Holiday Let Malta: The Complete Owner's Guide to Licensing, Tax & Income in 2026

What Is a Holiday Let in Malta?

A holiday let in Malta is a privately owned property rented to tourists or short-stay guests β€” typically through Airbnb, Booking.com, VRBO, or Expedia. Under Maltese law, any property let for periods under six months to holiday visitors falls under the Holiday Furnished Premises (HFP) licence category, regulated by the Malta Tourism Authority (MTA).

Since 2020, all Malta holiday lets must hold a valid MTA HFP licence. As of 2026, enforcement has significantly intensified β€” unlicensed operators face fines of up to €5,000 and mandatory removal from rental platforms. Airbnb and Booking.com now require a valid MTA licence number before activating new listings.

MTA Holiday Let Licence: What You Need in 2026

To legally operate a holiday let in Malta, every individual property requires its own MTA Holiday Furnished Premises licence. Here is what the process involves:

  • Application: Submitted by the property owner directly via the MTA online portal
  • Inspection: Physical visit by an MTA inspector to verify safety standards and amenity compliance
  • Annual fee: €100–€250 depending on property classification and size
  • Renewal deadline: 30 June each year β€” licences lapse automatically if not renewed
  • 2026 additions: Energy Performance Certificate (EPC) now required at application; eco-contribution collection is mandatory on every booking

Eleva Malta manages the entire MTA licence process for all owner clients β€” from initial application through annual renewal β€” at no extra charge beyond the standard management agreement.

Holiday Let Malta: Income by Area (2026 Data)

Malta's short-stay rental market is one of Europe's most consistent performers, driven by 3.5 million annual tourist arrivals and a near year-round season. Here is what holiday let owners are realistically earning in 2026:

  • Sliema: €1,800–€3,500/month net (1-bed), 80–88% average occupancy, ADR €130–€165
  • St. Julian's / Paceville: €2,000–€4,200/month net (1-bed), 82–90% occupancy, ADR €145–€195
  • Valletta: €2,200–€5,000/month net (1-bed), 76–85% occupancy, ADR €155–€220
  • Gzira: €1,500–€2,800/month net (1-bed), 75–82% occupancy, ADR €95–€135
  • Mellieha: €1,600–€3,200/month net (1-bed), peak season June–September, ADR €150–€280

These figures represent net owner income after the Eleva management fee (30% of revenue, net of OTA commissions). Gross income is typically 40–55% higher before management costs.

Holiday Let vs Long-Term Rental in Malta

The numbers consistently favour short-let over traditional long-term rentals in Malta:

  • Long-term 1-bed rental in Sliema: approximately €1,100–€1,400/month
  • Managed holiday let 1-bed in Sliema: €1,800–€3,500/month net
  • Difference: 30–150% more income from holiday letting

Beyond income, holiday lets offer greater flexibility. You retain the right to use the property yourself, you are not locked into tenancy agreements, and you can exit the short-let market at any time without serving notice periods.

Tax on Holiday Lets in Malta

Malta's tax treatment of holiday let income is favourable compared to most EU countries:

  • Flat rate option: 15% final withholding tax on gross rental income β€” the most popular choice for Malta holiday let owners
  • Standard income tax: Alternatively, declare rental income as general income (rates 0–35% depending on total income)
  • VAT: Properties earning under €20,000/year are VAT-exempt; above this threshold, 7% tourism-rate VAT applies
  • Eco-contribution: €0.50 per guest per night, collected from guests at booking and remitted quarterly to the government

Eleva Malta provides full income reporting for tax purposes, including monthly owner statements and annual summaries ready for your accountant.

How Eleva Malta Manages Holiday Lets

Our fully hands-off holiday let management service in Malta covers every aspect of the short-let operation:

  • MTA HFP licence application and annual renewal management
  • Professional photography and listing creation across Airbnb, Booking.com, VRBO, and Expedia
  • AI-powered dynamic pricing updated daily based on local demand, events, and competitor data
  • Guest communication: enquiries, bookings, check-in coordination, checkout, and review management
  • Professional cleaning and hotel-quality linen changeover after every guest stay
  • Maintenance coordination and regular property inspections
  • Owner portal with real-time revenue and occupancy tracking

Our fee: 30% of rental revenue, net of OTA platform fees. No setup fees. No hidden charges. No lock-in contracts.

Start Your Malta Holiday Let with Eleva

Whether you are converting a long-term rental to holiday let or launching a brand-new investment property, Eleva Malta handles everything from day one. Request a free revenue estimate and we will show you exactly what your property could earn as a fully managed holiday let in Malta.