Work from home from Malta

Are you a start-up? Digital nomad? FinTech, crypto or blockchain investor? Did you know that you can work from home from Malta, enjoying the sunny climate while at the same time starting on the path towards the possibility of acquiring citizenship in one of the top European countries?

Malta is attracting significant investment from new businesses wishing to set up their European headquarters on the Island. There could never be a better time: The pandemic has changed the way people work and the ability to work productively from more remote locations has never been more possible.

The low tax base for businesses and individuals, along with being a picturesque island in the Mediterranean, has proved to be a driving factor for Malta’s recent growth. The government has outlined additional residence programs for Start-Ups and Digital Nomads.

Fast and secure internet on the Island has been a driving force behind the growth. The innovation of residence permits has allowed FinTech, Crypto, Blockchain, and other financial services to flourish in Malta.

Europe’s Residence by Investment (RBI) programs offer thousands of applicants every year the ability to permanently or temporarily reside in Europe and ensure they have a pathway towards citizenship and a second passport if they choose.

RBI programs have typically offered simplistic qualifying criteria for High Net Worth Individuals (HNWI) to invest in the country, generally real estate. In exchange for their investment, applicants receive Permanent Residence or Temporary Residence, which can lead to citizenship if they do not sell their initial investment for some time (typically five years).

Separately, it is worth noting that Malta citizenship through investment is among the most coveted in the world for migrant investors.

What are the Malta Residency by Investment Options?

RBI programs around Europe include Malta’s Permanent Residence Program (MPRP), Golden Visa Programs in Spain and Greece, which offer Permanent Residence for an investment made into real estate, as well as Portugal’s Golden Visa which provides a clear pathway to apply for Permanent Residence and citizenship after five years with only 35 days of physical presence required in Portugal.

Cyprus and Bulgaria offer Permanent Residence investment programs which may seem to be on par with Malta, Spain, Greece, and Portugal. However, although they are part of Europe, both countries are not in Europe’s Schengen area. Holding a Permanent Residence in Cyprus or Bulgaria would not allow the investor to travel within the Schengen zone.

Why is Malta a top residency program?

The MPRP eligible applicants and their dependents are allowed to live in Malta for five years. The residence permit is renewable as long as the investment criteria have been maintained and are still in place at the time of renewal.

The program offers a fast and relatively cost-effective route for individuals to obtain a European Permanent Residence and visa-free travel within the Schengen Area.

The MPRP has been incredibly successful with Chinese citizens, who have dominated the applications for all RBI programs in Europe. China does not allow dual citizenship. However, a residency from Malta, Spain, Greece, and Portugal will enable investors many of the benefits for travel, studying, opening bank accounts, and conducting business in Europe.

Malta residence work from home

What are the Investment Criteria for Malta Residency?

Three investment criteria need to be fulfilled to be eligible for Permanent Residence. The biggest component relates to real estate. The investor can purchase a property or take a five-year lease on a property in Malta. The qualifying investment changes depending on the region in which the investment is made.

Hold qualifying property:

  • If purchased, the property value must be a minimum of EUR 350,000 for a property situated in Malta or 300,000 for a property located in Gozo or the South of Malta; OR
  • If rented, the lease value must be for a minimum of EUR 13,000 per year for a property situated in Malta or EUR 10,000 for a property located in Gozo or the South of Malta.

Make a Government Contribution and Donation:

  • The contribution is EUR 28,000 for a purchased property; OR
  • The contribution is EUR 58,000 under the leased option; AND
  • Make a Donation of EUR 2,000 to a local non-governmental organisation registered with the Commissioner for Voluntary Organisations, or as otherwise approved by the Agency; AND
  • A non-refundable administration and processing fee of EUR 40,000; AND
  • Each additional qualifying dependent will cost EUR 7,500 per applicant.

The primary applicant will need to undergo stringent due diligence on their background during the application process. Additional financial requirements need the applicant to show proof.

  • Sufficient available income to sustain a lifestyle in Malta without depending on the social assistance system; AND
  • Health insurance which needs to of a standard approved by officials; AND
  • A total Net Asset Value of at least EUR 500,000. A minimum of EUR 150,000 needs to be held in financial assets

How Does Malta Compare to other Golden Visa Programs?

Malta’s government has eight programs available for non-EU citizens to apply for and reside in Malta. The minimum investment required for Malta is priced in the middle of the range when compared to other programs for purchased real estate:

  • Greece EUR 250,000;
  • Portugal EUR 280,000;
  • Malta EUR 370,00 (EUR 300,000 + EUR 28,000 + EUR 40,000+ EUR 2,000); AND
  • Spain EUR 500,000.

The direct purchase of property does require the applicant to invest a large sum of capital which cannot be sold for a minimum of five years. The minimum lease option would cost the applicant EUR 110,000 in the first year and then only EUR 10,000 for the next four years.

Opting for the lease allows the applicant to invest elsewhere in high-yielding projects.

Malta residence 2022

What’s Next for Malta?

The MPRP has become a top-rated RBI program in Europe, competing head to head with top destinations such as Greece, Portugal, and Spain. The country has positioned itself well for the future by introducing more residency options available for non-EU citizens.

The increased demand in working from Malta is likely to push up prices for real estate and ensure a future need for property development on the Island.

The RBI industry for Europe is in a solid position to grow in 2022 and beyond. Malta’s permanent residence program provides options on how the applicant would like to invest. Freedom of choice is important for investors. The ability to optimize taxes in Malta and freedom of travel in the Schengen area is another attraction for many HNWIs to the program.

The MPRP provides a clear path to Malta passport if the applicant fulfills the necessary requirements including stringent due diligence vetting. Contact us now to learn more about this exciting program.

If you are interested in finding out more about the Malta residence by investment program or the Malta citizenship by investment program, be sure to visit our dedicated pages or get in touch with a member of our team.