The Private Residential Leases Act applies only to leases entered into for primary use and concluded after June 1, 1995. A „private residential tenancy agreement“ is, by law, any long or short private lease, including the tenancy of flatshares concluded after January 1, 2020 and a residential lease concluded before January 1, 2020, which would still be during the initial or renewed period of January 1, 2021. A registration fee of 120 euros is levied if the registration of the private lease is not registered within 10 days of the signing of the lease. In addition, the policyholder may also terminate the contract if he can only do so after the expiry of the deadline: an LSRS cannot be renewed at the end of his term of office and no formality is respected after the end of his term of office. Once the deadline has passed, an LSRS simply expires, with no roll-over continuation rights. If the tenant decides to terminate the tenancy agreement before these periods, the lessor may withhold an amount of no more than one month`s rent from the deposit left as collateral. The tenant is required to withdraw these leases by recommended letter. A common clause in our standard contracts also allows the non-resident tenant to terminate the lease if he must leave Malta with reasonable notice, which is generally limited to „violent swearing“ cases. Early termination by one of the parties is always possible, even in the event of a serious breach of the express or implied terms of the lease, and the parties are free to negotiate additional reasons for early termination.

The law distinguishes between long private leases and short private leases. For each new private rental agreement, a separate registration is required. The President is also empowered to issue a notice of execution if the lessor does not register the lease, which gives him the opportunity to comply with the law. If the owner does not comply with a notice of execution or makes a false statement, it is a misdemeanor that results in fines ranging from 2,500 to 10,000 euros. This information is in no way considered professional advice. For more assistance, please contact us at info@csagroup.mt and we will contact you shortly. The lease expires at the expiry of the mark, as long as the landlord calls the tenant with a recommended letter for at least three months.