Picture your Future. Save for it by earning 1.5% on a 1-year Term Deposit Account! Learn more.

A summer residence to enjoy or as an investment

As the heat of summer ramps up, we all start thinking about finding ways to cool off and relax. Having a place to escape to for a summer break is an aspiration of many in Malta who look for second properties.

The advantages of buying a summer residence

Many of the advantages of buying a summer home are obvious. Not only can you find your retreat from the heat and crowds of summer but also the opportunity to create lasting memories with your family. Whether it’s hosting summer barbecues or simply enjoying quality time together, your second home becomes a cherished part of your family’s story.

Having a summer residence also gives you the opportunity to build connections with a different community. Your new surroundings and neighbours will open the door to new social and cultural experiences which can play a crucial role in revitalising you.

Generating income from a second property

If you only intend to use your second home during specific, limited times of the year, you could also think about turning your summer residence into an investment. After all, if you’ve picked a location because it helps you wind down, it’s likely to have the same effect on others. That means your property can be let out to other holiday makers, generating income to cover the cost of the loan taken out to purchase it, or to deliver additional income for your family. Of course, if you are planning to let or rent out your property you may decide to opt for a specific Property Investment Loan which is specifically tailored for those who are purchasing a second property for investment purposes.

Things to keep in mind before buying a second property

The key question to keep in mind before buying a second home or a property as an investment is, ‘can I afford it?’. Unlike your primary residence, you will need a larger deposit to purchase your second home to obtain a home loan, typically 25 per cent. The term of any home loan you take out will also be shorter, up to a maximum of 25 years. That means that both your initial investment and the monthly repayments thereafter are likely to be higher than what you would typically pay on your home.

Of course, maintenance and repair costs also need to be kept in mind. You need to be prepared both for expected costs and those unexpected surprises that all homeowners face at some point.

Get the right advice

There are lots of people you can turn to for advice when considering the purchase of a summer home. Talk to real estate professionals to understand where the best opportunities are and ask those who have taken the plunge before you about their experiences and what they might have done differently.

It is also important to check with your bank to find out how much you will be able to borrow. At MeDirect, our home loans specialists are available to meet with you in person or online. To book an appointment just fill in the form available at https://www.medirect.com.mt/home-loans/. The link will also give you access to information on all MeDirect home loan products.

MeDirect Bank (Malta) plc, company registration number C34125, is licensed by the Malta Financial Services Authority as a Credit Institution under the Banking Act 1994. Applications are subject to the Bank’s lending criteria. Terms and conditions apply and are available on request.

Your residential immovable property may be repossessed if you do not keep up with repayments on a mortgage or any other debt secured on it. Think carefully before securing other debts against your residential immovable property.

Join MeDirect today to access the tools you need to put your money to work on your own terms.

Latest news articles

BlackRock - Why we keep leaning into risk
All News

BlackRock Commentary: Why we keep leaning into risk

Investment opportunities are emerging amid a unique macroeconomic backdrop, with U.S. equities leading gains, particularly driven by AI-related companies, and expectations of continued volatility. The focus is on overweight positions in U.S., UK, and Japan stocks, while favoring quality short-term fixed income and private credit investments.

Epic Investment Partners Weekly Article
All News

Epic Investment Partners Views: The Week Ahead

This week’s key events include China’s Third Plenum, the ECB rate decision, US bank earnings, and several significant economic data releases from the US, Eurozone, and UK.. Last week, Fed Chair Powell highlighted progress on inflation but emphasised caution in rate cuts, while China’s economic recovery showed signs of weakness with lower-than-expected inflation and GDP growth.

Experience better Banking

The sooner you start managing your money, your way, using the best-in-class tools, the sooner you’ll see results. 

Sign up and open your account for free, within minutes.



We strive to ensure a streamlined account opening process, via a structured and clear set of requirements and personalised assistance during the initial communication stages. If you are interested in opening a corporate account with MeDirect, please complete an Account Opening Information Questionnaire and send it to corporate@medirect.com.mt.

For a comprehensive list of documentation required to open a corporate account please contact us by email at corporate@medirect.com.mt or by phone on (+356) 2557 4444.