Malta's Rental Market: Trends & Insights for 2025

Malta's Rental Market: Trends & Insights for 2025

Malta’s rental market continues to thrive, driven by a strong economy, an increasing expat population, and a growing digital nomad community. Demand for both short-term and long-term rentals remains high, particularly in popular areas like Sliema, St. Julian’s, and Valletta. Prices have steadily risen, but affordable options can still be found in emerging areas such as Marsaskala, Qawra, and Mosta. Whether you're a tenant looking for a home or an investor seeking rental opportunities, understanding current trends is key to making informed decisions.

Malta’s rental market remains one of the most dynamic in Europe, fueled by a strong economy, a growing expat community, and an influx of digital nomads seeking Mediterranean living with modern amenities. Whether you're a tenant searching for the perfect home or an investor looking for rental opportunities, staying informed about the latest trends will help you navigate the evolving landscape of Malta’s property market.

1. The Rising Demand for Rentals in Malta

The demand for rental properties in Malta has continued to rise in 2025, driven by several key factors:

✔ Expanding Expat Community – Many professionals relocate to Malta due to job opportunities in finance, gaming, and technology.
✔ Increase in Digital Nomads – Malta’s Nomad Residence Permit has attracted remote workers who need short- and long-term accommodations.
✔ Tourism & Short-Term Rentals – The rise in Airbnb-style accommodations keeps the demand for holiday lets strong, especially in high-tourism areas.

With more people choosing to rent rather than buy, the competition for quality rental properties remains high.

2. Popular Rental Areas in 2025

While established areas continue to dominate, new hotspots are emerging where renters can find better value for money.

🔹 High-Demand Areas (Premium Locations)

These locations remain the most sought-after for their central location, luxury properties, and accessibility:

🏙 Sliema & St. Julian’s – Known for seafront apartments, vibrant nightlife, and easy access to business hubs.
🏛 Valletta – The capital city remains popular with expats, professionals, and digital nomads.
🏖 Gzira & Ta’ Xbiex – A favorite among expats, with modern apartments and a thriving business district.

🔹 Emerging Affordable Locations

For those looking for more affordable rent without sacrificing convenience, these areas are growing in popularity:

🌿 Marsaskala & Marsaxlokk – Ideal for coastal living, with new developments offering better rental prices.
🏡 Qawra & Bugibba – More budget-friendly, with seafront apartments and a quieter pace of life.
🏘 Mosta & Birkirkara – Centrally located with good transport links and lower rental costs.

These areas offer better rental deals while still providing easy access to the main business and entertainment hubs.

3. Rental Price Trends in 2025

Malta’s rental prices have continued to rise, but some areas offer better affordability than others.

📈 Luxury & Central Locations:

• 1-bedroom apartment in Sliema, St. Julian’s, or Valletta → €1,200 – €2,000/month

• 2-bedroom apartment in premium areas → €1,800 – €3,000/month

📉 Affordable & Emerging Locations:

• 1-bedroom apartment in Qawra, Marsaskala, or Mosta → €750 – €1,100/month

• 2-bedroom apartment in these areas → €1,100 – €1,500/month

While rental prices remain high in prime locations, affordable options can still be found in Malta’s outskirts and up-and-coming towns.

4. Investment Opportunities: Is It Still Worth Buying to Rent?

With a high demand for rentals, investing in rental properties in Malta remains a profitable option in 2025.

✔ Short-Term Rentals – Properties in touristic areas like Valletta, St. Julian’s, and Sliema generate high returns through Airbnb and holiday lets.
✔ Long-Term Rentals – Investing in areas like Gzira, Mosta, and Qawra can offer consistent rental income with less seasonal fluctuation.
✔ Co-Living & Digital Nomad Housing – The rise of remote workers and coworking spaces means investing in fully furnished, flexible-rent apartments is a growing trend.

Rental yields range between 4% – 7%, making Malta an attractive destination for property investors.

5. Future Outlook: What to Expect in the Malta Rental Market

🔮 Sustainable Development – Malta is investing in greener buildings and energy-efficient apartments, making eco-friendly rentals more attractive.
🔮 More Flexible Rental Agreements – Short-term leases and fully serviced apartments are becoming increasingly popular.
🔮 Tech-Driven Rentals – Online booking, virtual property tours, and smart home features are becoming the norm.

As demand continues to grow, those looking to rent or invest in property should act fast to secure the best deals in this competitive market.

Conclusion: How to Find the Best Rental Deals in 2025

✔ For Tenants: Start your search early, explore emerging locations, and work with trusted agents to avoid scams.
✔ For Investors: Focus on high-demand areas, digital nomad housing, and short-term rental opportunities to maximize returns.

📍 Looking for a rental property in Malta? Check out our latest listings or contact us for expert guidance!