How Much Can You Earn from an Airbnb in Malta?

Malta's short-let market has reached a sophisticated level of maturity in 2026. With international tourism remaining a cornerstone of the economy, many property owners are looking at Airbnb as a way to generate a higher yield than traditional long-lets.

However, the question of "how much" depends on more than just your nightly rate. To understand your potential profit, you must look at current market data, seasonal fluctuations, and the costs of compliance.

1. The Numbers: Average Revenue in 2026

As of the first half of 2026, the short-term rental market in Malta has shown resilient growth. According to current market analytics, a typical one-bedroom apartment in a popular area generates a median gross annual revenue of approximately €30,000 to €34,000.

• Average Daily Rate (ADR)Across the islands, the average nightly rate sits at roughly €112 to €120.
• Occupancy ratesMalta maintains an impressive annual occupancy rate of approximately 77% to 79%. This is notably higher than many other Mediterranean destinations due to the island's compact size and consistent year-round appeal.

2. Location Performance: Where the Money Is

In Malta, location is the primary driver of your revenue. Here is how different regions are performing in 2026:

Valletta remains the leading area for investors due to its cultural appeal, helping maintain high occupancy even in the winter months. Sliema and St Julian's continue to dominate for younger travellers and digital nomads.

3. The Reality of Seasonality

While annual averages look strong, cash flow varies throughout the year. In Malta, the high season (June to September) can see occupancy rates hit 95%, with monthly revenue reaching up to €5,500 for a well-managed apartment.

Conversely, the low season (January and February) may see occupancy dip to around 40%, with monthly revenue falling to roughly €800 to €1,200. Successful hosts use dynamic pricing to stay competitive during these quieter months.

4. Calculating Your Net Profit: What Stays in Your Pocket?

Gross revenue is a useful metric, but net profit is what matters for your investment. To find your actual earnings, you must subtract the following costs:

• MTA licence feeApproximately €130 annually for a standard unit in Malta (€104 in Gozo).
• VATA reduced rate of 7% applies to holiday accommodation.
• Income taxMost hosts opt for the 15% final withholding tax on gross rental income.
• Eco-contributionCollected from guests over 18. This is currently €0.50 per night (capped at €5), but it is scheduled to increase to €1.50 (capped at €22.50) from 1 July 2026.
• Operating costsThese include platform fees (usually 3% for hosts), cleaning, laundry, utilities, and general maintenance.

Typically, a self-managed host in Malta can expect to keep 50% to 60% of their gross revenue as net profit.

5. Self-Management vs Professional Management

If you manage the property yourself, you keep all of the profit but sacrifice significant time. In 2026, guest expectations for 24/7 support and professional standards are at an all-time high.

Using a professional management firm like Gobnb typically involves a management fee. While this reduces your margin, professional managers often increase gross revenue by 20% to 30% through expert pricing strategies and higher search rankings, which frequently offsets the cost of the service.

Basis of Information and External Links

• Market statisticsData is based on 2026 market reports from Airbtics and Investropa.
• Tax guidelinesOfficial rates provided by the Commissioner for Revenue.
• LicensingRequirements set by the Malta Tourism Authority.