Self ipotekarju (home loan) Calculator Malta

Market overview

Malta's mortgage market is concentrated in Bank of Valletta (BOV), HSBC Bank Malta, APS Bank, MeDirect Bank, and Lombard Bank, with BNF Bank and FIMBank serving niches. The MFSA (Malta Financial Services Authority) supervises lenders while the Central Bank of Malta participates in the ECB system. Following ECB cuts that brought deposit rates to ~2-2.25% by early 2026, Maltese mortgage pricing has compressed from 2023 highs, though Malta's domestic banks have historically priced retail housing loans more conservatively than larger Eurozone peers. The Maltese property market remains tight given the island's limited land, with strong demand from EU residents and the (now-tightened) Individual Investor Programme replaced by the MEIN granted-citizenship route.

Why 4% is the typical rate

4.0% reflects a 25-30 year mortgage from Bank of Valletta or APS to a salaried Maltese borrower at 85% LTV in early 2026, with major banks pricing 100-150 bps above the ECB main refi rate.

Tax & regulatory notes

Malta levies a stamp duty of 5% on property transfers, with reduced rates of 3.5% on the first €200,000 for first-time buyers (under the recurring First-Time Buyer Scheme) and 2% on Gozo properties. Property is exempt from annual property tax. Foreign EU/EEA buyers face no restrictions on a primary residence but require an AIP (Acquisition of Immovable Property) permit for second homes outside designated Special Designated Areas (SDAs); non-EU buyers always need AIP. The Housing Authority's Equity Sharing Scheme co-invests up to 25% alongside qualifying buyers aged 30+, and the Deposit Payment Scheme helps first-time buyers fund the 10% deposit.