The first quarter of 2022 was the best first quarter of the year in history when it comes to residential property sales.
In just three months, one of which was taken up by an electoral campaign, contracts amounting to a total value of €736 million were signed. This was €46 million more than the previous record in 2019, before the pandemic started.
In the first three months of 2022, 3,373 contracts were signed. This means that on average a contract was worth more than €218,000. This is 6% higher than the average value a year ago, and 11% more than the average value that had been observed in 2019.
Yet again the largest amount of property sales contracts was in Gozo, with around 580 contracts or one in six contracts that were signed during the first three months of the year.
In the coming months the property market is expected to stabilise somewhat as the amount of new promise of sale agreements has started to return to more normal levels. This after the very long spike that was observed since the economic regeneration plan was announced in June 2020. Yet, almost 2,750 promise of sale agreements were held in the first quarter of 2022. This is better than the number that were signed at the same time in 2020, while being significantly lower than last year’s level when there was a much reduced stamp duty on residential property purchases.
Now that the economic impact of the pandemic is mostly over, Government is redirecting incentives towards people who opt to buy and renovate properties in the centre of localities, rather than new properties on the periphery. This in view of our country’s environmental priority.