I am proud of being a property specialist and I’m proud of having built my dream career on the Maltese islands; I wouldn’t change it for any other.
As estate agents, we’re often criticised for an array of matters by a few who are unaware of the many challenges and frustrations estate agents face in acquiring their daily livelihood.
I was never one to whine, especially not without providing a solution, but I feel it is time more people shed light on the unnecessary red tape, bureaucracy and double work the industry is bogged down with, which is inevitably slowing down the process and, in turn, progress.
When considering that the real estate industry contributed to around 10% of Malta’s GDP (multiplier effect included), one can easily make a few calculations to understand not only the personal and emotional pressure this brings about but also the financial one.
Don’t get me wrong – when I talk the effect on people I don’t just mean estate agents whose only income comes from their share of agency fees (usually paid nine months later). This issue also impacts sellers, downsizers, notaries and first-time buyers excited to move into their new home. Second-time buyers, often expanding their families, are also tied down by looming deadlines and delays.
Where do we start? Obtaining permits, approvals for amendments or the right information has become a tedious and time-consuming process often needed to go from one department to another, and, sometimes, even back. These lengthy processes need to be speeded up. What should be a straightforward procedure is often prolonged by complex regulations, overlapping requirements and redundant checks.
For many professionals in the sector, navigating these regulatory mazes has become a full-time job. I am not proposing cutting corners but, rather, streamlining and consolidating processes as well as having departments or authorities connecting their systems to digitally communicate with each other to facilitate the job of many professionals as well as allowing a sigh of relieve to sellers and buyers.
Our estate agents and clients are bearing the brunt of administrative burdens- Steve Mercieca
Next in line for the most laborious and triplicate frustration of tasks is completing all due diligence requirements. Mind you, this is not about the process and requirements themselves but the fact that, for the same transaction, involving the exact same people, the process needs to be completed three times by three different groups of people: bankers, notaries and estate agencies.
This requires questioning, checks and the submissions of the same documents to multiple and distinct people who are checking the same exact things repeatedly. I am all in for transparency and ensuring Malta continues upholding the importance of transacting in clean money, I want to make this clear.
But I am also of the solid opinion that getting all heads who have an interest in ensuring due diligence compliance together can create a unified and streamlined process that balances prudence, effectiveness and efficiency.
The inefficiencies in Malta’s system are creating undue pressure on an industry that many people rely on as well as professionals across the board, leading to delays in the sales process and, ultimately, financial losses.
Our estate agents and clients are also bearing the brunt of these administrative burdens, often having to wait months or even years before getting paid or move into their new homes respectively.
It’s time to cut the red tape and fast-track progress. We cannot leave permits pending for years and half-built properties peppering our island. Let’s work together – safeguarding lives, livelihood and dreams while ensuring Malta’s real estate sector remains a pillar of economic growth.
Steve Mercieca is CEO and co-founder of the QLZH Group.