I’ve had itchy feet ever since my parents took me, as a ten year old, on a driving holiday to Spain. Throughout my teens and early twenties, I did my best to scratch those itchy feet by taking them to various European countries, but two weeks was never enough. It was after a ghastly holiday in Benidorm that I decided that enough was enough and loped off to Australia where I spent ten wonderful years of what I can only describe as freedom, before heading back to Aberdeen.

I’d heard of Malta, but never really considered it as a holiday destination, thinking that it was just another Mediterranean island, offering the same stultifying array of excursions and attracting the same sort of globetrotters that find their way to the myriad of other atolls in the Med. So I was pleasantly surprised to find that, although my fellow voyagers were accommodated handsomely, there are a myriad of other distractions on the island.

Being totally hacked off with the NHS, the UK property boom came at an excellent time for me. Thus, in 2007, the house was sold to the highest bidder and the crates were duly packed. As a destination, Malta won over Australia, simply because it’s nearer to my family. It only takes three and half hours to fly to Edinburgh as opposed to the thirty odd it takes to get to Sydney.

Not being sure if this was the right move, we decided to rent furnished accommodation. There is a multitude of property to let in Malta, no two are the same. You can choose from a Penthouse in Sliema to a House of Character in Zebbug – or anything else in between. The only decision we’d made was that we didn’t want to stay in the north of the island; somewhere like St Paul’s Bay or Qawra, where many other expats have decided to decamp. The reason behind this is because we thought that it would be too far from the more central areas and the traffic was also a major concern for us. Our big mistake was that we waited until we actually set foot on the Island before consulting with a reputable estate agent. If we’d done that, we’d have had a better idea of the type of property in Malta we were after before we even arrived. Today, the more reputable estate agents can send you a list with links to their properties in Malta that you can view online. If you are lucky, they can also fill you in with the do’s and don’ts as well as the proximity of schools, supermarkets and other important information that would assist you. Obviously, if we had contacted them before, this would have saved us a lot of time and effort. Consequently, we spent around eight days just looking. Our estate agent was incredibly gracious, though he must have been driven to his wits end in trying to arrange mutually suitable viewing times for the property owners, himself and us. The Maltese are reluctant to relinquish any part of the letting process to the professionals – they like to meet prospective tenants face to face.

We started off by looking at apartments to let in Sliema, St Julian’s and Pembroke areas which are close to the main shopping centres and the entertainment life of Malta.  You’ll find an abundance of restaurants, pubs, cinemas and fashionable nightclubs, but we quickly realised that there wasn’t enough open space there for the money that we were prepared to spend and started looking further afield. Our real estate agent in Malta showed us apartment after apartment in places as diverse as Marsascala (South) and Bidnija (North). However, we changed our minds yet again and decided finally, that a House of Character would be more for us… Again we were spoiled for choice, each one had something unique to tempt us, but finally settled for a 300 year old ex-farmhouse in Zebbug which has a huge garden, three bedrooms – one with the ubiquitous en-suite and loads and loads of ‘character’.

My itchy feet are itchy no longer and I’ve rediscovered that elusive freedom in my adopted country of Malta, hopefully you will too.

Written By: Hazel Fettes

Hazel Fettes has been living in Malta for quite some time and has experienced the whole relocation process, the working environment in Malta and is part of the ex-patriot community.  Every three weeks she will be sharing her own experiences with us along with other experiences she has encountered.

I vividly recall that when I was a young boy Christmas was a time to look forward at.  Parties, presents, Christmas Father, participating in and most often winning the Father and Son Crib Competition at school and last but not least a short break from school following the hated and sarcastically branded Christmas Exams.  Of all however what used to impress me most was the dominating figure of the angel placed on top of our modestly decorated Christmas tree at home.   ‘But why on top of the tree?’ I once asked my grandmother who never missed the annual appointment of the traditional Christmas lunch at our home.  ‘The Christmas Angel brings the good news of hope to all humanity in a World that is in crises’ was her prompt answer emphasised by her typical loving and caring smile.  I felt the answer satisfied my curiosity even though for a nine year old boy it didn’t really mean much. 

Now that I have grown older and my grandmother is no longer, every time I come across an angel on a Christmas tree I recall and understand better what she meant.  Hope, or better the capability to be positive in times of distress is probably the greatest of all virtues that one may possess in life.  This in particular when the World we live in is apparently passing through unprecedented economic and social troubles.  For those like me who have a keen interest in the developments of the global real estate market can understand well what I mean.  Lately the property market has once again hit the headlines of the international news with the newest crises being announced in Dubai. The property developer Nakheel which epitomised Dubai’s rise, turning elaborately arranged man-made islands into some of the most sought-after properties in the Emirate, is in dire financial trouble.  Indeed, the property market anywhere in the world is not exactly a bed of roses at the moment.  Such negative feeling is further accentuated by sluggish international economic growth, talks of mass dismissals, food inflation, sky rocketing fuel prices and the ‘credit crunch’ seems to be the buzz word on the mouths of many. 

There is also no point denying the fact that the developments on the global economic level have an impact on the local level.  This was the latest underlying argument of the Minister of Finance in presenting the 2010 budget for Malta as a strategy to sustain employment levels and boost economic regeneration.  Behind these pressures perhaps the last thing most people think about are the benefits of such a situation.   When it comes to real estate it is easy to see the problems, ranging from difficulty getting loans; to, owning property which cannot be easily liquidated in time of most need; or, worse off paying mortgage for a home that is now worth less!  But referring to my Christmas Angel for inspiration there is a bright side to this view. 

To begin with, don’t we normally love the idea of lower prices? Certainly we would love to see a 20% decline in the price of cars or food. What makes real estate in Malta different is that we use it but don’t “consume” it. It is in part an investment that we may have to sell someday. If you were in a house for life, the value could fall by half and it would make no difference. In fact, you might even get to pay less for both property taxes and insurance as a result of the lower value.

That brings up the first benefit of the affects of a recession on real estate: lower prices and lower expenses. For those who have not bought a home yet, this is an opportunity, isn’t it? Certain property in Malta has been reduced to as much as 15%. With that comes lower payments, lower insurance, and lower property taxes. This may be the best time to buy. Isn’t that good news?

But what if you already own a property in Malta? Is there any benefit from the recession affects on -real estate in Malta for you? Possibly. If you have ever thought about moving up into a more expensive  property, this may be a great time. You may have been thinking it’s terrible that your own property is worth €15,000 less than it was five years ago, but what about the bigger home you have wanted? It may be selling for €35,000 less than a few years back. That’s an opportunity. That’s good news! 

But there are two more long-term benefits to the whole real estate scenario we are experiencing. One is that prices  of property in Malta are getting back in line with what is actually affordable. People with ordinary jobs may once again be able to buy a property, which means that prices can stabilise soon. And by soon I mean soon.   Let’s face it, prices just went up too fast and too far. Many who overstretched their affordability budgets to buy a property in Malta only did so with the hope to hang on long enough to sell for a profit. The market made gamblers out of home buyers, and the last ones to play lost big. That brings us to another benefit of this housing slump: Big lessons; 1) Plan your investments and future relative maintenance costs; 2) Assess the risks – don’t take anything for granted; 3) Be prudent and seriously consider your actual (not potential!) affordability index before engaging in considerable investments; and 4) Today, you may need the expertise of a reputable real estate agent more than you think to achieve you the best possible price. 

We learned that in considering investments we should be talking about calculated risks rather than gambling. Blindly investing significant amounts of capital simply because others were doing so and apparently getting rich overnight was just insane. Many took it for granted to consult an interior designer before buying a kitchen but simultaneously got engaged in real estate investments (most often meaning that they have to pay excessive mortgage rates for a life-time!) without even consulting with real estate professionals believing that the commission paid to them was a fee that could be easily be done without. With hindsight such common logic was indeed myopic if not suicidal in certain cases!  Though the reaction to these and other mistakes in finance and investment may go too far, the lessons of this past decade will be remembered for a while, and that hopefully means there won’t be a repeat of the run-up in prices based on outrageously easy loans, and therefore there may not be another huge housing slump in our lifetime, nor another banking crisis based on it.  

May you have a joyous Christmas and a New Year full of good news!

Written by:

Andrew Agius Muscat 

Mr. Agius Muscat is a Business Management Analyst who has extensive back ground in the business world.  He is presently the Chief Executive Offices at the Malta Institute of Management and has held several top management positions. He recently held the position of Group Strategist and Planner for Attard Bros Group, a real estate developement and construction company in Malta.

Recently RE/MAX Malta organised a seminar at the Westin Dragonara covering the latest regula

John Huber presenting to RE/MAX Team

tions in respect to residency permits and ground rent regulation in Malta.  Over seventy sales associates attended the seminar which was conducted by John H. Huber, a leading tax consultant from John Huber & Associates and James Busuttil, franchise owner of RE/MAX Central, located in B’Kara.

Mr. Huber gave a very informative presentation of the different schemes available for expatriates looking to move to Malta.  In view of the fact that one of the parameters for becoming a residency permit holder is that an expatriate is required to purchase a property in Malta, he illustrated the benefits and advantages of moving to Malta for non-EU residents as well as EU-residents.

Mr Huber’s presentation was followed by another by James Busutill who gave an over view of the current scenario in respect to the current rent laws.

Re/Max Managing Director Kevin Buttigieg said that “It is important that our people are kept abreast with updates in respect of residency permits and ground rent regulations.”  “Such inforamtion allows our associates to fulfil their job responsibilities in a more professional manner.”

RE/MAX Malta provides a fully comprehensive Real estate service to its customers.  The services include commercial and residental sales and letting of property in Malta as well relocation services.  If you are interested in buying a property in Malta or letting a property in Malta contact one of our offices or go straight to our website (www.remax-malta.com) where you can find a comprehensive database of properties in Malta.

Although property prices have reportedly gone down in certain segments of the market, the National Statistics Office has reported that registered property sales have been steady throughout the year and almost at par of what was registered last year.  The Global Economic crisis has done little effect on the Maltese property market with great thanks to the solid banking institutions in Malta who have been conservative but shrewd in their business practices.

In what has been a year of misery for some European countries, the Maltese Government has continued to invest heavily in ICT, Gaming and other Industries and is seeing the fruit not only from the number of companies interested in setting their businesses up in Malta but from current economic activity from licensed companies that has generated a multiplier effect throughout the economy which has specifically affected the property market not to mention other industries that has said to have generated over € 15 million in revenue. 

With the consistent flow of licences being granted, natural human habit of upgrading accommodation and the turn over of staff within the industries, the demand for rental properties is high and constant.  Few higher grade employees prefer to invest in property in Malta.

Single expatriates coming from all walks of life seem to prefer to stay a stone throw away from the night life and entertainment area of St. Julian’s.  This demand has encouraged Maltese investors to upgrade their own properties in Malta or purchase more property to accommodate for a lack of supply.   Families tend to seek out their homes in the neighbouring cities of Sliema, which is a few hundred yards to the east of St. Julian’s along the promenade and some prefer Swieqi as an area that  includes the suburbs of Ta’ L-ibrag, Victoria Gardens, High Ridge and Madliena which is also a few hundred yards away from St. Julian’s.  The Portomaso and Tigne Point condominium developments located in St. Julian’s and Sliema respectively are ever so popular amongst both the single and family household.  

Whereas in Sliema one will find only apartments on and off the seafront as a rule, in the suburbs of Swieqi one will find apartments, maisonettes as well as luxurious villas and bungalows with or without pool.  There is always a small demand to live outside of these areas where one will find popular villages of Gharghur, Naxxar and San Pawl Tat-Targa amongst other.

There is a high quality standard of properties available for rent and for sale in Malta.  The rental market is vibrant and the property sales market is steady and looks positive for the future. 

The persistent Maltese Government with the assistance of their very capable and reliable departments are making strides to improve systems and attract further investment to our Islands.  The industry also invests back into the industry through overseas marketing events such as EIG, IcE to mention a couple and local events such as the Malta iGaming Seminar held at the Le Meridien last October  in St. Julian’s.  This proactive however joint determination amongst its stakeholders breed’s confidence throughout the economy. 

Investing in property in Malta is an interesting opportunity.   It is recommended that you consult with a reputable real estate agent in Malta in order to make a knowledgeable decision. 

(November 12, 2009 – Denver, CO)  In a bold move to position RE/MAX of Southern Africa as the clear real estate leader as the economic recovery takes hold, the region has been sold back to its original owners.  RE/MAX International has formulated an innovative strategy of placing experienced local leadership in control during a critical economic period.

Peter and Val Gilmour, South African real estate veterans, first purchased the Master Franchise for Southern Africa in 1994.  As one of the first international regions in the RE/MAX system, the Gilmours introduced the North American real estate brand to a territory where it was completely unknown, and they built it into a respected leader with top market share.

“What Peter and Val accomplished is truly a remarkable achievement,” says Dave Liniger, Chairman and Co-Founder of RE/MAX International, Inc.   “Their leadership and expertise will be invaluable again at this critical time, when the local housing industry and global economy recover from a difficult recession.”

The Master Franchise for RE/MAX of Southern Africa consists of nine countries; Angola, Botswana, Mauritius, Mozambique, Namibia, Seychelles, South Africa, Zambia and Zimbabwe.  Each country has a distinct culture and real estate market.

“We’re very excited about guiding the future direction of  RE/MAX of Southern Africa,” says Peter Gilmour, Chairman of the region’s new management company. “We believe there are still a number of exciting franchise opportunities in South Africa and its neighboring countries.”

 After selling the region to RE/MAX International in 2000, Peter and Val Gilmour joined the management team at RE/MAX headquarters in Denver, where Peter has held the position of Senior Vice President of International Sales.  Now, they plan to return to South Africa by the end of the year to assume new responsibilities.  Peter and Val are forming a management company for the region, and will serve as the Chairman and Director respectively.  The region’s current Assistant Regional Director, Adrian Goslett, will become the Regional Director.

RE/MAX of Southern Africa has a distinguished record of accomplishments.  It was the 2001 Region of the Year, and  Peter Gilmour was the 1997 Regional Director of the Year. RE/MAX was named one of the Top 5 Franchises in South Africa in both 2002 and 2003, and is now the country’s largest real estate franchisor.

Despite the challenging economy, RE/MAX of Southern Africa has enjoyed increased sales recently, with sales in October the highest of the year.  Additionally, 15 new franchises have been sold in the region during 2009.

Property in Malta in recent years has become an attractive prospect for South African nations.  Just over 500 South Africans have applied for residency in recent years.  Part of the regulation to becoming a Permanent residence of Malta is buying a property in Malta. If you are interested in purchasing a property in Malta contact one of our offices.

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 (Denver, CO – October 20, 2009) RE/MAX International Inc. has joined the exclusive ranks of the most successful franchise chains in the world, after being named to the Franchise Times Top 200.  RE/MAX made its debut in the number 12 position in the 2009 ranking, in front of all other real estate competitors, and in the company of such top franchises as McDonalds, 7-Eleven and Marriott Hotels. “The RE/MAX Network continues to grow because we offer so much value to our franchise owners,” says Margaret Kelly, CEO of RE/MAX International. “Global brand recognition, the industry’s most extensive educational resources, and all the support our offices need to be productive and successful. We like to tell our owners, that at RE/MAX, you’re in business for yourself, but not by yourself.”

Since the beginning of 2009, nine countries have joined the RE/MAX Network and RE/MAX International has sold nearly 400 franchises worldwide. RE/MAX has an international presence in more than 70 countries, more than any of its competitors. The Franchise Times honor is the second time this year that RE/MAX has been recognized in the franchise community. In January, RE/MAX was the highest ranked real estate franchise in Entrepreneur Magazine’s 30th Annual “Franchise 500 Survey,” a tribute the company has received in nine out of the last ten years. RE/MAX has also been recognized as one of the “Top 25 Franchise Opportunities” by Hispanic Enterprise, and one of the “Top 50 Franchises for Minorities” by the National Minority Franchising Initiative. And, in 2009, for the third year in a row, RE/MAX was ranked on the list of America’s “Top 10 Military Spouse-Friendly Employers,” according to Military Spouse Magazine.

The Franchise Times Top 200 is an annual financial snapshot of the 200 most successful U.S.-based franchise companies as measured by worldwide sales. The complete list of honorees appears in the October issue of Franchise Times. # # #

For information on RE/MAX International visit: www.remax.com or www.joinremax.com

For more information on the Franchise Times Top 200, visit: www.franchisetimes.com About RE/MAX International, Inc.: RE/MAX was founded in 1973 by Dave and Gail Liniger. From a single office in Denver, Colorado, it has grown into a global network of nearly 100,000 Sales Associates in more than 70 countries, an international presence greater than any of its competitors. RE/MAX has been honored as the leading real estate franchise for 9 of the last 10 years in the oldest and most respected ranking, “The Franchise 500 Survey,” published by Entrepreneur Magazine.

RE/MAX Malta is a leading real estate agent in Malta providing a fully comprehensive service through its network of eight offices and seventy eight active real estate agents located all over the Islands of Malta.  For more information regarding permanent residences permits in Malta and tax benefits in Malta when purchasing a property in Malta contact one of our offices or go to our Buying property in Malta section of this blog.

Real estate agents in Malta make their money selling Property in Malta.  Malta’s real estate market is quite a different one compared to other countries.   The difference is simple, in 70% of countries around the world estate agents work solely on representing exclusive listings, which means that the properties that they have on their books can only be sold by their company, where as in Malta 90% of properties are available on an open agency which means that the properties that are for sale are likely to be represented by more than one real estate agent in Malta. 

This means that a real estate agent in Malta has to be sharper and quicker to show you the best properties available before any other agent gets to the punch first.  It may sound cut throat however you can avoid the pitfalls by just choosing a reputable real estate agent in Malta.   By doing this you will be avoiding estate agents showing you properties that do not fit to your requirements, putting extra pressure on you to make a decision and wasting your time  just to mention a few.  The more reputable real estate agents have a code of ethics, a larger database of properties and are trained to be professional and make an honest living.   If you choose many estate agents to deal with your request you are more likely to be taken to the same properties more than once and you will simply be complicating your life.

Please find the first steps to getting the best out of your real estate agent.

• 1. Choose a real estate agency you can trust.
• 2. Answer your agent’s questions honestly. If you start off on the wrong foot, you can only blame yourself for wasting your time and the real estate agents time.
• 3. Create a wish list and be realistic. Be honest with yourself and with your financial status. It will only backfire on you if you are not.
• 4. Turn your wish list into a check list. Take it to your appointments and score your properties. This way you will remember what you saw and you will not get confused especially if you are seeing a few properties at the same time.
• 5. Provide feedback. Feed back is important for a real estate agent; he may feel that he is on the right track whereas if you just told him one simple instruction it may change the whole scenario.