News

The 2017 Budget in Property Terms

The last Malta budget has brought with it a good number of advantageous elements that can be of immense benefit to you, whether youre a property owner interested in selling your house, a tenant, a landlord, or a potential buyer looking for a great property to invest in.

Buyer

If you are a first time buyer worrying about the extra expenses involved in investing in your first home, think again. The 5,000 tax concession, which is to be retained for another year, will make things easier. Furthermore, if you are interested in buying a town house but the considerable restorations needed are discouraging you, theres some great news in store, as whoever is willing to buy a property which is in need of substantial restorations. You could be reimbursed up to 100,000!

Seller

Are you still trying to sell that property in Gozo youve been trying to get rid of for the past year? This is probably the right time for you. With an impressive 2% tax on all property bought in Gozo, rather than the usual 5%, you will now be in a much better position to convince potential buyers to enter in an agreement with you until next year. Whoever enters an agreement in 2017 and carries out all conclusions until 2018, will benefit from this 3% deduction in tax.

Tenant

Its the age of renting property, and commitments are not for everybody. If you must move home every now and then, the fact that all rental contracts must now be registered with the government will protect you from any misdeeds. Moreover, if youre on a low income, government subsidies are now set to double for you, provided that you produce your rental contract.

Landlord

Its most probably the most opportune moment to opt for colossal monthly rent fee, but the fact is that regulations are on the rise, especially now that the government is requesting that all rental contracts get registered. However, this could also be your good chance to secure a stable income for the next 7 years. If you enter into a 7-year fixed rental agreement with a low-income tenant, you will have the tax on your rental income reduced by 10% from the regular 15%. A 5% tax on your rental income for a 7 year period will surely make your budget forecast more stable, wont it?