Hello! been lurking in the sub for some time now but this would be my first post here (if i recall correctly!).
Me and my wife are expats living in the island since 2024. We have decided to move on and buy our first apartment here as we plan to live in Malta for at least the next 6 years. I have done quite the research in terms of what the banks will require, which banks to go ask for loan etc. However, I have a couple of questions and maybe good people of the internet could help.
I understand that asking prices are at least 15% more than the asking price as stated publicly here: https://tvmnews.mt/en/news/average-property-price-in-malta-e266000/#:~:text=Speaking%20to%20TVMnews%2C%20the%20Deputy,and%20recorded%20in%20the%20contract .
Also, following research on inflation etc, i can see that asking prices are way more inflated than they should be, based on the 2024 prices from this report (considering an already higher number for inflation at 6% per year): https://maltapropertylandscape.mt/may-2025-edition/ .
Combining the above an asking price of 425k for an apartment of 115sqm (internal size) results in 3,695€/sqm when the fair price is 2,600€ to 2,800€ (based of course on location data/prices). This mean there is a difference of 80-100k from fair high-end price to the asking price. Note that agency fees are included in the fair price of 2,6-2,8k as per the report above.
Keeping these in mind, my question to you is – taking this example:
- Would a seller accept the fair price for this apt or there is no point in asking at all.
- Should i present these evidence when negotiating prices?
- What is the general negotiations tolerance in the real estate in Malta.
Thanks for your input and hopefully the above research could also help other people.
EDIT: added location parenthesis in fair price data
Posted by deen929
4 Comments
You can put an offer, but it highly depends on how long an apartment has been, the cashflow and situation of the seller. Some sellers negotiate only a little others might be a bit more desperate. As far as i knownyou will need 20% as downpayment and then add on top of those notary fees and taxes.
Also if you plan to live just 6 yrs and need a morgage not sure its worth the hassle and investment….. but you have to do the math
The average area prices take into consideration that a significant part of the properties sold have need for full renovations and expensive repairs. A large portion of deeds are derelict properties where the only value is the land they stand on.
If you are buying a property in good condition, the average price is near the advertised asking price, and very rarely are sellers in a rush to sell, happy to let the property sit on the market until market increases reach their asking price.
If an agent has clearly overpriced a property compared to similar apartments you may be able to get a discount by negotiating, but most often its either not negotiable for the seller side, or behind the scenes its actually the agent accepting a cut in their comission to get the deal through.
As always the answer is to go on as many viewings as you can. Once you’ve viewed 5+ properties you will start to form a view of what the fair price is.
Sellers don’t give a crap about your research. Usually they have a minimum price in hand in their head and won’t budge from that. In general you can negotiate about 5 to 10% less. I’ve never seen anyone getting more discount.
Sellers usually negotiate a bit but you have a better chance of getting a lower price when you show that you are a friendly and humble person. Trust me, if you go to a seller with your research he will assume that you will be a nuisance not just to sell but even to arrive to the contract stage so they will dismiss you in favour of more easy going buyers.