Property investments in the Maltese Islands

Abstract

The Maltese property market has gone through many changes in the past twenty years and today we have found ourselves at yet another particular chapter in its history. With the many discussions about vacant properties, rent laws and decreasing property values, the future of property in the Maltese Islands seems rather uncertain and one is lead to question what is going to happen with the Maltese property market? How will this affect the islands? Is property in Malta still a good investment? Since property ls a commodity and also a human right (sheller), it has a very important role in every economy and thus it is not enough to simply analyse how expensive or how cheap property is in relation to macro-economic factors but one also has to understand where the demand and supply stand and why they are as such; to understand the demographic structure of a market as well as the economic growth of the market. It is also important to see how easy it is to obtain financing and for whom it is available as well as look at the various laws and policies which hinder or allow development. This dissertation has a twofold goal. First, it considers the factors that have an effect on the property market, including those factors which influence the demand and supply. Second, it defines what is what in a property market. These factors arc then gathered from the Maltese property market, analysed and tested to arrive at a conclusion possible current and future situations.