A leading industry association in
The Malta Developersââ¬â¢ Association (MDA) believe that the ââ¬ËMaltese construction industry... is facing a prolonged crisis that can send a ripple effect throughout the Maltese economy, if it is not managed in time and properlyââ¬â¢.
Help needed for struggling property sector in Malta
Michael Falzon, chairman of the MDA said: ââ¬ÅOver the last few years the Maltese property industry has been going through increasingly hard times, facing falling prices and an undetermined, but definitely large, stock of unsold properties.ââ¬Â
The MDA believes that after four years of negative growth in the countryââ¬â¢s real estate sector, the next five years could be ââ¬Ëeven worseââ¬â¢. According to the Central Bank of Malta, the share of the gross added value of the Gross Domestic Product of the construction industry has already fallen from 3.4 per cent in 2007 to 3.1 per cent in 2010.
In addition, the number of permits issued for the construction of properties has fallen dramatically from 11,343 in 2007 to 4,444 in 2010.
IMF believes property in Malta is a major concern
Concerns over the property market in Malta have also been raised by the International Monetary Fund (IMF) in its annual Malta report. The IMF said that ââ¬Ëreal estate weaknessââ¬â¢ is a major concern for Malta and that this market weakness ââ¬Ëcould turn out deeper and more protracted than expected as excess supply in segments of the real estate market and some debt overhang need to be worked off.ââ¬â¢
The MDA believe that a collaborative international marketing campaign is needed in order to attract foreign investors to buy property in Malta. Mr Falzon also believes that attracting retirement tourists is a positive way to help the nationââ¬â¢s ailing property market.
Are you looking to buy property in Malta ? Sliema , Malta , Ħad-dingli , Saint Julian's , Tas-sliema
Are you looking to rent property in Malta ? Sliema , Valletta , St Julians , Tas-sliema , Ix-xagħra
Author
Nick Marr
I am an internet entrepreneur with a passion for driving big audiences and a love for real estate. I have had plenty of ups and downs which has given me the experience to help others launch their own businesses. I enjoy projects that save consumers time and money, challenge convention and add real value to peoples lives.