Home Loan for second Property

Mortgage for a second property

I'm not renting this property out. > It will be my second home.

Real estate purchase in Malta, Housing, Malta, Malta

The majority of property in Malta is bought and resold through property agents. The most important property agents in Malta are Remax Malta, Dhalia, Simon Mamo, Sara Grech, Belair and Frank Salt. If you are unhappy with its service or features, you are not required to work with the first sales representative you have contacted.

Realtors will help you find a property to buy. You will also organise and conduct property inspections, negotiations to obtain the best possible commercial prices and the best possible conditions for payments, and draft and conclude a preliminary contract that will satisfy both sellers and buyers. Property charges are 3.

5% in Malta, to be paid by the vendor to the realtor. Realtors in Malta are not licenced. Reselling property in Malta is permitted. The full re-sale prices, inclusive of winnings, may be returned. Approximately one third of Malta's shoppers are non-nationals, most of them EU nationals.

Most EU shoppers are UK, but Malta also draws a significant number of shoppers from Italy, Germany, France, Spain, the Netherlands and Sweden. Whilst the property markets in Malta have been buoyant, recent price falls have been around 15% due to the global Depression. Real estate values differ greatly according to site, completion status and property ages.

A number of homes in Malta are being fully refurbished and resold. Even though it is unusual, you can buy property directly from property owner in Malta. In order to find property directly for purchase, you can visit the section section of the Times of Malta Zeitung (online or in print) or section websites such as Malta Park and Izjed.com.

When you buy a property in Malta as a second home, or if you are not an EU national, you can only buy property above a certain value. Aliens can buy property for free in elevated areas such as Tigne Point, Pender Gardens, Tas-Sellum, Portomaso, Cottonera and Manoel Island.

Certain aliens who purchase real estate outside these areas must, however, obtain an AIP license (see below). Taxes on earnings are levied when rental proceeds from real estate are generated. Aliens may only let certain kinds of property (e.g. mansions with a swimming pools worth over ?250,000 to short-term tenants only).

Hypothecaries are available for the acquisition of real estate by non-residents or non-Maltese nationals resident in Malta. However, expatriates must obtain authorisation from the Central Bank of Malta before taking out a loan in Malta. Unless you are an EU national, or if you are an EU national who has not been living in Malta for more than five years and is acquiring a second (non-primary) place of abode, you must obtain a Real Estate Acquisition Licence (AIP) to acquire real estate in Malta.

Make a copy of the purchase agreement or pre-contract for the property to be purchased. Also, if you are a first buyer who is not based in Malta, you must do the same: And if you already own a property in Malta, you have to do the same: When you are an EU national and buy a main place of abode in Malta, or when you are a foreign national and buy in a particular area, you do not need an AIP-approval.

As soon as you have found a property to buy and the prices and preferential terms have been discussed, an agreement will be made to conclude a pre-contract. Unless otherwise stipulated, pre-contracts generally have a term of three month. At the time of signature of a pre-contract, you must make a down payment of 10% on the sale of the property.

Prior to the conclusion of the deal and after a preliminary agreement has been signed, a civil law attorney checks the ownership of the property (to make sure that there are no open claims, etc.). They can choose a public defender or your realtor can name you one. In addition, you must organise a credit from a local credit institution (if applicable), have an architectural firm verify the construction permit and meet all other specific requirements of the pre-contract.

Vendor will also perform his duties according to the preliminary contract, such as completing buildings, renovating etc.

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