Owing much to the recent budget measures the property market has taken an excellent positive turn during the first quarter of 2014. Government appears to have hit the nail on the head by subsidising the first time buyer market by up to €5,250. The volume of property turnover has increased significantly and already by the end of the first quarter the spillover effect has already enhanced sales in other sectors of the property market in Malta.
In this report we use a random sample of only 280 properties sold to identify any possible trends in the market. Because it is only a sample of all the sale of property that have been sold in Malta and Gozo it may not be considered as actual or indeed factual. This report may only serve as a loose guideline.
The average of sales during the first quarter was approximately €180,000. When considering that nearly half of the purchases were made by first time buyers, it augurs well for the spending power of our young generation. €180,000 is a reasonable investment and can in fact buy one a lovely home. Our property for sale web portal www.homes-malta.com offers numerous options of homes priced between €160,000 and €200,000.
For €200,000 or less the most common properties available are undoubtedly Apartments and Maisonettes however one may also be able to acquire a cozy (estate agent language for ‘not too large, not too small’) House of Character or a Townhouse whilst keep the price tag below €200,000. Some Penthouses in certain areas are also available within this range.
As always has been the case, much due to the laws of supply and demand Apartments represented the largest number of units sold accounting for nearly half of our sample. Next were Maisonettes however the numbers were not close as Maisonettes accounted for nearly 20% of properties sold.
The average price per square meter sold in the sample was €1,190 with prices ranging between €650 and €3,750 per square meter. Incidentally both the highest and the lowest price per square meter were recorded in apartments which vary widely due to locations. The average price per Sq.m for apartments was however €1,215 with the majority selling between €900 and €1,100/sq.m. Most maisonettes were sold between €1,000 and €1,200/sq.m with a few outlying prices on either side.
Overall the market has seen an influx of first time buyers on the market. Many have gone ahead and purchased, others still sit on the fence waiting for a better property at possibly a better price. Either way, time is passing and the opportunity to benefit from the government grant is slowly passing us by. Buyers still waiting may already be having to consider smaller units as their fast acting competitors have already snapped up the more spacious homes. Either way it augurs to be a very busy summer for estate agents this year.