The new terms of the program took effect on March 29, 2021. They are stated in the Legal Notice 121 of March 26, 2021.
Between 2016 and 2021, the programme department received 2,542 applications from investors from all over the world. Around 70% of the applications were approved. Over the years of the programme’s existence, foreigners have contributed 49 million euros to the country’s budget.
How much and what to invest in under the new rules
Under the old rules, an investor had to fulfil several conditions in order to obtain a residence permit under the Malta Residency and Visa Programme. The foreigner purchased government bonds, purchased or rented a home, paid an administrative fee and proved the amount of annual income or assets.
The updated version of the programme is called the Malta Permanent Residence Programme. It has the same conditions but without the purchase of government bonds. However, the minimum transaction amount for the purchase of real estate and the administrative fee increase. Investor’s assets will be enough to prove solvency. The annual income is not taken into account.
Conditions and cost of participation in the Permanent Residence Programme in Malta
| Conditions | Under the old rules | Under the new rules |
|---|---|---|
| Purchasing government bonds | 250 000 € | No |
| Buying a property: North or South and the island of Gozo | 320 000 € or 270 000 € | 350 000 € or 300 000 € |
| Rental accommodation: north or south and the island of Gozo | 12 000 € or 10 000 € | 12 000 € or 10 000 € |
| Administrative fee | 30 000 € , of which:
| 40,000 €, of which
|
| A non-refundable government contribution | No | 28,000 € for the purchase of a property; 58,000 € if renting |
| Annual income | 100 000 € | No |
| Assets in ownership | 500 000 € | 500 000 €, of which 150,000 € are financial assets |
of investors are renting accommodation in Malta
According to the old rules, the minimum investment amount was €290,000. Of that, €250,000 could be recovered by selling the bonds after five years. Under the new rules, the investor’s costs are halved. If renting accommodation in the north of the country, the cost of participation per applicant is €112,000. But all investments will be non-refundable.
minimum investment amount under the new rules
The new Residency Malta Agency deals with issues of the investment programme: it accepts applications, conducts Due Diligence and checks if all the conditions are met. Application processing time is from 6 to 8 months. The countdown begins from the moment the application is submitted and ends with the issuance of a permanent residence card.
You can only apply under the new rules through a licensed program agent. The license is issued by Community Malta Agency, the state citizenship agency in the country. We talked about this in the article “Why an agent’s license is important in 2021”.
Immigrant Invest is the only Russian company with a license from the Government of Malta. Our license number is AKM-IMIN-21
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Who can obtain a residence permit with an investor
The investor may include the spouse, children, parents and grandparents in the application. The rules do not set age requirements for family members. But all additional applicants must be financially dependent on the investor, and adult children cannot be married at the time of application.
The investor additionally pays 7500 € for each parent or grandparent. The fee adds to the direct contribution.
An investor applies with two parents and a grandmother.
If he rents an accommodation in Malta, he will make a direct contribution in an amount of 80 500 €: 58 000 € + (7500 € х 3).
If he buys a house or an apartment in Malta, he will make a direct contribution in an amount of 50 500 €: 28 000 € + (7500 € х 3).
The investor may include the spouse, children, parents and grandparents in the application. The rules do not set age requirements for family members. But all additional applicants must be financially dependent on the investor, and adult children cannot be married at the time of application.
The investor additionally pays 7500 € for each parent or grandparent. The fee adds to the direct contribution.
The new rules also allow family members to obtain a residence permit in Malta after the investor has become a resident. But there is a fee for adding family members.
Fee for adding and joining family members
| Relative | Under the old rules | Under the new rules |
|---|---|---|
| Resident's spouse | 5000 € | 7500 € |
| Spouse of a resident’s relative | 5000 € | 7500 € |
| Resident’s parents and grandparents | 5000 € | 7500 € |
| Other resident’s relatives, e.g. adult children or grandchildren under 18 | 5000 € | 7500 € |
If an investor passes away before he gets the permanent residency, a dependant will get a residency certificate. The certificate owner is responsible for meeting the conditions of the programme for the first 5 years after becoming a resident.
It is only possible to pass down the certificate if all the conditions are met and the dependant passed Due Diligence. If the dependant gets the certificate instead of the passed investor, it will not be allowed to add any other dependants in the certificate.
Conditions for investors who applied before March 29, 2021
The Maltese government provided an option for those investors who applied under the old rules. If an applicant hasn’t transferred the investments to Malta, he can choose the participation conditions.
The right to choose an investment option is regulated under the Legal Notice 122 of March 26, 2021.
In the next couple of weeks the Agency will issue letters for applicants with instructions on how to change an investment option from bonds purchase to making the direct contribution.
Terms for applications submitted before March 29, 2021
| Investment option | Purchase of government bonds for 250 000 € OR A direct contribution to the government: • 38 000 € for purchase of property; • 68 000 € for rent of property; • 2000 € as a charitable contribution |
| Administrative fee | 30 000 € |
| Payment deadline | By December 31, 2021 |
| Confirmation of solvency | 100 000 € — annual income, or 500 000 € — assets in ownership |
Adding family members after obtaining the permanent residency under such applications will cost 5000 €. It is allowed to add a spouse, adult children, parents and grandparents. Minor children under age of 18 can be added free of charge.
Immigrant Invest is a licensed agent of the Permanent Residence Programme in Malta. The company’s lawyers accompany investors at all stages: from collecting documents and selecting properties to forwarding ready-made residence cards.
