As very few people know about the Private Residential Leases Act Of Malta, which was drafted in the year 2020. This has been much in favour of tenants rather than the landlords. Here in this article, we are going to guide all readers with the laws which both landlords and tenants need to understand.
This act which was started on 1st Jan 2020, applies to all the leases private residential properties which got entered into or were renewed after this date. Though there are many benefits for letting in Malta apartments, you firstly need to know everything about the laws here. For more details on rents and sale of apartments here, you can check the Belair properties site. They have been doing property management for years now.
Non-applicability of the Act
The act does not apply to:
- Tenements who belong to the Government of Malta
- Tenements that are being used for tourism purposes (provided this property is registered as a holiday furnished premises)
- Tenements that are not let for primary residential purposes
- Tenements which are rented before 1st June 1995
Registration of Private residential lease contracts
This provision of the act states that all the Private residential lease (PRL) contracts that have entered or renewed after the applicable date need to be registered. In case, not done, then their PRL’s will be deemed as null or void.
The lessor is bound to a duty where he might have to register the PRL within 10 days of the contract being signed. In case, he fails to do so, then the lessee is also liable to do this work himself at the expense of the lessor.
Clauses to be included compulsorily
The following requirements need to be included in the PRL contracts. The absence of which the contract will be termed as null or void and non-registrable:
- The tenement which needs to be rented
- The agreed way to use that tenement
- The period to which the tenement will be leased
- Whether that lease can be extended and how?
- The rent that needs to be paid and in which manner
- The deposit that needs to be paid at the time of the agreement
- An inventory which can be in the form of documentary evidence
The following clauses cannot be included in the PRLs:
- Clauses that include early termination of the contract
- Clauses where the lessor can reduce any benefits mentioned in the contract
- The lessor cannot be exempted from the responsibilities imposed on him by law
- There are no payments to be done apart from rent, deposit, insurance, and other payments for parts/ services.
- You don’t have to pay any fixed amount apart from the rent for consumption of water, electricity and other usages.
- There is no limit to the usage of residence.
Rent to be paid can be agreed upon between the tenant and the owner at any date of the month. But the owner cannot ask for rent for a month in advance.
Apart from this, an authorized person will be allowed to enter any time to just inspect the tenement, whether it is used for a residential purpose or it is used under any other title not mentioned in the agreement.