As Malta’s property market continues to evolve, the Malta Budget 2026 reflects a mix of stability, possibility, and transparency for residents, investors, and homebuyers alike. 

From better relief for first-time homebuyers to new data tools and green homes policies, this year’s budget improves the role of home ownership and long-term value within the property market. 

At BENESTATES, we’ve broken down the key highlights that matter most to anyone looking to buy, sell, or invest in property in Malta. 

1. Continued Support for First-Time Buyers 

The government has confirmed the continuation of the popular €1,000 annual grant for first-time buyers, available for ten years from the date of purchase. 

More than 7,000 people already have taken advantage of this scheme, giving a slight alleviation to the financial burden of homeownership. 

2. Deposit Scheme Threshold Rise 

Buying your dream home often starts with the biggest hurdle… the deposit. 

In the announced Malta Budget 2026, the Housing Authority’s deposit scheme of support will now cater to properties priced up to €250,000, up from €225,000. 

The government also continues to fund the interest on the loan, allowing more first-time buyers to acquire property earlier. 

3. Equity Sharing Scheme Increased 

The Equity Sharing Scheme, introduced to aid older individuals and single individuals in purchasing a property, has also been increased to accommodate individuals aged 25 years and over. 

Individuals who are separated applying under this initiative are also able to purchase homes for up to €350,000. This provides a more realistic path to homeownership for even more individuals. 

4. Long-term First-Time Buyer Incentives 

In a move to give long-term certainty, the government announced that the first-time buyer incentives launched in 2013 will now be enshrined in legislation, to provide future buyers with certainty that they can rely on these incentives. 

In addition, anybody who has previously purchased non-residential property (such as a field or a garage) remains a first-time buyer when purchasing a home of their own. 

5. Fairer Inheritance Tax on Family Homes 

A major difference for families: the Causa Mortis tax bill on inherited homes will instead be charged at the lower rate of 3.5% on the first €400,000 worth, double the previous amount. 

This ensures that families inheriting their main residence are treated to more equitable, sensible taxation. 

6. Affordable Housing and Rental Assistance 

The Affordable Housing Foundation, a joint initiative by the Government and the Church, will build 260 new houses at around 30% below market rates. 

Meanwhile, more than 1,300 families already benefit from the ‘Nikru Biex Nassistu’ scheme – private housing rented to the Housing Authority to provide low-cost housing. 

This initiative will be continuous until 2026. 

7. Rehabilitation Incentives for Empty Properties 

Malta’s housing strategy continues to encourage the rehabilitation of old, vacant properties by their owners, including those located in Urban Conservation Areas (UCAs). 

Schemes will remain in place for those who bring back into occupation derelict houses, benefiting both the private rented sector and town centre renewal. 

8. Increased Transparency through Property Data 

Among the announcements in this year’s budget is the opening of a public Property Price Register to be launched by the Property Malta Foundation. 

The new online system will provide access to actual transaction data, allowing professionals and the public at large to better understand real property values and market trends. 

This transparency will allow buyers to make smarter decisions and sellers to know more about fair market pricing. 

9. Carbon-Free and Sustainable Building 

As Malta aims to achieve its 2030 climate goals, the budget anticipates a study to ensure that all new buildings constructed after 2030 are carbon-free or carbon-negative. 

Meanwhile, existing schemes such as ‘Ixtri Proprietà Sostenibbli’ and ‘Irrinova Darek’ will continue, supporting eco-friendly purchases and energy-efficient home improvements. 

Looking Ahead 

Whether your buying your first home, investing in a property, or selling, these changes reinforce a stronger and more transparent housing market for the future. 

At BENESTASTES, our goals remain the same – to guide you with reliable expertise, personalised support, and consistent results. 

If your next move is set, let’s set it together. 

Find out more or speak to one of our property experts at benestates.com/contact-us  

Source: https://finance.gov.mt/budget26/