also used its methodology notes to keep our estimates realistic. |
| Malta Housing Authority H2 2023 Update | Same official register-based source with fresher data. | We used it to verify rental market activity stayed strong after 2022. We used it as a directional update so our early 2026 view reflects recent conditions. |
| Annual Malta Residential Rental Study | Official Housing Authority research with formal methods. | We used it to understand how Malta defines rents, contract types, and market coverage. We also used it to cross-check what drives rent differences. |
| NSO Malta Property Releases | Malta's official statistics office with standardized data. | We used it to anchor national price dynamics and transaction context. We avoided relying on listing chatter for market direction. |
| FRED Eurostat Rental Index for Malta | Official Eurostat data curated by the St. Louis Fed. | We used it to scale older rent anchors forward to early 2026. We specifically used the December 2022 to December 2025 values to estimate rent growth. |
| Malta Tourism Authority Licensing | The regulator's own licensing process for short-lets. | We used it to confirm short-term rental is legal with licensing. We also used it to frame compliance steps that affect net yields. |
| servizz.gov.mt Government Portal | Malta's official government services portal. | We used it to corroborate the legal requirement for short-let licensing. We used it to explain what category your apartment falls into. |
| rentregistration.mt | Official rent registration site explaining legal rules. | We used it to explain long-term lease minimums and notice periods. We used it to translate market liquidity into contractual reality. |
| MTCA Manual on Rental Income Taxation | Government-issued technical manual on rental taxes. | We used it to model net yields under Malta's 15% final withholding tax. We also used it to highlight when deductions do or don't apply. |
| Commissioner for Revenue Property Transfers | Official authority page for property transfer duty. | We used it to flag that buying costs are meaningful even without annual property tax. We used it to explain total capital outlay. |
| Sciberras Advocates | Maltese legal firm with structured tax guidance. | We used it to corroborate that Malta has no classic annual property tax. We used it as a secondary check alongside government sources. |
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