How much mortgage can you borrow and what is required?

First consider the amount of mortgage loan you can afford by calculating with the help of a mortgage calculator. There are some non-status self certification mortgage facilities available. Renting out of property is also supported and hence a proof of income is always required by all types of home loans. In case you are employed, you need to produce the pay slips of the last three month’s salary, P60 employer’s reference and the bank’s statements of the last 6months. If you’re self employed, then there are different rules for you. You need to show copies of your audited accounts together with your last 12 month’s business and 6 months bank statements.

The mortgage that you will take on a property that you will buy will be based on your personal net pay and is calculated on an affordability basis. This affordability basis can be calculated by an affordability calculator, a kind of mortgage calculator. If you want to be considered by the lenders, then your total outgoings must not exceed 35% of your net monthly income. This will ensure that you will be able to make your mortgage payments on time with your stated income.

Tips to purchase a property

* Ensure that you have full ownership of the property after the completion and check whether or not the relevant documents are available for the lender.
* In case of newly constructed properties, check the date on which the property will be registered with you.

* In accordance with the legal and administrative system, there may be delays in securing your loan. All reasonable steps will be taken to avoid this. Hence be prepared.

* Make sure that you have calculated every possible cost that you may incur while taking a mortgage. You may also be charged by the government in addition to the lender’s legal costs.

* Unless you are very experienced in purchasing property abroad, it is very important that you seek legal advice before you sign a contract for a property deposit any amount of money with the lender.

The high street banks can give you mortgage without any kind of problem provided your finances are in an advantageous state. Determine the amount you can borrow with the help of a mortgage calculator and take into account the above mentioned tips in order to take out a better mortgage loan in terms of interest rate.

This article has been written with our foreign property buyers obtaining a mortgage overseas and outside the Maltese financial borders.



Office Facade – Before work began		Office Facade – Balcony being built
		Construction work began and balcony being built

• Original front door stripped and varnished
• Window created stripped and varnished
• Front of building stripped and prepared
• Electricity pole was moved after a month from applying with Enelmalta which we are deeply greatful
• Wires and communications moved with the pole and after collaborating with local telecommunication co.s
• After the pole and wires were moved  we could make a window on the ground floor & then build the second floor
• Second floor new construction with balcony & window in accordance with our planning application with Mepa

Internal work on ground floor

• Restoration work on all original walls
• New ceiling
• New restored wooden beams for the ceiling
• Stripping & preparation of the ceiling
• Designated area for the spiral staircase
• Plumbing for the downstairs toilet
• Electricity, internet, telephone and water connections put in
• Tiles layed

Some of the work that will continue during the next  few weeks would be the internal stairs that are being made and fitted on-site.

We thank you for your interest in our CNW Property Malta Ltd’s progress and will soon bring you more news on this exciting phase of our business.

]]> http://www.cnwpropertymalta.com/blog/2010/08/24/office-construction-work-continues-for-cnw-property-malta-ltd/feed/ 0 http://www.cnwpropertymalta.com/blog/2010/07/20/whats-current-situation-maltese-property-market/ http://www.cnwpropertymalta.com/blog/2010/07/20/whats-current-situation-maltese-property-market/#comments Tue, 20 Jul 2010 15:56:22 +0000 cheryl http://www.cnwpropertymalta.com/blog/?p=118 The construction industry has started to move and slowly rebound from the recent worldwide economic downturn. Throughout Malta you can observe increasing activity in the building and development sector. Many of the new buildings currently being constructed range from the affordable apartment to the large scale luxury development projects.

This is a sound indication that the Maltese property market is heading in the right direction.

We have also seen during most recent years an improvement in the average standard property. It appears that an unconscious compromise has been reached between developers and buyers. There’s a tendency that the current apartments being built are slightly larger with improved overall design. This coupled together with buyers increasing their budgets is creating a healthier platform thus providing improved opportunities for all parties involved.

This is steady progress and we are looking ahead to a positive and brighter future in the Maltese property market.

The delay in the offices being constructed was been due to the building having some original features. These are required to be protected and retained during the building and transformation process. In other countries it’s what’s considered as being a ‘listed’ building.

Builders are frantically working to have the offices ready to be opened by end of  July 2010.  The front window has been created whilst retaining all original stonework.

Progress is anticipated to accelerate with the second floor being built any time.

The opening of the new CNW Property Malta office will gel the business and give us the much needed increased physical presence that is being requested by our existing clientele.

Our offices are a classic example of synergising the old with the modern and creating a workable, professional space whilst accommodating today’s work style with an original fresh environment.

• Affordable ,
• Good quality,
• Well planned,
• High investment .

This prestigious development is located in a quiet residential part of the village nestlling amongst older historical buildings. It’s a perfect example of the synergy between modern day living and historical culture. A Palazzo and its mature gardens became the focal area and superb backdrop for the overall design of this development.

Beautifully Designed with Fabulous Surroundings

On entering this development you feel a sense of calmness which immediately puts you in a relaxed sense of well being. The building is set back from a main road and is surrounded by wide landscaped pedestrian walkways. Straight ahead you will find a beautiful old historical wall that is being restored to its former glory. This will be illuminated at night time and enhances the overall unique ambiance of the surrounding grounds. The development is unique in its layout and has the following structure:

• Designed in separate blocks,
• Common area & lift serves minimum of three and a maximum of ten individual units,
• Single and double underlying garages located at basement level with access to all lifts,
• Separate pedestrian & car entrances provide these properties with added investment potential.

All properties offer three bedroom spacious, well planned living spaces. The external windows are larger than average providing the properties with a maximum level of natural light possible.The common areas are being finished with marble flooring and stairs. External apertures with beautiful iron railings & marble encasing around the window frames.

Set Within A Cultural Village

The village of Zurrieq itself is large and predominantly inhabited by Maltese and lends itself to traditional Maltese culture where one can find;

• A weekly local market,
• Traditional shops selling local foods,
• Large school, post office, banks
• Cafe’s, bars, snack places,
• All types of shops, banks, and other amenities.

Excellent Location on the South of Malta

Zurrieq is considered to be in the southern part of the island, is ideally situated near historical sites and has easy access to the centre of Malta;

• 10 minute car trip from Malta International Airport and access to main link roads.
• 10 minute car trip to Hagar Qim neolithic temples
• 30 minute car trip to the Silent City Mdina
• Regular 20-30 minute bus service to the capital city Valletta
• 15 minute car trip to the Royal Malta Golf Club
• Short bus journey or lovely 30 – 40 minute walk to the world famous Blue Grotto in Wied iz-Zurrieq. This is a rocky bay that’s very popular with locals and tourists. Here you will also find several restaurants and bars serving authentic local Maltese dishes.

Quick Sales Anticipated to Maltese & Foreign Buyers

These properties are being snapped up quickly and are a smart move for any buyer in the property market.They are particulary desirable to first time buyers,young families, foreign nationals, retirement, and as an investment opportunity . The starting prices are from as little as:

Maisonettes Starting at Euro 97,834
Flats Starting at Euro 111,810
Penthouses Starting at Euro 132,774

Viewings are highly recommended and are on a first come first serve basis. For additional information please contact us on 00356 2701 9394 / 9980 9394 .

You may also email us with your telephone number on : cnw@cnwpropertymalta.com and we will happily call you.

Thank you for your time , we look forward to assisting you in purchasing a property of your dreams.

In business the Maltese are used to working together with other foreign nationals. Malta has a very sound financial and legal framework. The business foundations and frameworks have proved invaluable. During the most recent economic global crisis the Maltese bank system did not enter a crisis situation. This is testament in itself that foreign investors are not just investing anywhere but that they are investing in a top end product, luxury property, in a Mediterranean country, enjoying the Mediterranean culture & lifestyle, in a safe economic environment where foreign nationals are welcome and greeted with warm Maltese hospitality.

Luxury property in Malta really does lend itself to the ultimate experience in luxury living. The properties occupy the most prime spots on the island commanding beautiful seaviews or historical architecture. The standard of the properties are more often than not deluxe and the owners are offered the full service of a five star hotel including a place to moor their boat.

Previously foreign nationals and EU citizens could only purchase one property which would be for owner-occupancy. This has recently changed whereby foreign nationals can now buy additional properties and rent them out on a short -term lease agreement , providing the property is valued over €233,000.00 ; has a swimming pool and is registered with the Hotel & Catering Establishments Board.

Some of the prime locations and properties that fall under these ’specially designated areas’ and provide luxury properties  are Tigne Point, Portomaso, Cottonera, Manoel Island and Chambray (located on Maltas’ sister Island, Gozo).

Being an owner of a luxury property in Malta gives you great peace of mind and reassurance that your property will be appreciating, offering you a gain on your capital income and is located within a highly reputable economic environment. Additionally you will also enjoy a truly high standard of living and experience the beautiful synergism between modern life and historical culture.

If you are still in doubt don’t forget there are professional companies who are more than willing to help you and answer any particular questions that you may have.

Our aim has been to give you hope in that you can find a property in malta, provide you with sound advice and help you get to grips with some of the main terminology.

You are now well armed and should have the the confidence to know ;

What to do :

• have clear & realistic objectives
• understand the traditional three stages of buying property
• decided on your budget
• decided on your preferred location

When to do it:

• going to an estate agent
• viewing properties
• going to a bank if a mortgage is necessary
• contacting a notary to take care of the convenue/konvenju (contract of sale)
• understanding the process and fees of an estate agent & notary

What to expect:

• know the three main conditions of buying a property (shell, semi-finished & finished)
• having an understanding of which property condition best suits your situation
• have an insight into what First Time Buyer’s are buying
• have a good overview of what are the most common types of properties that are bought
• know what the main types of properties are
• having an understanding of the benefits of each different property type
• realising which property type best suits you
• an overview into general questions that are often asked by First Time Buyers.

All the information provided has been general and remember nothing is set in stone.

Everybody is individual and all properties are individual. Your needs and wants could even change during this process and also whilst you are viewing property. Don’t worry be flexible and just adapt to this change as it’s quite a normal reaction to have.

Be confident that you will find the property you want and ask for advice if you need it.

We wish you luck and congratulate you on soon becoming a home owner

So now you may be asking yourself what are the individual benefits of buying these properties ?

Flats

• You buy right at stage one and can start on the property ladder quickly
• You may find a large flat in a small block and it’s more affordable than a maisonette
• You can afford it and it fits in with your lifestyle
• Low maintenance home – hassle free
• High possibility of selling at a good price in the future and go to the second stage of buying i.e. buy larger home for family (step by step)
• You can share the costs of keeping and maintaining the common area

Maisonettes

• You have your own entrance
• You’ll have your own outside area
• You’ll have less people in the whole block
• More spce but think wisely – what space are you getting for your money?
• If it’s affordable you’re possibly entering the property ladder at the second stage and may not intend on selling it in the future.

Townhouses

• You’ll be at the second stage of buying property
• Central part of the village
• Own entrance / own roof and own yard
• Traditional period features
• Scope for renovation

Unconverted Houses of Character

• An abundance of original features that can be restored and brought back to life
• Uniqueness which comes at a cost, restoration,building and then yearly maintenance – so make sure you really can afford it and that you don’t bite off more than you can chew.
• Good investment – but be wary of the location and space it occupies , this is a competitive market
• Good for people who have the know how and can do much of the restoration work themselves, or know someone who can
• Once the conversion has been completed you will be the happy owner of a converted house of character which has become very well sought after and its value appreciated

Now you have a pretty good idea about the main types of property that are being bought by First Time Buyers and what the benefits are.  You may still have some questions or there are some grey areas so please take a look at the following questions that we are regularly asked:

Who pays for the maintenance of the common area in a flat?

This should be shared equally between all the flats that make up the block.  To avoid unnecessary future problems with neighbors ask that this is stated in the contract of sale (convenue/konvenju) and how often the place needs to be painted etc….

If I buy a flat do I have access to the roof?

You will have access to place your water tank and television aerial (possibly satellite dish). Some flats still do offer use of shared roof where you can hang your laundry.

If I buy a flat do I own the airspace?

In some cases yes you could own the airspace but this will pump up the price of the property as it’s value is higher than a flat that doesn’t offer airspace.  This is unusual but can be found.  In some cases you can still use the roof but not own it.

So if I don’t own it who does ?

Maybe another flat owner who bought the first flat and offered a good price for the airspace, or the original owner.

Why would the original owner still want the airspace?

It’s common that the original owner/contractor would possibly build extra floors in the future.

Who pays for the entrance of a maisonette?

Who ever owns the maisonette is responsible to put in their own external door and complete their stairs.

What about the facade?

It’s quite possible that the original owner will complete this, if not the cost will be divided between all the maisonettes.

Would I have access to the roof?

If you are not Ground or Elevated Ground Level you will highly likely have access to use of shared roof.

What if I don’t have access or use of the roof?

Some alternative outside area would be provided.  This depends on the design of the maisonettes.

Why would I buy a townhouse?

You would want a more traditional small house in the central part of the village.

Can I move into a Townhouse as soon as i’ve bought it?

Most of the time yes but bare in mind many of them are not adjusted to modern day living.  The bathroom and kitchen may need changing and updating.

How much would this cost?

That depends on the size of the room and the level of finishing that you want – shop around before you set your eyes on one thing.

Should I rip everything out and start from the beginning?

No, not if you have original features such as patterned tiles, stone columns.  If these are professionally restored they are beautiful to keep and will help the property hold its price if not increase it.

Can Unconverted Houses of Character really be found?

Yes they can.   You may need to buy in less popular villages or more out in the open areas.

How Long does it take to fully convert a house of Character?

This is not done in weeks or months but rather years and in stages.  Some people absolutely love these projects and will take a long time completing them as and when time and money permits.

Should I buy an unconverted house of character if I can stretch my budget ?

You should consider it but keep in mind the lifestyle you will be living until it’s completed. Again this is not for the faint hearted it’s a long term project that will be worth it in the end if you have the time, money and will power to see it through.

We hope that this information has been useful and that you have become knowledgeable about the styles of homes available.

In the next article we will discuss ‘FIRST TIME BUYERS ARE PREPARED’.

As mentioned in previous articles life has changed and first time buyers rarely start on the property ladder by purchasing that large house for life. So what are first time buyer’s actually buying?

Many flats have been built and are still being built to cater for this particular market plus allot also depends on what your personal requirements are vs what is actually available at that moment.

However the most common types of property being bought are:

• Flats
• Maisonettes, and sometimes
• Townhouses, and
• Unconverted Houses of Character

Flats and Maisonettes have become the solution to modern day living.  Those who are on a more restricted budget and time frame will opt to buy these type of properties.  The main differences between flats and maisonettes are that with a flat you share a common entrance/area and with maisonettes you have your own entrance.  You could possibly find them at similar prices but there would most definitely be a difference in the total area being bought.  For example you could find a maisonette at the same price as a flat that you’ve found but if the maisonette is smaller, you will then need to decide what is more important to you ; space or your own entrance ?  It’s only upon viewing that you can really make such a decision.

Flats

Flats would share the common area which is the entrance, stairways, lift (if one’s available), roof (if available) plus the facade (outside of the block).  They come in various sizes from the small block that only has two individual flats, to a large block that could have 10 or more individual flats.  Nowadays it’ s become increasingly difficult to find a flat that you have use or access to the roof.  If there’s no roof available check to see where you can actually hang your laundry ?

These properties are often bought by busy individuals or couples who have a more restricted budget and time frame.

Maisonettes

Maisonettes come in different forms and it depends on the block that they form part of i.e. is it just a block of two or three maisonettes or does the maisonette form part of a block of flats ? Basically all maisonettes have their own entrance, stairs, and outside space.  If you are on Ground or Elevated Ground Floor you tend to have a yard with no roof, the other Maisonettes would generally have shared use of the roof.

These properties are also bought by busy individuals/couples and also young families, or couples who are wishing to start a family immediately.

Townhouses

If you’re looking for Townhouses you will find that they are more traditional in style and are a good buy for those who have the budget and the time to renovate them.  They often have old tiles, high ceiling small rooms and a winding staircase up to the second floor.  They make a nice home but some could do with quite a bit of renovation to make them work with todays modern lifestyle.

These properties are bought by those who have the budget, love traditional features and the foresight for restoration projects.  They could suit couples who are in no hurry to move in or don’t mind doing up the place whilst they’re living in it.

Unconverted Houses of Character

Unconverted Houses of Character can still be found nestling behind some hidden alley way.  They are a rare and beautiful treat.  They were very popular and were snapped up at bargain prices by young couples several years ago.  They are no longer so sought after by young couples starting out as they need allot of time, money and will power to complete.  This has become increasingly difficult to achieve with lifestyles having become that more hectic.

These properties are not for the faint hearted.  They are for those who love originality, large restoration projects, are willing to take their time and have the money to complete them. Some people also live in part of the house whilst the remaining part is being finished.  These are high maintenance properties and possibly not the right option as a first home, however if you are in a position to purchase one then they are definitely worth considering.

In the next article we will discuss ‘Benefits of buying different property types for first time buyers in Malta‘.

There are so many choices and so many different properties out there where do you begin? well by having gone through the thought process outlined in our previous articles  you have really made your life so much easier. Try to keep some element of flexibility with your costs, location and wish list because if you are too specific this will create constraints , always try to keep a happy medium.

Furthermore you have really narrowed the search of the ideal property. This helps you stick to what you WANT and what you can AFFORD. You have a higher chance of obtaining your goal, finding your property in Malta that best suits you with the additional benefit of enjoying the whole experience.

When property is discussed or talked about amongst friends many words and phrases are thrown into the conversation. It’s quite possible that you have heard the following terminology casually or that you’ve read them somewhere;

1, Shell

2, Semi – Finished

3, Finished

Have you ever wondered what do they mean ? what are the differences ? and which one should you go for ?

Without being too exhaustive shell, semi-finished and finished are the most common different kinds of conditions you can find a property in . The levels of finishing can range from standard to luxury and this will be reflective in the property type, location and price (the budget you have set yourself).

To help you we have provided you with some general guidelines for the main three typical conditions that you can find a property in:

Shell

A property in shell form is literally the bricks and mortar no more , no less. You will not find any utility connections , tiles, windows nor any rooms completed. These properties best suit those individuals who;

a. Have a specific taste and style and want to finish it themselves,

b. Are in no rush to complete the property so they can spread their costs over a long period of time,

c. Family members are electricians, plumbers, tile layers etc… and can save themselves money in finishing the property and possibly buy a larger property due to the savings made,

d. Buying for an investment and hold the property for sometime before completing it

Semi-Finished

The finishing can vary between properties and owners of those properties. You could possibly find properties being offered with the plumbing and electricity connections ready but no windows or internal doors.  The type of people who would most likely buy these properties are individuals who ;

a. Would like to get a separate quotation from another contractor and complete the property as and when they want,

b. Love the property and will buy it as it satisfies their requirements,

c. Family members can complete the property but have a time constraint so if the plumbing and electricity connections are in place they can begin work immediately

d. Buying for an investment

Finished

With finished properties all you need to do is literally install a kitchen with its appliances and you can move in !  You will generally find the following ready in finished properties;

• Water & Electricity
• Plumbing & Connections ready
• Tiling throughout the property
• Windows
• Internal Doors
• The Bathroom and or En suite completed
• Common area completed
• Facade ready

The type of people who tend to buy finished properties are those who;

a. Want no hassle and to move in immediately once the kitchen has been installed,

b. Too busy to look around for the tiles ,doors,windows etc, and complete the property themselves,

c. Have a set budget and don’t want to exceed it or prefer to know all the costs upfront

d. Investment for rental purposes – you can begin to make a rental income as soon as the kitchen is installed

Shell and semi-finished properties mainly apply to new buildings or fairly modern properties because older properties have a different style of finishing such as restoration work. With shell and semi-finished properties you may also find the common parts ready . This again depends on the contractor so it’s important to clear this with the Estate Agent and have them listed in the contract of sale (convenue/konvenju).

Besides giving you a detailed summary of conditions of properties and what to expect it’s always recommendable that you view the properties. The condition can vary slightly even between the same level i.e. shell. You may find that some contractor has actually provided you with the water and electricity connection.

Take that extra bit of time in the beginning it could save you valuable time later.

Following are general questions that we are often asked we welcome you to take a look.

How long does it take to finish a property from shell form to finished ?

This depends on how you are going to go about it. Are you going to get an external contracting company who will take care of everything or are you depending on friends/family or individual tradesmen.

What’s the difference ?

With a contractor you go to them with your requirements – this is right down to how many  electric points  you want in each room, they will come back with a quotation that will include the price and time frame in which the job has to be completed. With individual tradesmen it can become very tiresome to get them all working in sequence. With friends or family it’s quite difficult to be so particular because you have emotional connections.

Why does it make any difference?

You are much likelier to have the place finished faster with a contractor. More often than not they also have a full team of people employed with them and it’s not down to one person doing all the work. Individual tradesmen , if one person is running behind schedule everything falls behind. With friends and family there’s very rarely a written contract . Basically – you get what you pay for.

How much will it cost to finish my place?

This is the million dollar question and will depend allot on you and how far you have set your sights. Have a budget and add at least another 30% for unexpected costs. Also stay realistic! For example when choosing things such as tiles, kitchens, appliances, bathroom suites. There are many bargains to be found and it’s worth shopping around to get the best deal.

If I buy a semi-finished place do I have to pay for what’s already there?

If there are things like plumbing,electricity, windows etc.. they would be included in the price. However, if there’s a semi-finished place and the previous owners installed a kitchen they would have included this price in the sale price as part of the fixtures and fittings. This could be to your advantage as you find the kitchen ready and you may be able to negotiate the price a little bit.

In the next article we will discuss ’Common types of properties in Malta’.