Frequently Asked Questions

YES and NO. The house itself, the physical part that you built or bought, is a depreciating asset, just like a car. It will age and fall apart over time, unless you regularly maintain it, which costs money. The costs of maintenance and repair are expenses. Even after paying off your house loan, you will have costs to maintain, insure, and in most countries, pay taxes on the value of that home. So the larger the property, the higher are the costs to maintain it. On the other hand, the land that it sits on and therefore the complete property are an appreciating asset which value keeps on increasing over time, depending on the surrounding infrastructure (roads, schools, shops) and general location. So the overall value of your property will increase and you are likely to sell at a higher price compared to the cost that you had initially invested.

When thinking about what type of home is right for you, it is important to note that older homes typically sell for  less than a newer home would. In fact, according to a recent survey, new construction comes at a 15 to 25% premium over older homes.

The quality of home construction has improved over the years with an increase in different building materials and an updating of building regulations with higher expectations on better construction for increased safety and insulation to allow for more energy efficient homes and lower maintenance costs.

On the other hand, older homes often possess more charm and character, are located in more established and centrally located areas. The plot they are built on is often more spacious and the gardens more mature and attractive.

For home owners who like individuality and are prepared to take the time and energy to upgrade an older home, the rewards could be worth it. However if modern convenience is your priority you may be better suited to a newer home.

A broker, sensar or property agent is a person or firm who arranges property transactions between a buyer and a seller for a commission when the deal is executed.

Typically, a real estate broker is a licensed individual, who holds knowledge and expertise and can help people when buying or selling property from the initial stages of listing a property for the seller or sourcing a property for the buyer until the final agreement is reached on the price, terms and conditions of a property sale between both parties.

In the Spring and Summer season, property moves fast. In a hot property market houses are sometimes sold almost before they are registered. For buyers, this might be really tough if they don’t manage to get their Real Estate Agent’s attention in time to view. In busy times it’s often difficult to get individual attention. In the off-season, it is easier for buyers and sellers to gain full attention from agents. Other institutions and individuals like banks and mortgage lenders are more easily accessible.

The process normally takes a minimum of three months but more likely four months or more, from the initial loan application to the final approval of a mortgage from one of the local banks in Malta. So be well prepared and organized with the documents required for this application. Make sure you allow for adequate time between your preliminary purchase agreement and the final deed of sale.