The very popular Gozo Property Scheme, which offers a reduced tax rate of two per cent (as opposed to the usual five per cent) for individuals purchasing residential properties in Gozo, will end on December 31.
The reduced stamp duty rate will only be applicable for the remainder of this year if a promise of sale is signed before the end of 2023. It is thus an opportune time for any prospective buyers to acquire property in Gozo before the year is out in order to make use of this savings measure, Frank Salt Real Estate agency says.
Year after year, Gozo continues to be the preferred retreat for those residing in Malta. Inland towns and villages like Xaghra, Nadur, Qala, Żebbuġ and the capital, Rabat, are consistently popular choices.
Katya Scicluna, manager of Frank Salt Real Estate’s Fortunato Mizzi office, said: “Walking along the village streets, one cannot help but feel a sense of authenticity, as if time has stood still. The real charm of Gozo lies in its village cores and their inhabitants.”
For those desiring proximity to beaches and restaurants, Xlendi and Marsalforn are favoured. Areas such as Nadur, Kerċem and Sannat have witnessed increased sales and inquiries, especially for apartments and older character properties, particularly those with scenic views.
“Properties with a garage are in high demand, and if they come with outside space, even better!” Scicluna added.
Regarding the luxury property market, she observed: “Luxury properties remain accessible, but demand fluctuates based on factors such as location, premium finishes and views. High-end properties in certain locations experience swift sales, while others may remain available for an extended time.”
Marie Grech continued: “When investing in rental properties in Gozo, considerations include the property’s location, rental demand, the state of the local economy and overall appeal. Opting for a property in a prime location significantly impacts rental demand and returns, with well-located and well-maintained investment properties expected to yield around four per cent rental return plus a guaranteed capital appreciation of around eight per cent per annum.”
For first-time buyers, despite the conclusion of the two per cent stamp duty reduction, they remain eligible for a €40,000 grant when purchasing an older property. This incentive applies to those acquiring a vacant property of 20 years or more, a property in a UCA or a newly constructed house incorporating traditional Maltese architectural elements.
“If you’re eager to seize this unique opportunity or delve into Gozo’s vibrant real estate scene, don’t hesitate to reach out to Frank Salt Real Estate,” Grech suggested.
“With over 35 years of expertise specialising in Gozo properties, our company presents an exceptional selection of homes ready for immediate occupancy, all at very reasonable prices, some even below €200,000.”
Scicluna concluded: “Don’t miss the chance to make Gozo your home or investment haven – and save some money along the way.”