Mediterranean islands fringed by white-sand beaches and azure seas have always been a magnet for foreign holidaymakers. In the heady days until 2009, Greece was one of their favourite playgrounds.
But now that its appeal has gone off like a bucket of prawns in the sun, Malta is on their radar. According to official figures, 1.4 million tourists visited Malta last year, a 6 per cent increase on the previous year, and the fifth tourism record in five years. Their spending of Euro3.3 million (HK$32.7 million) every day provided a welcome fillip for a pocket-sized island with a permanent population of under 500,000.
In the context of its bigger, bolder but beleaguered neighbour, Malta enjoys relative economic stability. Daily needs are cheaper, with restaurant prices 24 per cent lower and consumer prices and rent about 8 per cent lower in Malta compared with Greece. Local purchasing power in Malta is a massive 77 per cent higher.
Given that foreigners can freely buy property in Malta, it seemed only a matter of time before investors would want to stake their claim. New data suggests the word is now out.
According to property website TheMoveChannel.com, Malta edged into the top 10 overseas property destinations last month, accounting for 2.59 per cent of inquiries on the overseas portal during that period. It climbed four places on the international chart to become the eighth most popular place in the world for real estate buyers.
It may be the European Union's smallest country by population and size, but Malta made a bigger impression on the portal than Germany, Greece or Cyprus last month, a mere 0.04 per cent behind perennially popular Turkey. But while Turkish prices have been increasing amid constant buyer demand, Malta, described by the portal as an overlooked market, 'teased investors with more affordable homes'. In further contrast with Malta's growing market share, inquiries for property in Spain and the United States were also down for the month.
The portal described Malta's ascension as a small shift, but one that in the coming months could become decisive.