Property Purchase in the Malta Budget 2023

The Malta Budget 2023 has introduced several property benefits and incentives, as well as extending previous ones approved in last year’s Malta Budget 2022.

Below a list of advantages introduced in the Maltese property market and real estate by this year’s Malta Budget 2023:

Extension of the reduced rate of the stamp duty for first time buyers (exempt from duty on the first 200,000 of the price of the property purchased)
Extension for second time buyers of the current refund of duty that is paid on the first 86,000 of the value of the replacement property
Reduced stamp duty of 2 euro for every 100 for properties located in Gozo
No capital gains tax or stamp duty on the purchase of properties that are more than 20 years old and have been vacant for seven years or more, in UCAs or built in the 'traditional style' – this in particular has been extended from the Malta Budget 2022

Tax due on the first €200,000 of the value of properties bought or sold and rented for at least 10 years to tenants eligible for the rent benefit given by the Housing Authority will be halved
Interest free loans to people who buy a property of a maximum cost of €225k (increased by €50k) but who cannot afford to pay the 10% deposit.
Tax benefits for private property rented out as affordable housing
Higher rent subsidy capping – it will go from €400 to €500 / month for one-bedroom dwellings, from €500 to €600 / month for two-bedroom dwellings, and from €600 to €700 / month for three-bedroom dwellings.

Below a list of benefits and incentives introduced by the Malta Budget 2023 for first time buyers (Learn more about Malta First Buyers and stamp duty in our Guide)

First time buyers will receive €10,000 cash grant over 10 years, as long as the property price does not exceed €500,000 – this is a new property incentive introduced with this year’s Malta Budget 2023
First-time buyers will receive a grant of €15,000 for purchase of properties that are more than 20 years old and have been vacant for seven years or more, in UCAs or built in the 'traditional style'. That grant rises to €30,000 for Gozitan couples who buy such properties in Gozo.
No capital gains tax or stamp duty applies for those purchases
The stamp duty exemption for first time buyers (exemption on the first €200,000 of the consideration) has been extended

Below a list of benefits and incentives introduced by the Malta Budget 2023 for second time buyers.

Stamp duty exemption for second time buyers (refund of duty paid on the first €86,000 of the value of the replacement property, or the first €150,000 in the case of people with disability or guardians of people with disability) – this has been extended from last year’s Malta Budget
Stamp duty exemption for purchase of a property located in Gozo (rate of duty of €2 for every €100 or part thereof with respect to transfers inter vivos of residential property situated in Gozo). This has also been extended from last year’s Malta Budget.

Get in touch with us to know more about the incentives introduced by the Malta Budget 2023 in the Real Estate market. Speak to our property advisors to learn more about property investment or browse around Arcus Malta Property section to find your dream home in Malta.