Real estate in the St Julian’s and Sliema region has, for many years, managed to outshine other regions, fast becoming one of the most successful investment areas in the last decades. Without name-dropping intentionally, one can safely single out Manuel Dimech Street, the Sliema Seafront, Spinola Bay and Balluta Bay as being well-known by seasoned investors.
However, many have now also turned their attention a little further north and south. This development is partly due to a growing economy and the influx of numerous foreign nationals and expats. These have generally relocated to Malta not only to retire but also with the intention of taking up employment or setting up business. The country has, over the last decade seen a surge of interest in rental properties, with many people taking the plunge, riding the tide and investing in rental properties. What started out in Sliema and neighbouring towns has now spread to cover most of the island. Localities such as Swatar, Naxxar, Balzan, St Paul’s Bay and Mellieha are worth mentioning in the north.
The southern areas have also elicited a fair share of interest. Whilst Marsascala and the traditional seaside villages have always been popular rental investment destinations, the interest has also spread more inland, covering key locations such as the Three Cities and the airport vicinities. The above geographical ‘movement’ can also be attributed to the number of foreign companies and office spaces that are emerging in several areas, namely Smart City in Kalkara, Skyparks on the airport grounds and the likes.
The financial considerations covering rental investments have also flourished. Why would one keep money saved in the bank or in a risky stock or fund, when it can be earning as much as 6% on a rental investment? Rental property investments take little management, give great returns and produce a steady cash flow for years and years to come. When also considering the current capital appreciation rate averaging at 5%, it has truly never been a better time to invest in property.