Landlord Rights & Obligations in Malta

As a property owner renting out residential accommodation in Malta, you take on significant legal responsibilities under the Private Residential Leases Act (Chapter 604). This legislation, which came into force in January 2020, was designed to regulate the private rental market and establish clear obligations for both landlords and tenants.

Understanding your obligations is not just a legal requirement—it's essential for maintaining positive tenant relationships, protecting your investment, and avoiding costly disputes or penalties. The law applies to virtually all private residential rentals in Malta and Gozo, with limited exceptions for short-term tourist rentals and certain other arrangements.

Being a landlord in Malta involves more than simply collecting rent. You must ensure your property meets safety standards, maintain it in good condition, respect your tenant's rights to quiet enjoyment, comply with registration requirements, and follow proper procedures for rent increases and lease terminations. Failure to meet these obligations can result in penalties, disputes before the Rent Regulation Board, and damage to your reputation in the rental market.

This guide will walk you through your key responsibilities and rights as a landlord, helping you navigate Malta's rental regulations while building a successful and compliant property rental business.

One of your most important obligations as a landlord is to register every private residential lease with the Housing Authority. This is not optional—it is a legal requirement with significant penalties for non-compliance.

The registration process is completed online through the rentregistration.mt portal. You will need to provide details about the property, the lease terms, the rent amount, and information about your tenant. Both you and your tenant will receive confirmation of the registration.

If any details of the lease change during its term—such as a rent increase or change of tenant—you must update the registration accordingly. You must also register the termination of a lease when it ends. Keeping your registrations up to date protects you legally and ensures accurate records with the Housing Authority.

Selecting the right tenant is one of the most important decisions you will make as a landlord. Proper screening can help you find reliable tenants who will pay rent on time, maintain the property well, and fulfill their obligations under the lease.

While you have the right to choose your tenants, you must do so without discrimination. Under Maltese and EU law, you cannot refuse to rent to someone based on their race, ethnicity, religion, gender, sexual orientation, disability, or other protected characteristics. Focus your screening on legitimate factors such as ability to pay rent, rental history, and references.

Best practices for tenant screening include meeting potential tenants in person, verifying their employment and income, contacting previous landlords, and trusting your judgment while remaining fair and objective. A good tenant relationship starts with a thorough but respectful screening process.

Consider requiring tenants to provide proof that their income is at least 2.5 to 3 times the monthly rent—this is a common standard that helps ensure they can afford the property. However, be prepared for the possibility that some excellent tenants, particularly young professionals new to Malta, may not have traditional proof of income but could offer alternatives such as a guarantor or advance rent.

Collecting rent is obviously central to your role as a landlord, but the law places important restrictions on how much you can charge as a deposit and how rent increases must be handled. Understanding these rules helps you stay compliant while protecting your income.

To protect yourself when it comes to deposit deductions, conduct a thorough inventory and condition check at the start of the tenancy, with photographs and written documentation signed by both parties. This provides evidence if there is a dispute about the property's condition at the end of the lease.

Regarding rent payments, establish clear terms in your lease about when rent is due, acceptable payment methods, and any late fees (which must be reasonable). Many landlords in Malta now use bank transfers for rent collection, which creates a clear paper trail. Whatever method you use, provide receipts for all payments received.

Rent increases are regulated under the Private Residential Leases Act. During a fixed-term lease, you cannot increase rent unless the lease specifically provides for such increases. At renewal, increases are typically tied to the cost of living adjustment (COLA). Arbitrary or excessive rent increases can be challenged by tenants through the Rent Regulation Board.

As a landlord, you have a legal obligation to maintain your property in a habitable and safe condition. This is not just good practice—it's required by law, and failure to maintain the property can result in disputes, penalties, and potential claims against you.

Your maintenance responsibilities cover all structural elements of the property and major systems. This includes the roof, external walls, floors, stairs, windows, doors, plumbing, electrical wiring, heating and cooling systems, and any appliances that were provided as part of the rental. You must ensure these are in good working order at the start of the tenancy and repair them when they fail due to normal use or age.

When tenants report maintenance issues, respond promptly. For urgent matters affecting habitability—such as no water, heating failure in winter, or electrical hazards—you should arrange repairs within 24-48 hours. For non-urgent matters, a reasonable timeframe might be 1-2 weeks. Document all maintenance requests and your responses.

Building good relationships with reliable contractors and maintaining an emergency fund for unexpected repairs will help you fulfill your maintenance obligations efficiently. Remember that neglecting maintenance not only violates your legal obligations but can lead to more expensive repairs later and damage your relationship with tenants.

While much focus is placed on tenant protections, landlords also have significant rights under Maltese law. Understanding these rights helps you manage your property effectively and take appropriate action when problems arise.

You have the right to expect your tenant to pay rent on time, keep the property reasonably clean and undamaged, not engage in illegal activities on the premises, not sublet without your permission, and follow all terms of the lease agreement. When tenants violate these obligations, you have legal recourse.

Regarding property access, you have the right to inspect your property periodically and to enter for necessary repairs. However, this right must be balanced against your tenant's right to quiet enjoyment. Always provide reasonable advance notice (typically 24-48 hours) and arrange a mutually convenient time unless there is a genuine emergency.

Eviction is sometimes necessary, but it must be handled correctly. Attempting to evict a tenant without following proper legal procedures can result in penalties against you and may actually delay your ability to regain possession of your property.

There are several valid grounds for eviction under Maltese law. These include non-payment of rent, breach of lease terms, illegal activity on the premises, and the landlord needing the property for personal or family use. Each ground has specific requirements and procedures.

Never attempt self-help eviction. Changing locks, removing tenant belongings, cutting off utilities, or harassing tenants to leave are all illegal and can result in serious legal consequences for you, even if the tenant is in breach of the lease. Always follow the legal process, even if it takes longer.

For eviction based on personal use, you must provide substantial advance notice (typically 3-6 months depending on circumstances) and may need to demonstrate genuine intent to occupy the property. The Rent Regulation Board will assess whether your claim is legitimate.

Rental income in Malta is subject to taxation, and as a landlord, you must comply with your tax obligations. Understanding the tax system helps you plan your finances and avoid penalties for non-compliance.

Malta offers landlords a choice between two tax regimes for rental income. The first option is to include rental income in your total income and pay tax at your marginal rate, which can range up to 35%. The second option is the 15% final withholding taxon gross rental income, which is often more advantageous for landlords with significant rental earnings.

Consult with a tax professional to determine which option is most advantageous for your situation. The right choice depends on your total income, allowable expenses, and personal circumstances. Proper tax planning is an essential part of successful property investment in Malta.

The following resources can help you understand your obligations and manage your rental property effectively: