Let’s recap on the Malta Budget of 2025
The Malta Budget 2025 has brought in several key changes to support property buyers, especially those entering the market for the first time or interested in renovating in historic areas. Here’s a closer look at what these updates mean for you if you’re considering buying a property in Malta.
Boosted UCA Grant for First-Time Buyers
Good news for first-time buyers looking for properties in Malta’s Urban Conservation Areas (UCAs)! You’ll continue to receive a €15,000 grant and full tax exemption on your purchase if your new home has been built for more than 20 years and has remained vacant for at least 7 years. This incentive not only reduces upfront costs but also encourages investment in Malta’s beautiful, historic neighborhoods.
Extended UCA Renovation Scheme for Property Owners
If you’re planning to purchase a property within a UCA and take on a renovation project, you’ll appreciate the extended UCA Renovation Scheme. With this, you can receive a VAT refund on renovation expenses up to €54,000 for the first €300,000 spent on restorations and finishes. This substantial financial support can make all the difference in turning a historic property into a modern home while preserving its uniqueness and architectural significance.
Expanded Stamp Duty Exemptions
The government has extended its stamp duty reductions for both first-time and second-time buyers, helping make property ownership more accessible:
- First-time buyers now enjoy a complete exemption on stamp duty up to €200,000 on their primary residence.
- Second-time buyers will benefit from a stamp duty exemption on the first €86,000 on their next property.
These exemptions significantly reduce costs, making it easier for first-time buyers to break into the market and for second-time buyers to upgrade or invest in a new home.
Extended €10,000 Grant for First-Time Buyers
As a first-time buyer, you’re eligible for a €10,000 grant, paid out in installments of €1,000 per year over 10 years. This extended grant helps reduce the long-term financial burden, offering a steady contribution toward property ownership and allowing for more freedom in managing costs over time.
10% Deposit Scheme for First-Time Buyers
For those qualified for a home loan but lacking the full down payment, the 10% Deposit Scheme offers a helpful solution. Designed for first-time buyers, this scheme provides the 10% deposit required for properties worth up to €225,000, allowing you to repay it over 25 years with no interest. This makes it easier to take your first step into property ownership without the immediate pressure of gathering a down payment.
How do these incentives support your property goals?
The 2025 budget incentives make it simpler to purchase, renovate, and establish roots in Malta, especially for first-time buyers and those interested in revitalising historic properties.
Sara Grech Real Estate is here to help you navigate these incentives, offering guidance on properties that qualify and insights on Malta’s evolving market. Whether you’re looking for your first home, an investment, or a property restoration opportunity, these schemes make 2025 an ideal year to explore Malta’s real estate potential.
If you have any questions on how to make the most of these opportunities, reach out to our team at Sara Grech Real Estate. We’re here to support you every step of the way on your property journey.