Foreigners can buy property in Malta, but the law sorts buyers by citizenship and residence, not budget. EU citizens who have lived in Malta for five continuous years buy freely; EU citizens who have not can buy their main home without a permit but need one for a second home; and non-EU buyers need an AIP permit for one home to live in – except in special designated areas, open to anyone.
Can foreigners buy property in Malta?
Yes, within limits set by the Immovable Property (Acquisition by Non-Residents) Act, Cap. 246. Your passport matters for one reason: the Act gives citizens of Malta and other EU states a route that others do not have. Residence then decides the rest. Since Brexit, UK citizens fall in the non-EU group, alongside buyers from the US, Canada, Australia or India.
| Your status | What you may buy | Cap. 246 permit? | The catch |
|---|---|---|---|
| EU citizen living in Malta for five continuous years | Any property, any number | No | Absences totalling under 90 days a calendar year do not break the five years |
| Non-EU national with long-term resident status | Any property | No | Long-term residence normally comes after five years of legal residence |
| Spouse of an EU citizen, any nationality, buying together | Counts as a resident of Malta for that purchase | No | Both spouses on the same deed; whether the EU spouse needs five years' residence is not clear from the Act's wording – ask a notary |
| EU citizen with under five years in Malta | Your primary residence, or property needed for your business | No | A second or holiday home needs a permit |
| Non-EU citizen (UK, US, Canada, Australia, India …) | One home for you and your family, above a minimum value | Yes – an AIP permit | One property only, used only as your residence |
| Anyone buying in a special designated area | Any property, any number | No | Other laws and taxes still apply |
The Act defines a primary residence as the home where you live, or intend to live, as your main place of abode. The tax authority's guidance adds that for someone not yet living in Malta, this presupposes a change of ordinary residence – a holiday home is typically a secondary residence.
The rules have teeth. A purchase that breaks them is null and void (article 4), and on every deed the buyer must declare why they qualify, after the notary warns them how important it is that the declaration is true (articles 5 and 7).
The Act speaks of citizens of "Malta or another Member State", and the Malta Tax and Customs Administration (MTCA) explains it in terms of EU citizens. If you are a citizen of Norway, Iceland, Liechtenstein or Switzerland, ask a notary which group you fall into before you sign anything.
What is an AIP permit and who needs it?
AIP stands for Acquisition of Immovable Property. The permit is issued by MTCA's AIP section, and you need it if you are a non-EU citizen without long-term resident status buying outside a special designated area, or an EU citizen with under five years in Malta buying a second home. MTCA states the conditions on its own pages, and the Act's Second Schedule sets them in law:
- Minimum value: MTCA's FAQ, last updated on 29 August 2025, still lists ~€174,274 for a flat or maisonette and ~€300,619 for any other property, set in 2024 (L.N. 174 of 2024). The threshold follows the National Statistics Office's property price index, which rose 5.9% in 2025 and 6.7% in 2026 (L.N. 202 of 2026), so confirm the current figure with MTCA before you sign.
- One property: you may not own other property in Malta (article 6), and MTCA says a non-resident may buy only one property unless it is in a special designated area.
- Use: the home must be "solely used as a residence by the applicant and his family and for no other purpose" (Second Schedule), and any other use needs the Minister's written consent (article 7).
- Deadlines: you must complete the purchase within six months of the permit, and a certified copy of the deed must reach the tax authorities within three months of the deed.
- No splitting: the property may not be sold in part or converted into more than one dwelling.
- Fee and time: ~€233 per permit, whatever the property's value, and MTCA's service charter aims to issue it within 35 days of a complete application.
The Minister may also refuse an applicant who is not of good conduct, and may withhold a permit for a property of historical importance or in a historical locality (article 6 and the Second Schedule).
Get the application right. If information material to the permit was incorrect or misleading, the permit has no effect and the purchase falls under the article 4 ban (article 6(4)). Every permit granted is also listed in the Government Gazette each quarter (article 6(5)).
What are special designated areas in Malta?
They are zones listed in the First Schedule of Cap. 246, where anyone, wherever resident, may buy without a permit (article 5). MTCA describes them as areas with "absolutely no restrictions to acquisition", so a non-EU buyer can own a second property there.
The Schedule lists 27 zones in its consolidated text (amended up to L.N. 7 of 2026), mostly large developments such as Portomaso in St Julian's, Tignè Point in Sliema, Fort Chambray in Gozo and the Cottonera Development. New zones are added by ministerial order, and each is defined by a plan attached to a deed, so ask your notary to confirm that the exact unit falls inside the zone.
The freedom has a price at the tax office: the reduced duty rates below do not apply to a buyer who would have needed a permit had the property not been in a special designated area (Cap. 364, article 32(4)(a)).
How much stamp duty do you pay on property in Malta?
The Duty on Documents and Transfers Act, Cap. 364, charges 5% on the higher of the price or the property's value (article 32(1)). Two reliefs cut that for people buying their sole, ordinary residence without needing a Cap. 246 permit – rates as consolidated on legislation.mt on 28 October 2026:
| Buyer | First €200,000 | Above €200,000 | On a €300,000 home |
|---|---|---|---|
| First-time buyer of a sole residence, no permit needed | 0% | 5% | €5,000 |
| Sole-residence buyer who has bought a home before, no permit needed | 3.5% | 5% | €12,000 |
| AIP-permit buyer, or special designated area buyer who would otherwise need a permit | 5% | 5% | €15,000 |
| Second home, investment or any other purchase | 5% | 5% | €15,000 |
The 3.5% rate is in article 32(4)(a). The first-time buyer exemption is in the Exemption of Duty in terms of Article 23 Order (S.L. 364.12), as amended by L.N. 305 of 2025, and applies to purchases from 28 October 2025, with no end date in the Order.
To claim it, you must not have bought any residential property before (land or airspace bought to build a home counts), the notary must record your declaration and warn you about its truthfulness, and legal evidence goes to the Commissioner with the duty form. A previous share of under 25% in a property is ignored if you never claimed the relief.
The AIP permit costs ~€233 on top. Notary, agent and legal fees come on top as well; we have not verified a single official tariff for them, so ask for written quotes before you sign a promise of sale.
How does buying property in Malta work, step by step?
The sequence below uses only what the law and MTCA state; the commercial terms in between are negotiated.
- Check your group in the table above. If you are an EEA or Swiss citizen, settle it with a notary first.
- Sign a promise of sale. MTCA describes it as a preliminary agreement on which the buyer pays a deposit to secure the property, usually conditional on searches confirming that the seller owns the property and can transfer it. Its terms are negotiated.
- Apply for the AIP permit if you need one, with two passport photos, a copy of the promise of sale and a copy of your passport's information page. The fee is ~€233.
- Sign the final deed before a notary, within six months of the permit if you have one. You declare on the deed why you are allowed to buy, and claim any duty relief through the notary's declaration.
- Send a certified copy of the deed to the tax authorities within three months if you bought with a permit; MTCA's AIP section asks for a copy of the final deed too.
You will need a way to move the money and pay the duty, so set up banking early – our guide to opening a bank account in Malta explains who can open what.
What did Budget 2027 change for property buyers?
Little so far. The Budget speech of 26 October 2026 announced measures on arrangements involving the sale of airspace – fuller disclosure of the total agreed price, stronger valuation and verification – and on structures that involve intermediaries or developers not named in the transfer deed. The new framework is to apply prospectively, after consultation with stakeholders.
The speech does not mention stamp duty on property purchases or the AIP rules, and none of the announced measures was law when we checked on 28 October 2026.
Does buying property in Malta give you residence?
No. Buying a home in Malta does not, by itself, give you the right to live there or a path to citizenship – inside or outside a special designated area. Residence comes from EU free movement or a permit, and the routes are compared in our guide to moving to Malta.
Two routes involve property: the MPRP (a home of at least €375,000, among several other conditions – see our Malta permanent residence guide) and the special tax programmes for people living on foreign income or pensions, which set their own qualifying-property thresholds – see our guide to Malta tax for expats.
Which figures change, and where do you check them?
The minimum values are indexed every year and the lists of special designated areas and duty reliefs are amended by order, so figures here may be a year behind.
- Permit fee, minimum values and conditions: the tax authority's AIP permit FAQ.
- Who may buy, and the special designated areas: the Immovable Property (Acquisition by Non-Residents) Act, Cap. 246.
- Duty rates and reliefs: the Duty on Documents and Transfers Act, Cap. 364 and its S.L. 364.12 exemption order.
The short version: EU citizens settling in Malta buy their main home on almost the same terms as locals; everyone else buys one home under a permit, or looks to the special designated areas.
Before you choose a town, compare areas in our guide to the best places to live in Malta and check running costs in the cost of living in Malta breakdown. More guides are on the Living in Malta hub.
This page explains how the system works; it is not legal, tax or financial advice. Rules change – check your own case with the authority or a licensed adviser.
01Can a foreigner buy a property in Malta?
Yes. Under Malta's Immovable Property (Acquisition by Non-Residents) Act, EU citizens who have lived in Malta for five continuous years buy freely, EU citizens with less residence can buy their main home without a permit, and non-EU citizens need an AIP permit for one home to live in. Anyone can buy without a permit in one of the special designated areas listed in the Act.
02Can a UK citizen buy property in Malta?
Yes, but since Brexit UK citizens are treated as non-EU buyers in Malta. Outside the special designated areas they need an AIP permit, which allows one home used solely as a residence for the buyer and family, above a minimum value that MTCA's FAQ lists as ~€174,274 for a flat or maisonette (2024 figures). The permit fee is ~€233.
03Can a US citizen buy a house in Malta?
Yes. A US citizen can buy one home in Malta with an AIP permit, as long as it meets the minimum value, is used solely as a residence and is the only property they own there. In a special designated area no permit is needed. Buying the house does not give a right to live in Malta; that needs a residence permit.
04What is an AIP permit in Malta?
An AIP (Acquisition of Immovable Property) permit is the authorisation non-EU buyers, and EU citizens buying a second home before five years' residence, need under Cap. 246. MTCA charges ~€233, aims to issue it within 35 days of a complete application, and attaches conditions: one property, used solely as a residence, bought within six months of the permit.
05How much is stamp duty on a property in Malta?
Stamp duty in Malta is 5% of the higher of the price or the value (Cap. 364, article 32(1)). A buyer of a sole ordinary residence who needs no Cap. 246 permit pays 3.5% on the first €200,000, and a first-time buyer pays nothing on the first €200,000 for purchases from 28 October 2025. AIP-permit buyers pay 5% throughout.
06Can EU citizens buy a second home in Malta?
Only with a permit until they have lived in Malta for five continuous years. Under Cap. 246, an EU citizen with less residence can buy a primary residence or property needed for their business without a permit, but needs an AIP permit for a secondary or holiday home – unless it is in a special designated area, where no permit is needed.
Featured image: Marika Caruana / Wikimedia Commons / CC BY-SA 4.0
