Thousands of people have benefited from the existing deposit support scheme.
The Deposit Payment Scheme (administered by Malta Development Bank since 2022) provides a state-backed guarantee covering up to 10% of property value for first-time buyers under 40. MDB-published uptake data shows cumulative approvals in the low thousands by end-2024, on track to comfortably exceed 'several thousand' by mid-2026. Abela's 'thousands have benefited' framing is broadly accurate; precise running totals depend on which MDB release vintage is cited.
The Deposit Payment Scheme (administered by Malta Development Bank since 2022) provides a state-backed guarantee covering up to 10% of property value for first-time buyers under 40. MDB-published uptake data shows cumulative approvals in the low thousands by end-2024, on track to comfortably exceed 'several thousand' by mid-2026. Abela's 'thousands have benefited' framing is broadly accurate; precise running totals depend on which MDB release vintage is cited.
We tested Abela's claim against (1) Malta Development Bank annual reports and uptake summaries for the Deposit Payment Scheme, (2) the original scheme legislative framework (2022 Budget enabling provisions), (3) the Maltese Government Budget 2022-2026 housing-policy disclosures, and (4) NSO/Central Bank of Malta first-time buyer mortgage statistics.
Mostly True. The Deposit Payment Scheme is administered by Malta Development Bank (MDB) and provides a state guarantee enabling first-time buyers (under 40) to secure mortgages with reduced upfront deposit requirements. The scheme has approved multiple thousand applications cumulatively since 2022. MDB's published periodic summaries place the running total in the low thousands by end-2024, with continued steady uptake through 2025-26. While 'thousands of beneficiaries' is broadly correct, the precise running figure isn't published in real-time — MDB releases periodic uptake summaries rather than a live count. Limitations: 'beneficiaries' here means scheme-approved applications, not necessarily completed property purchases — some approved applications convert to actual mortgages months later, others lapse before conversion. The order of magnitude (thousands) is robust.
Has Malta's deposit support scheme really helped thousands of first-time buyers
The Deposit Payment Scheme is the lesser-known sibling of the first-time buyer stamp duty exemption — addressing a different barrier to homeownership: the upfront deposit.
What the scheme does
Maltese banks typically require a 10–25% deposit before approving a residential mortgage. For young first-time buyers without family financial backing, the deposit alone — €25,000–€60,000 on a typical Maltese property — can be the binding constraint. The Deposit Payment Scheme addresses this by:
- Providing a Malta Development Bank guarantee covering a portion of the deposit (up to 10% of property value).
- Eligibility: first-time buyers under 40, with property value below threshold (currently around €375,000).
- Means-tested income criteria.
- Effectively reducing the borrower's required own-funds deposit from typically 10–15% to 0–5% in some cases.
Take-up since 2022
MDB has reported cumulative approvals well into the thousands by end-2024:
- 2022 — scheme launched; first-year approvals modest as the framework was new and banks were getting comfortable with it.
- 2023 — meaningful ramp-up; multiple banks integrated the scheme into standard mortgage offerings.
- 2024 — strong growth alongside continued property-price pressure on first-time buyers.
- 2025–2026 — continued steady uptake.
MDB doesn't publish a running real-time application count, but periodic ministerial reports and parliamentary answers indicate cumulative approvals comfortably above 2,000 by end-2024 and continuing to grow.
Caveats worth knowing
Two contextual notes:
- The scheme makes mortgages more accessible, not properties cheaper. By easing deposit constraints, the scheme expands the buyer pool, which can put upward pressure on prices in the segments it addresses.
- Property-price headroom matters. The €375,000 cap excludes a substantial share of Maltese new builds in central districts; the scheme is more helpful in the lower- and mid-market.
So is the claim accurate?
'Thousands of beneficiaries' aligns with the published MDB and ministerial figures. Verdict: Mostly True, pending a real-time public count from MDB.