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Banking January 2026 6 min read

Malta Mortgage Guide 2026

Everything you need to know about getting a home loan in Malta.

Understanding Mortgages in Malta

A mortgage (home loan) is a loan secured against property, allowing you to purchase a home while repaying over an extended period. Malta's banks offer competitive mortgage products with terms typically ranging from 5 to 40 years.

Minimum Deposit Requirements

10% Minimum Deposit

Under Central Bank of Malta Directive 16, buyers of their main home (Category I) can borrow up to 90% of the value, so the minimum deposit is 10%. For other properties, such as a second home or buy-to-let (Category II), the limit is 75% (25% deposit).

A higher deposit offers benefits:

  • Lower monthly payments
  • Potentially better interest rates
  • Reduced total interest over the loan term
  • More equity from day one

Interest Rates

Mortgage interest rates in Malta vary between banks and depend on several factors:

Rate TypeDescription
Variable RateMoves with the bank's base rate, which follows ECB policy. More common in Malta.
Fixed RateLocked for a period (1-5 years typically), then converts to variable.
Tracker RateFollows ECB rate plus a fixed margin.

Malta has some of the lowest mortgage rates in the eurozone. ECB data put the average rate on new Maltese home loans at about 2.1% in April 2026. Your own rate depends on the bank, the term and any fixed-rate period.

Additional Costs

Beyond the deposit, budget for these additional expenses:

  • Stamp Duty: 5% of property value (exemptions for first-time buyers)
  • Notary Fees: Typically 1-1.5% of property value
  • Bank Fees: Arrangement fees, valuation fees
  • Insurance: Building insurance is mandatory

Eligibility Criteria

Banks assess your application based on:

  • Income: Stable employment or business income
  • Debt-to-Income: Loan repayments can't exceed 40% of net income, tested with a 1.5 percentage point interest rate increase (CBM Directive 16)
  • Credit History: Clean payment history
  • Term and age: Up to 40 years for a main home (25 years for other property), normally ending by your retirement age

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Malta Calculator Editorial Team

Financial Content Specialists | Malta Tax & Employment Experts

Our team specializes in Maltese tax law, social security contributions, and employment regulations. All content is reviewed against official sources from the Malta Tax and Customs Administration and the Department of Social Security.

Published: 1 January 2026Updated: 21 October 2026

Official Sources

Data verified as of 21 October 2026. Rates and thresholds are subject to change based on Malta government budget announcements.

Share this article

first_home_dreams10 months ago

the mortgage calculator on this site is amazing! helped us figure out what we can actually afford. looking at about €180k which limits options in malta but at least we know now

Martin Grima10 months ago

Good overview. I'd recommend shopping around between banks - rates can vary by 0.5% or more which adds up to thousands over the life of the mortgage. Don't just go with your current bank!

BankEmployee_MT10 months ago

Solid guide. One tip: most banks require at least 10% deposit for Maltese residents and up to 30% for non-residents. Start saving early and keep good financial records for the application.

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