Being one of Europe’s fastest growing economies, Malta is an ideal place to invest in real estate.
Property returns can be as high as 6% per annum together with a gradual capital appreciation. The island’s low interest rate was also one of the factors which led to higher lending for house purchases.
The increase in foreign workers in Malta who are seeking a rental house has also added to the appreciation of property in Malta.
Malta Real Estate Investment Trust (REIT)
In The 2019 Budget, the Maltese government pledged to introduce a Real Estate Investment Trust framework in Malta. This development could provide a big boost to the real estate sector in Malta.
REITs are companies that own and manage a portfolio of properties through which they earn regular income (by renting these properties). The income is then distributed to shareholders in the form of regular dividends
How can KSi Malta help?
KSi Malta’s has specialists who worked within real estate development. We also have several links with local real-estate firms. The main benefits of the REIT structure is that it allows investors a tax efficient way to invest in real estate projects, including large-scale projects in which they would otherwise not be able to invest.
REITs allow for greater liquidity within the real estate sector as investors can achieve greater diversification through it.