VALLETTA (MALTA) (ITALPRESS/MNA) – House prices in Malta surged by 5.6% in the second quarter of 2025 compared to the same period last year, according to new Eurostat and National Statistics Office (NSO) data. The increase places Malta above both the EU average of 5.4% and the euro area’s 5.1%. On a quarterly basis, prices climbed 1.7% from the first three months of 2025, underscoring persistent demand and affordability challenges.
The Residential Property Price Index (RPPI) rose to 171.93, with maisonettes showing the steepest annual increase at 6.7%, followed by apartments at 5.2%. The rise in housing costs sharply contrasts with Malta’s official inflation. The Harmonised Index of Consumer Prices (HICP) stood at 2.7% in September, well below the property inflation rate. Analysts note that this divergence highlights the strain on households, as property costs—excluded from the HICP—remain the leading driver of living expenses.
Across Europe, Finland was the only country to register a year-on-year decline in housing prices. The strongest growth was recorded in Portugal (+17.2%), Bulgaria (+15.5%), and Hungary (+15.1%).
With wages failing to match property inflation, concerns are mounting for younger residents and first-time buyers struggling to access the market. Economists warn that unless supply expands significantly, Malta’s housing affordability crisis is set to persist into 2026.
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(ITALPRESS).
