How to Buy Your First Home in 2023

Many people consider buying their first home as one of the biggest decisions one can make. This is hardly surprising when you consider the responsibilities that come with this decision. One needs to be aware of the process of buying a property for sale, the extra expenses that may arise and charges involved, and what methods would simplify this process – even more so when it’s the first home being purchased.

Know your budget 

It is important to have a budget in mind before searching for first-time buyers’ properties on the market. Several people have borrowed funds in order to finance their purchase. If this is the case, the bank is able to give you an indication of your borrowing limit based on your salary, factoring in other expenses you may already be committed to. Remember that this is only an indication so be sure to search for properties for sale priced below this figure. It may be prudent to deduct the costs of other items, such as furnishings, notary fees and so on. Explore the local banks and loans before buying property for the first time.

Start hunting for a home

Once you have a budget in mind, you can start hunting for a home. To simplify things, we would suggest you make a list of first-time buyer real estate you’d like to view, then contact the estate agent in Malta and schedule viewings for the same day. Several people opt to work with a real estate agent for the simple reason that this scheduling is undertaken by them.  

Aside from this, your estate agent will accompany you on your visit to the properties, know what to look for, and, when the time comes, haggle a price. Make sure you mark the properties you like, and remove the ones that didn’t meet your expectations. Ensure you thoroughly inspect the property – remember: disadvantages may allow for a decrease in price. Read more about what to look for when buying your first home in Malta. 

Before buying your future home

Once you have found your ideal home as a first-time buyer, you can make an offer. Check how much similar properties are selling for in the area before proposing a price. Should the vendor agree, remember that the agreement is – so far – verbal, despite being given in good faith, and if it is non-committal. 

Promise of Sale

Once you have agreed on a price, a date is set for the signing of the Promise of Sale (“Konvenju”). Drafted up by a notary, this is a contract between the buyer and seller where several terms and conditions are laid out in writing. The contract may be subject to several conditions; for example, the seller may need to finalise certain details or jobs in relation to the property for sale; as the purchaser, you may wish to have the home evaluated by an architect for any structural defects and may only purchase the property should it be of sound structure, etc. 

Deposit and stamp duty

The contract would also include a date for the signing of Final Deed, and such date would serve as a deadline for both parties. For the purpose of the Promise of Sale, the notary represents the government of Malta and is impartial between both parties. Once the Promise of Sale has been signed, you will be asked to pay a deposit (usually 10%) to the seller, and a further 1% provisional stamp duty to the notary. A copy of the contract is then given to both you and the seller. The notary would then need a further 6 weeks to carry out searches on the property – verifying the legal title, ensuring there are no loans taken against said property, and so on. Explore the available first-time buyers’ home loans currently available in 2023. 

Final Deed of Sale

Should all the conditions written in the Promise of Sale be satisfied, the parties then meet to sign the Final Deed. This would be read out by the notary and signed by both parties again. At this stage, you will need to pay all pending balances – including the remaining balance on your future home, the remaining balance on stamp duty and 1% fees to the Notary Public. The contract is then registered at the Public registry, and the keys to the property for sale are handed over to you – a proud first homeowner. Your next headache is moving all your personal items to your home!

Property hunting in Malta

The process of property-hunting as a first-time buyer on the Maltese islands may take anything from one week to several months, and is dependent on your urgency to find a property. Should you be in a hurry, or are planning ahead of time it is important to bear in mind that property searches and signing of contracts take an average of three to six months. 

Feel free to contact us so we can be part of your planning process, especially you are buying property in Malta for the first time. At RE/MAX Malta, the first-time buyer market is just one of the niches that we have specialised real estate associates attending to on a daily basis.  Our know-how of the market, comprehensive database of properties and reach of offices around the islands should surely be an asset to your property search.

RE/MAX offices

Each office of ours has a number of fully qualified sales associates available to attend to any of your first-time buyer’s needs. You will find that our associates are very professional and will not waste your time.  We are proud to say that we do our utmost to listen to your every request and take the time to guide you through the purchasing process.

You may find our weekly updated list of properties for first-time buyers useful. You may also like to receive property update emails of available homes that come through our database that match your criteria.

We wish you all the luck in your endeavour to find the right property for sale in Malta to your needs. Learn more about a guide to buying a house for the first time in 2023.