10% Deposit Scheme

Overview

The 10% Deposit Scheme helps prospective buyers who'd otherwise qualify for a home loan but don't have the liquidity to cover the 10% deposit due when signing the promise of sale. It isn't a cash grant — it's a financing structure: the bank lends the 10% as a separate personal loan, and the Housing Authority pays the interest on that loan for its full term, so the applicant repays only what was borrowed.

Who This Is For

• Personal Accommodation Purchase:Yes — the property must become the applicant's own primary residence.
• Property Investment Purchase:No.

Eligibility

Applicants need to be between 21 and 39 years old on the date of application (for joint applicants, at least one must fall in that range). Single parents, single persons, and legally separated persons can also apply. The scheme is open to Maltese citizens and EU citizens acquiring their first residence in Malta, subject to additional conditions set by the relevant authorities.

Applicants must have been in full-time employment for at least six months before applying, and household income needs to sit within a set band — roughly €19,000–€35,000 for a single applicant aged 21–30, €25,000–€35,000 for a single applicant aged 31–39, and €19,000–€35,000 for a couple aged 21–39. Assets can't exceed €22,500, and the applicant can't already own, even partially, habitable property or land with a building permit.

The property itself is capped at €225,000 in total, must be finished/habitable or in shell form that can be finished within that budget, and has to be occupied as the applicant's sole primary residence — within six months of the deed if finished, or within two years if bought in shell form.

What It Offers

The bank provides the 10% deposit (capped at €22,500) as a separate personal loan, repayable over 25 years, and the Housing Authority pays the interest on that loan for the full term — or until it's repaid, whichever comes first. Separately, the bank provides a standard home loan for the remaining 90% (capped at €202,500), repayable over up to 40 years, provided it's fully settled by the time the applicant — or the elder of two joint applicants — turns 65.

There's an incentive for paying off the personal loan early: a 5% discount on the outstanding balance if repaid within 5 years of taking it out, or 2% if repaid between years 5 and 10.

Applying

Before applying to the Housing Authority, an applicant first needs a loan quotation from the bank. Once the Authority approves the application, the promise of sale can be signed, and the Authority pays the 10% deposit to the notary within two weeks of receiving a signed copy of that promise of sale. The deposit is held by the notary and returned to the Housing Authority on the final deed — or refunded to the Authority if the sale falls through. A non-refundable administrative fee of€20applies to every application, worth noting since it's €5 less than the First-Time Buyer Scheme's fee and the two are easy to conflate.

How to Apply

Application forms are available at the Housing Authority's offices — 22 Pietro Floriani Street, Floriana, or the Gozo branch at 25 Enrico Mizzi Street, Victoria — or via the Housing Authority website. Applications must be signed and submitted in person by all applicants.

What Can End or Block It

Selling, renting, or transferring the property to anyone else while the personal loan is still outstanding isn't permitted, not even informally. An applicant who does want to transfer the property before the loan is repaid must give both the Housing Authority and the bank at least two months' notice, and needs the Authority's written consent. Falling outside the income or asset thresholds, defaulting on payments, or submitting false information can also end eligibility — false declarations carry a five-year ban from all Housing Authority schemes and possible criminal proceedings.

Status

The scheme runs for one year from its Government Gazette publication, or until 300 valid applications are processed, whichever comes first, and can be renewed or withdrawn via a further Gazette notice. Public statements from the Housing Ministry as recently as mid-2026 refer to raising its thresholds and extending it, suggesting it remains active — but given its formal one-year/300-application cap, it's worth confirming current availability directly with the Housing Authority rather than assuming it's open.

Source & Verification

This summary draws on the Housing Authority's 10% Deposit Scheme page and its full Terms & Conditions, cross-checked clause by clause and last verified on 19 July 2026.

• Scheme page: https://housingauthority.gov.mt/scheme/10-deposit-scheme/
• Terms & Conditions (PDF): https://housingauthority.gov.mt/wp-content/uploads/2026/01/10-Deposit-Scheme-English-2023.pdf

Disclaimer: This information is provided for general awareness only and does not constitute financial or legal advice. Terms, amounts, and eligibility criteria can change — always confirm current details directly with the Housing Authority before applying.