To print this article, all you need to do is be registered or log in to Mondaq.com.
The local real estate market continues to experience year-on-year growth, despite various challenges arising from rising construction costs, oversupply and accessibility constraints. This and other information on the Malta property market was discussed at a one-of-a-kind networking event organized by the Bank of Valletta for estate agents. During this event, BOV also presented its recently launched online home loan portal to those in attendance.
During an introductory keynote, Bank of Valletta CEO Kenneth Farrugia said, “We have developed a number of affordable and accessible financing solutions to provide our customers with the opportunity to own the home of their dreams or buying a property as an investment. With the new home finance portal, our customers benefit from an enhanced digital experience and an easy-to-use end-to-end platform where they can apply for their home finance solution from the comfort of their own home. The introduction of the BOV Online Home Loans portal is another first for the Bank, providing customers with a truly holistic digital journey.
Malta Property Landscape Report
Dr Daniel Gravino presented the latest report on Malta’s real estate landscape compiled by Grant Thornton and Dhalia. The report provides information on house selling and rental price indexes, real estate transactions, housing demand and supply, affordability, rental yields and market outlook for the coming years. The report shows that between 2020 and the first half of 2022, the selling price of an average home increased at a relatively slow pace. However, when looking at the sale price of the property over the past nine years, the figures show how these have doubled. With housing supply increasing rapidly and demand increasing at a slower pace, the market outlook for the next two years predicts some downward pressure on property prices.
Similarly, Lara Selvagi – Head Data Insights and Economics at Bank of Valletta, shared insights from a customer perspective, analyzing in detail the most and least affordable locations to purchase property based on demographic data such as property location, buyer status and income. The data shows that price is not the only determinant of affordability as different locations and types of properties attract different types of buyers. A case study demonstrated how apartment buyers in Attard and Fgura encounter the same level of affordability difficulty, since low-priced apartments in Fgura attract low-income buyers, while Attard attracts buyers in higher income opting for higher priced apartments.
Introducing the BOV Online Mortgage Portal
Marisa Said, head of consumer and micro-enterprise finance at Bank of Valletta began by introducing attendees to the BOV online mortgage portal, as they were the first audience to watch a new video tutorial. Ms. Said also shared customer testimonials based on their experience with the new portal. She also said that the Bank offers real estate agents to provide them with a link to the BOV portal on their corporate websites. This will help common customers make an informed property choice based on their affordability with greater ease.
The event continued with a Q&A session from attendees and a closing speech by BOV Chairman, Dr Gordon Cordina, who explained that “the Bank is committed to meeting its ESG requirements, which are essential for new business opportunities. The main priorities of our short-term strategy will focus on proper segmentation, use of data, intelligence and digitization tools. »
The content of this article is intended to provide a general guide on the subject. Specialist advice should be sought regarding your particular situation.
POPULAR ARTICLES ON: Malta Finance and Banking