Malta’s Short-Let Market at a Glance

Malta’s short-term rental market generates an estimated €47 million in annual revenue. Properties managed professionally outperform self-managed properties by 30–50% in annual revenue. If you own a property in a prime location — Valletta, Sliema, or St. Julian’s — the numbers are compelling.

But earnings vary significantly by location, property type, and management quality. This guide breaks down real performance data so you can set realistic expectations before you list.

Airbnb Earnings by Location in Malta (2026 Data)

Valletta

Malta’s capital is the highest-earning area per booking. With 633 active listings and strong demand from cultural tourism, Valletta achieves 85% average occupancy and an average daily rate (ADR) of €132–€195. A well-managed 1-bedroom apartment in Valletta generates approximately €35,000–€45,000 per year in gross revenue.

Sliema

Sliema is Malta’s most supply-dense market with over 1,161 active listings, but premium properties still perform strongly. The top 25% of Sliema hosts earn €194+ per night. Annual gross revenue for a professionally managed 2-bedroom property ranges from €28,000 to €42,000. Occupancy sits at 78–82%, driven by leisure and longer-stay guests.

St. Julian’s

St. Julian’s delivers the most consistent year-round occupancy of any area — often above 80% — with an ADR of €120–€145. Annual gross revenue for a 1-bedroom apartment typically falls between €30,000 and €38,000. The area attracts younger travellers, digital nomads, and guests linked to Malta’s gaming and hospitality industry.

Gozo

Gozo performs differently from mainland Malta. Farmhouses and character properties dominate, with stronger summer peaks and quieter winters. Average ADRs for Gozo farmhouses reach €200–€400+ per night in peak season (June–September). Annual gross revenue for a well-positioned Gozo farmhouse ranges from €20,000 to €60,000+, depending on property size and marketing quality.

St. Paul’s Bay and Melliħa

These northern areas attract a primarily family market with strong peaks in July and August. A well-managed 2-bedroom apartment in St. Paul’s Bay averages €70–€110 per night with occupancy around 65–75% annually. Melliħa luxury villas command €300–€600+ per night during peak weeks.

How Property Type Affects Earnings

• Studios and 1-bed apartments: Highest occupancy, lower ADR. Best for year-round income strategy.
• 2–3 bed apartments: Best balance of ADR and occupancy. Strong demand from couples, small families, and group travellers.
• Townhouses and character properties: Command a premium ADR but require more maintenance investment.
• Villas with pools: Extreme seasonal variation — very high ADR in summer, low demand in winter. Require active pricing management.

The Professional Management Difference

Professional management delivers 30–50% higher annual revenue than self-management. The gap comes from three sources:

1. AI dynamic pricing: Static pricing leaves money on the table. Dynamic pricing adjusts rates based on local events, competitor availability, and booking lead time.
2. Multi-platform distribution: Listing on Airbnb alone captures roughly 60–65% of available demand. Professional managers distribute across Booking.com, Expedia, VRBO, and direct channels.
3. Review scores: Properties with 4.8+ ratings appear higher in search results and command 15–20% higher rates than equivalent lower-rated properties.

What Does Net Income Actually Look Like?

Gross revenue is not what lands in your bank account. Here is a realistic net income calculation for a 1-bedroom Sliema apartment generating €30,000 gross per year:

• Gross revenue: €30,000
• OTA platform commissions (~15%): −€4,500
• Management fee (30% of net): −€7,650
• 15% Malta withholding tax: −€2,678
• Estimated net income: ~€15,172

Compare this to a long-term let at €950 per month (€11,400 per year gross before tax) — the short-let advantage is clear, even after professional management fees.

Frequently Asked Questions

Do I need an MTA licence to earn on Airbnb in Malta?

Yes. Every short-let property in Malta must hold a valid MTA Holiday Furnished Premises Licence before accepting bookings. Operating without one risks a 3-year disqualification under Malta’s 2026 regulations. Eleva manages the full application process for all managed properties.

How long does it take to start earning?

With the MTA licence in place, Eleva can have your property listed and generating bookings within 7–14 days of onboarding — including professional photography, listing creation, and platform setup.

Is short-let income taxable in Malta?

Yes. Individual property owners pay a 15% final withholding tax on short-let rental income. There is also a €0.50 per adult per night Eco-Tax, which Eleva collects from guests and remits on your behalf.