Families benefiting from reduced stamp duty on property purchases saved an average of €8,000 each in the first nine months of the year, with total savings reaching €69 million, Prime Minister Robert Abela announced at a conference organised by KPMG and Property Malta.
In his address, Abela highlighted the strong schemes introduced by the Government to help more people, including young people, become homeowners. He said that through the preferential stamp duty scheme, more than nine thousand families benefited in the first nine months of this year, saving close to €8,000 each on average.
The Prime Minister recalled that the Budget announced the widening of the equity sharing scheme, through which young people aged 25 and over may now qualify, instead of the previous minimum age of 30. Through this scheme, the Government covers half the property’s value, and the buyer must redeem the Government’s share within 20 years. The property value cap has increased to €350,000. This scheme is among several aimed at supporting affordable accommodation.
Other schemes include the €10,000 grant for first-time buyers, substantial grants for those investing in property within urban conservation areas, and VAT refunds for property renovation. He also noted that those investing in energy-efficient and sustainably built property may receive an additional grant of up to €9,000.
Abela referred to a study by the Central Bank of Malta showing that only a quarter of homeowners in Malta still have outstanding loans to repay, compared to three-quarters of homeowners across Europe. He also explained that two-thirds of those with the lowest incomes in Malta are still homeowners, compared to half of those with the lowest incomes across Europe.
The Prime Minister also noted how the Government continued to invest in families thanks to the country’s economic strength, including successive tax cuts that increased people’s wages. He said that EUROSTAT statistics clearly show that the average wage in Malta over the past five years increased by more than the total wage growth recorded between 2000 and 2012. This amounts to an increase of more than €6,600 per year. This progress, he added, was achieved while unemployment dropped to historic lows.
Prime Minister Robert Abela added that Malta’s economy is earning excellent ratings, including from the European Commission and the International Monetary Fund (IMF). He said that the IMF forecasts Malta to have the most dynamic economy in Europe by 2030. He stated that economic strength allows the Government to continue investing and providing families with a better future.
At the same conference, the Minister for Justice and Construction Sector Reform Jonathan Attard spoke about the Government’s vision to transform the construction and property sector into a model of excellence, sustainability, and trust. He stressed that the construction and property sector is not only a pillar of the Maltese economy, but also a crucial element in people’s quality of life.
“Progress cannot be measured only in numbers, but in quality, safety, sustainability, and transparency,” the Minister said. The KPMG report presented during the conference confirms the strategic importance of the sector, which brings with it greater responsibility to ensure integrity and professionalism. He described as a historic initiative the work leading to the creation of the first National Building and Construction Code, which will introduce clear and enforceable standards for safety, sustainability, and quality.
The Minister emphasised that sustainability remains central to the Government’s vision. Schemes such as Irrinova Darek and Buy a Sustainable Property will continue to be supported, along with two new schemes for next year. Attard thanked all stakeholders for their commitment to strengthening dialogue and professionalism within the sector.
