A new reform announced when it comes to property rental market last week is one of significance in an area which holds great importance in the country.

As part of a reform announced by Social Housing Minister Roderick Galdes, landlords will only be able to register a maximum of six tenants in one dwelling as part of a new reform to rent laws.

Galdes said that this new law will serve to strengthen the rental sector, noting that the majority of landlords are in conformity with the law and were catalysts for the amendments that he was presenting.

However, there is still a small band of landlords who abuse, and this will be addressed through this law, he said.

Indeed, this law intends to deal with landlords who have been stuffing an inordinate amount of people into dwellings which are simply not big enough to fit them all. 

Reports of 20, 30, or even over 40 people living in one flat – packed into rooms like sardines – were rife as landlords and their greed aimed to attract foreigners who could not afford to rent a normal dwelling by renting them a single bed instead.

With this in mind, this is a law which will afford more dignity to those who are relying on the rental market for a place to live, and it will pull the rug from under the feet of the greedy landlords who were taking advantage of vulnerable foreign nationals who are trying to make a living.

Members from the real estate industry seemed satisfied with the changes when contacted by The Malta Independent on Sunday.

Apart from acknowledging that this will reduce over crowdedness in rental properties Dhalia CEO Alan Grima said that in turn this will increase the demand for such properties as “tenants seek compliant accommodations.”

“It should, therefore, bring more stability and professional standards to the rental market”, he added.

Cara Rooms Malta Director Cecil McCarthy noted that “if implemented correctly it should work, but unfortunately I have not yet seen the fine print”. He said that “6 is a large number (for 3-bedroom apartments) and thus I don't see it in any way affecting the market's value.”

“It will only clamp down on the ones trying to over pack properties or rent beds by the hour. Again, one needs to review the legal notice and see what exactly it will say”, he said.

There are certain questions to be raised on the impact that the legislation might have on those who felt they had no option other than to rent a single bed within an apartment of however many people in order to be able to get by.

The fact of the matter is that Malta’s rental prices are high, and Malta’s salary – particularly at its lower end – is, quite simply, not high at all.  The dearth of affordable accommodation only adds to this. 

The question is: in the quest to give dignity to those who had no financial option other than to rent a single bed – or even a bed on an hourly shift, are they going to end up worse off and on the streets as a result of there not being a supply that they can afford?

This is not to say that the status quo should therefore be allowed to reign untouched – but a holistic view of what the potential impact that this legal notice may have would certainly not go amiss.