Can you imagine a place with perfectly pleasant weather and 300 days of sunshine per year
But also with low taxes for foreigners and especially expat retirees?
A place where you can live longer, and healthier (people there live more than in Norway, or France, or Sweden)?
An island that is one of the safest countries in Europe
And they have world-class healthcare.
A country with no LANGUAGE BARRIER, because nearly everyone there speaks English.
And the best part? They want expats, especially expat retirees, so they make it easier for you to move there.
What if I told you there’s a place with all that, where you can live with peace of mind and still enjoy a high quality of life?
Among the smallest countries in Europe, the benefits to retire in Malta are many.
That is why more than 137,000 foreigners have already made this island their new home.
I had been there a few times and took the opinion of numerous residents on why this island is so special, but also on the obstacles of an expat living in Malta – If you’re not careful, things can get sour.
So in this article, you will discover the pros, cons, cost of living, and the best places to live in Malta, one of the happiest Mediterranean jewels.
We start with the pros to retire in Malta, and the first one is…
The lower taxes
Retiring in Malta isn’t just a dream – it’s a smart financial decision.
Malta offers a very appealing tax system for retirees, especially through the Global Residence Programme (GRP). With this program, foreign residents pay a flat 15% tax on income brought into Malta from abroad.
If you don’t bring your foreign income into Malta, it isn’t taxed at all.
This is a big benefit for retirees with pensions or other foreign income because they can choose when to send money to Malta and manage their taxes.
There are some requirements for this program which I will clarify in a few minutes, but they are very straightforward. In addition to this lower income tax, Malta doesn’t have wealth, inheritance, or estate taxes. This means retirees won’t be taxed on passing wealth to their heirs, unlike in many other countries.
Expats also benefit from Malta’s double taxation agreements with countries like the UK and the US, so they won’t pay taxes twice on the same income.
But then, you might be asking: Ok, Malta has relatively low taxes,but also does Hungary, which has the same flat tax rate as Malta for foreign income: 15%
(I covered Hungary in a previous video by the way, so check it later.)
So what makes Malta such a singular place is not the lower taxes, but a few other special qualities, and among these qualities, is the next positive thing I want to talk about.
The weather is nothing short of perfect.
Malta enjoys over 300 days of sunshine a year. According to the World Weather and Climate Information, the average yearly temperature in Malta is around 23°C (73°F), which provides an ideal climate for retirees looking for an active and outdoor lifestyle.
They have proper Mediterranean weather, which is considered one of the best for us, humans, and it is present in just a small amount of places on earth – other the the Mediterranean region, you can also find this climate in Australia or California.
But differently than California, in Malta you will not need to worry about a Fentanyl junkie breaking into your car.
Now, going back to the pleasant weather subject, it makes a great place to live for people who hate cold weather.
The winters are also mild, with average temperatures between 10 and 15 degrees Celsius. You can still enjoy outdoor activities during the winter months, such as walking, hiking, and cycling.
The warm weather also supports those with conditions like arthritis, where cold weather can exacerbate symptoms. Availability of sunlight increases the body’s production of vitamin D, which is essential for bone health and immune system support.
This mild climate also reduces the need for expensive heating systems in winter, offering savings on utilities. The weather also encourages social interaction and community events, which is important for retirees seeking an engaging, healthy lifestyle.
However, be aware that Malta’s hot summers can be a potential downside if you are sensible to heat. During the summer, especially in August, it can get very, very hot, and the humidity can feel oppressive.
The next positive aspect of Malta is that it is a compact and convenient island.
At just 316 square kilometers, Malta is one of the smallest countries in Europe, which makes it incredibly fast to travel around it.
Distances are relatively short, making it easy to travel from one place to another.
It is possible to get from one end of the island to the other in under two hours, making it easy to get around and explore, or to access certain facilities like hospitals or the airport in little time.
Unless, of course, you faced one of the biggest monsters of the island – traffic congestion, but more about that later.
This convenience is not limited to the island itself; due to its tourism vocation, the country is well-connected to the rest of the world by air and sea.
Malta International Airport connects to numerous destinations worldwide, allowing for quick and easy travel.
It gets even better: the airport is served by budget airlines like Ryanair and Wizzair, so you can hop on a flight to European capitals for 30, 40 euros round-trip.
If you prefer to travel by sea, departing from the island there are many ferry services to Italy, especially to Sicily, so if one day you get bored, just take a ferry and in 2 hours you will be on the sandy beaches of the Italian city of Pozzallo
Another positive thing about Malta is the quality of private healthcare.
According to the World Health Organization (WHO), Malta’s healthcare system ranks 5th in the world in terms of quality and accessibility.
The country offers a mix of public and private healthcare, and resident expats can access public services at little to no cost.
Private healthcare is also available, with many professionals being trained in the UK or other European countries, ensuring a high level of expertise.
For expats coming from countries like the U.S., where healthcare costs are notoriously high, Malta offers significant savings.
For example, one of the best hospitals in Malta – which is among the best in Europe, is the Saint James Hospital.
There, a gastric bypass surgery will cost you €6,500 – that is less than US$7200.
Do you know how much that same surgery costs in a good hospital in the US? Something between $20,000 to $35000 – or 3 times more than in Malta, so it is a huge difference.
The next pro to retire in Malta is that it is extremely safe
In the entire year of 2023, there were only 3 homicides in Malta.
This makes it one of the safest countries in the world, with a homicide rate of only 0.5 cases per 100.000 residents per year.
For comparison, the homicide rate in France is 3 times higher, and in the US, 12 times higher.
There is already, one place where Malta is not that safe, and this place is the asphalt, but about the traffic issues, I will talk in a few paragraphs, because now it is time for the most peculiar of all positive things in Malta.
There is no language barrier!
Don’t get me wrong here: Malta has its own language, the Maltese language.
Which happens to be the only Semitic language in the European Union.
However, Malta has two official languages, and the other is English, which is widely spoken
88% of the population is fluent in English
This makes Malta one of the few non-English speaking countries where English serves as a primary language for communication, especially in government services, healthcare, and business.
English is also used as the language of instruction in many schools and universities, and it’s commonly spoken in media.
Said that, I strongly recommend you try to learn some Maltese. It can be very helpful, and it shows that you are making an effort to integrate into the local culture. Locals will truly appreciate it if you speak even just a few words of Maltese with them.
Now, l will tell you the not-so-good side of living in Malta. I’ve gathered these from the experiences of residents and tons of data.
You can access all the sources by subscribing to my Patreon. Tier 2 members get my three best-selling ebooks on living overseas, while Tier 3 get a 1-on-1 call to discuss plans to move abroad. But hurry—this offer is limited to the first 20 subscribers.
Let’s begin with the cons of living and retiring in Malta, and the first of the list is…
The Cost of Living
The thing about the Cost of Living in Malta is that it is not really expensive if your basis of comparison is an American city like Chicago, which is 52% more expensive than Valletta,
or large European capitals like Paris, which is 47% more expensive than the Maltese capital.
However, when we compare Malta with other Mediterranean destinations, like Catania in Sicily,
or Malaga in Spain, Malta is more expensive.
But as a local told me, the cost of living is relatively high, but it is possible to live a comfortable life if you choose the place where you live carefully. This is what a resident told us about how much you need to live in Malta:
“If you want my opinion the budget to live comfortably is around 30,000 euros per year. You will be able to rent a decent apartment and have some spending cash – might even be able to save some money based on your habits. That being said a lot of people live on less.”
While being a small Island, Malta has a relatively diverse range of housing both for sale and for renting, and in some cities, you can find really attractive options for less than 1000 euros per month – I will reveal these cities in a few paragraphs, because now, it is time for one of the most famous downsides of living in Malta.
The crazy traffic and the congestion during rush houses.
The first time I went to Malta, my wife commented:
“Hey, this does not look like Europe sometimes”
She didn’t say that because of the architecture, or because of the language, but because of the way people drive.
If you are used to the neat traffic order and rules like we find in many European countries, driving in Malta might be a shock. Since I had already driven in Naples and southern Italy, traffic in Malta looked very similar.
You must take care and have some good reflexes, but the driving style of many residents is not the worst part… Malta is one of the smallest and most densely populated countries in the world. With a population of over 500,000 people packed into just 316 square kilometers, traffic congestion is a frequent issue.
As of 2021, there were around 400,000 vehicles registered in Malta, nearly one vehicle per person.
Malta ranks among the highest for time spent in traffic in Europe, with an average of 62 hours lost to congestion annually. On my last time there, I almost lost my flight, because a short trip from the town of Mellieħa to the airport, which was supposed to take just half an hour, took almost 1 hour due to heavy traffic congestion.
The third negative point is the bureaucracy.
Bureaucracy in Malta can be slow and inefficient. This can make it difficult to get things done, such as opening a bank account or getting a visa.
Some expats also mention that they had difficulty dealing with the Maltese tax system.
Remember when I told you about the advantages of the Global Residence Programme (GRP)? While the tax advantages are really attractive, there are some requirements one must fulfill to be part of the program, including either purchasing a property valued at least €275,000 (or €220,000 in Gozo), or renting a property for a minimum of €9,600 annually – meaning 800 euros per month. It is not really a lot, and soon I will show you that despite being a small island, Malta has some really interesting offers of real estate – places with a price tag that is enough to give you access to the Global Residence Program.
These offers are all in the 2 best cities for expat retirees on the Island.
The Best Places to Retire in Malta
The first city that residents recommend for expats planning to retire in Malta is…
Sliema.
This is one of Malta’s top destinations for expats due to its combination of convenience, lifestyle amenities, and proximity to essential services.
Located on the northeastern coast, Sliema is famous for The Strand, its main promenade, lined with restaurants, cafés, and retail outlets.
One of the key benefits of living in Sliema is its access to healthcare. The city is home to several clinics and is just a short drive from Mater Dei Hospital, Malta’s largest hospital. The St. James Hospital, which we mentioned previously, is also located in Sliema.
The town is also well-connected by public transportation, with numerous bus routes linking it to other parts of the island, including the capital, Valletta, just 15 minutes away.
Another advantage of Sliema is that it is one of the few places in Malta that are walkable. This is what a local told us:
“I live in Sliema and I live without a car. Yes, it’s walkable. Everything you need is in a 20-30 minute walk radius. You can also easily visit Valletta by hopping on to a ferry if the weather isn’t bad.”
The seafront location of Sliema might be at the same time considered an advantage and a disadvantage because such scenic and privileged surroundings at the same time are good for the mood, but bad for the pockets. Yes, Sliema is not among the cheapest places in Malta, especially closer to the sea.
Still, if you go a bit farther from the seaside promenade, prices drop considerably, and it is possible to find good options for housing for affordable prices.
Let’s imagine that you are moving out from Pittsburgh, Pennsylvania, a place where the rent of a 1-bedroom apartment costs $1,314 per month, or 1200 euros.
What can you afford in Sliema with the same money you would spend in Pittsburgh: 1200 euros or less?
If you want to get fancy, and have a sea view, you can rent this 65 sqm apartment close to the Tigne beach, and it comes fully furnished, and with a sea view!
The price? €1150.
It is the average price you would pay in Pittsburgh but with a much better view (and much less violence, since Pittsburgh is 30 times more violent than Malta).
If you don’t mind living a bit farther from the seaside, you can find even bigger apartments for this price.
If these prices already sound good to you, be aware that there is another place in Malta that is much cheaper, and it was the most recommended by locals by a large margin.
However, despite being in Malta, it is not on the main island where are located Sliema, Valletta, and the airport.
The best place to retire in Malta is a neighboring island called Gozo.
…and to say that might raise some polemics.
See, Malta is not really an Island, but an archipelago, and Gozo is the second-biggest island of this archipelago, just after Malta island itself.
There is a huge difference in population density between the two islands.
- Malta Island has 246 square kilometers and around 510,000 residents.
- Meanwhile, Gozo Island has 25% of the size of Malta, 67 square kilometers, but a much, much smaller population – around 33,000 residents, or just 6% of the population of Malta.
So the main island has almost 1700 people per square kilometer, a number that puts it among the 10 most densely habituated countries on earth. On the other hand, Gozo has a much, much lower population density, close to just 500 people per square kilometer.
Gozo is not a desert island, far from that, but it feels way more spacious and empty than the island of Malta due to having fewer people per square kilometer.
It is also more, much more quiet. In fact, this is a point that many residents listed as an advantage, since Malta’s main island is considered a bit noisy.
Gozo offers a serene environment that is perfect for those seeking tranquility.
Meanwhile, on the downside, people who move to Gozo tend to feel not very welcome by some of the locals (called Gozitans).
This is what a resident told us:
“I’m Maltese from the main Island and my husband is Irish, and we moved to Gozo. The quiet is by and far the best thing about Gozo for us, as we moved to get a sense of peace and quiet that we were missing. We’ve had some trouble with Gozitans assuming a lot about us, and being pretty rude about my husband and me, when they think I can’t understand Maltese. But we have also met some really good people here. Like any place, it’s luck of the draw.”
Another advantage of Gozo is that to qualify for Maltese residence through the Global Residence Programme (GRP), in Malta`s main island you would need to buy a property valued at least €275,000. But in Gozo, this threshold is smaller, and by buying a property of just €250,000 you already qualify for residence.
If you need to visit the capital for any reason, Gozo is well-connected to Malta via a regular ferry service – the ferry has on average 16 departures per day, and the trip between the islands takes just 45 minutes.
Gozo’s main town is Victoria, and has almost 7 thousand residents, but there are 10 other towns ranging from one to four thousand residents, so the population is quite evenly spread across the island.
One of Gozo’s key benefits is its affordable cost of living.
Compared to Malta’s more urbanized areas, housing and rent prices in Gozo are significantly lower, and property prices in Gozo can be 20-30% cheaper than in areas like Sliema or Valletta.
With the same 1200-euro budget we used to search for rent in Sliema, you’d be amazed at what you can find in Gozo!
For 1000 euros you can rent a 3-bedroom apartment in front of the sea, fully air-conditioned, and with two ample balconies in case you decide to sunbathe!
Going a bit into the countryside of the island, to a village called Munxar, you can rent a beautiful recently restored townhouse meters away from the village square for just 800 euros per month.
Now, let’s say you want to retire in Malta using the Maltese Global Residence Programme, and enjoy all the low taxes and other benefits we listed before.
For this purpose, you must buy a property costing at least €250,000.
So what can we find in Gozo for this price?
If you want to live just in front of the sea, this 120sqm, 3-bedroom apartment in the town of Żebbuġ delivers you exactly that, for 300,000 euros.
The second example is this 3-bedroom apartment in one of the most beautiful villages of Gozo, Ghajnsielem. It is even bigger, with 150 square meters (more than 1600 square feet), it has two balconies and is fully air-conditioned – all that for just 275,000 euros.
This is the equivalent of 301,000 dollars.
So this apartment with a sea view on a scenic Mediterranean island costs the same as a townhouse halfway from Chicago to Gary, Indiana…
I leave the choice between these two for you.
As I said before, it might not be the cheapest place in the Mediterranean, but to retire in Malta surely has its benefits. The island offers a rich history, a pleasant climate, and a welcoming community that can make retirement truly enjoyable. It is comparableto the idea of retiring in Cyprus, with similar pros and cons.
Do you know which place is VERY similar to Malta in terms of weather and quality of life, but much, much cheaper?
Southern Italy – and I ranked the best places for an expat retiree in 8 different regions of Southern Italy, from Sicily to Campania. Southern Italy offers a rich tapestry of culture, stunning landscapes, and a relaxed lifestyle, making it a dream destination for many retirees. While exploring the best places for expat retirees across regions like Sicily and Campania, it’s interesting to draw comparisons to the best retirement locations in Spain, which also boast warm weather, vibrant traditions, and affordable living. Both destinations offer unique advantages, making them top contenders for retirees seeking a Mediterranean paradise.
Levi Borba is the founder of expatriateconsultancy.com, creator of the channel The Expat, and best-selling author. You can find him on X here.
