Scheme to restore old buildings for social housing has its grant doubled
The grant increased from €25,000 to €50,000, eligibility criteria widened
A Housing Authority scheme to aid owners of vacant dwellings restore their property for it to be rented out for social housing purposes has doubled its maximum grant and widened its eligibility criteria.
The maximum grant for the Rehabilitation of Vacant Dwellings scheme increased from €25,000 to €50,000, Parliamentary Secretary Andy Ellul and Housing Authority CEO Matthew Zerafa announced on Thursday.
The scheme, once limited to houses vacant for a year and at least 30 years old, now also applies to properties 20 years or older.
The grant is intended to restore the property to certain standards, ensuring it is suitable for occupation.
As part of the scheme, once renovation works are completed, the property will be leased to the authority for 10 years to be used as social accommodation, as part of the Nikru biex Nassistu scheme
The rent offered will be below market value, and it is based on the authority’s internal mechanism, but the rent will be tax-free, and rent payments will be made in advance every six months. The rent will then increase by two per cent annually.
After 10 years, the property will be handed back in the same condition it was handed over to the authority, accounting for normal wear and tear.
“The scheme means that the owner will have peace of mind knowing that the property is being rented to the Housing Authority for ten years. On the other hand, the scheme also gives those most in need, the certainty of a roof over their heads that offers dignity and stability,” Ellul said at the press conference.
The junior minister said that these changes form part of further amendments to be announced aimed at improving social housing schemes, including Nikru biex Nassistu.
The scheme is a "sustainable" one which combines the interests of property owners with the country's social needs, Ellul said.
“The scheme helps to provide dignity to more people and families, and ensures that everyone in Malta has a roof over their head."
The Housing Authority CEO said the grant can be used for structural repairs, electrical work, plumbing and drainage, as well as the repair or replacement of roofs, windows, and doors.
Zerafa praised the scheme, saying it is ideal for a small country like Malta, which must use its limited land more efficiently.
“I appeal to all those people who own a vacant property and would like to make better use of it,” Zerafa said.