Renting your property – Should you use an agent?

The law

As a landlord, you have to let your property according to the stipulations as set out in the laws of Malta. Tenant’s rights are protected and you have to respect them. You also have to register your property as from 1 January 2020 and this is mandatory. The following are also required by law:

• Full property details of which property is being leased;
• The property’s intended use ;
• The rental period which will be covered by the lease;
• Stipulate whether the lease can be renewed: on which date and how;
• The rental amount and how this will be paid to you;
• What deposits and the amounts of these were paid by the tenant as security or any other amounts that form part of the tenant’s financial obligations regarding renting the property;
• Submit an inventory listing and describing the condition of the property including the condition of furniture and or domestic appliances if it is to be supplied by the landlord;
• As a landlord you will have to register the contract;
• Pay the registration fees.

Tax

There are two options: pay a flat rate of 15% on gross rental income of your property or pay tax at a rate of 35% on the gross income from a rental property minus allowable deductions of expenses regarding the property. Your rental agent will be able to advise you of the best option that will suit you.

 Marketing your property and finding a tenant

Of course you can find a tenant yourself, but with stiff competition and so many rental properties to choose from, tenants are very picky. Then there’s the vastness of the internet: where do you advertise, who is your target audience and how do you reach them? If you are at a loss as how to find the best tenant for your property, leave it to your rental agent to do the marketing for you.

The rental agent will have access to professionals in the company who can market your property in the press, on social media and other platforms. You property will also be marketed internally to the company’s database, you will get window display adverts in the particular branch where your property is located and then there will be the agent’s own networking capabilities and experience working for you to get your property rented soonest.

When a shortlist of suitable tenants have been drawn up by the agent, the agent will do background checks on your tenant of choice and interview them on your behalf so you can rest assured that your property will be looked after during occupancy. Not only will the agent find you the best possible candidates, the agent will also do all the paperwork and register your property with the authorities, complete the rental contract with the new tenant, do the inventory and more. Make the multitude of headaches go away and use a rental agent!

Think of having your rental property managed

As a landlord you can collect rent yourself, sort out any issues or problems regarding the property such as maintenance, late payments, problematic tenants or you can opt that the rental agent does this all for you, for a fee. What could be better than being freed from the daily hassles of looking after your properties? Your agent can organise anything for you such as collecting the rent, inspections of the property, plumbers, electricians, the payment of utility bills and sort out emergencies when you are not there. Affordable options are available regarding management schemes for rental properties, so speak to your rental agent about what is available and will work best for you.