The government's home deposit scheme, which helps prospective homeowners with liquidity for a 10 per cent deposit on a home loan, has been raised from a maximum of €17,500 to €22,500.

This means that applicants will be able to purchase property for up to €225,000, Social Accommodation Minister Roderick Galdes announced on Monday.

Launched in 2020, Galdes said that the scheme - which offers an interest-free loan to cover the deposit on a home purchase - has helped over 200 families become homeowners.

“As a ministry, our goals have not only been to provide social housing but also affordable housing to those who are able to invest in their own property with a little help.”

Housing Authority CEO Matthew Zerafa said that an assessment of the initial scheme showed that some applicants were able to afford slightly better properties but were hindered by the maximum limit of the deposit scheme.

This adjustment, Zerafa said, would go a long way to helping more people to own their own homes. 

“Some 80 per cent of Maltese own their own homes and our goal is to keep that rate where it is. We are responding to the realities of the property market and doing our best to fill in the gaps.”