2019 was another busy year for RE/MAX Malta – the real estate company that rose through the ranks to reach the island’s number one spot in the property market in just over a decade. Now, CEO Kevin Buttigieg – one of the RE/MAX Malta founders – is looking to the future with guarded optimism about what the next phase will bring.

“The market is stabilising,” Kevin says, adding that the high-end market has witnessed a bit of a slowdown. “But that is no surprise – in fact, it is exactly what we would expect to see at the end of such a long growth spurt. Prices couldn’t possibly go any higher.”

With this in mind, Kevin and the team are now focused on restructuring RE/MAX locally, while also expanding internationally.

“We have taken the plunge and taken on the RE/MAX brand for Montenegro, where we are already operating four offices and plan to open six more across 2020. Here in Malta, we are concentrating on a careful restructuring programme to make us as lean and efficient as possible to meet the needs of the sector, and we will also be diversifying by bringing a number of new franchises to the island.”

Despite the changes to come in the real estate market, Kevin stresses that it isn’t a worrying time for those hoping to purchase property. However, he recommends treading carefully if you do plan on buying soon, to ensure you get in at the right price.

“Some prices have been inflated recently, so it’s important to know the real value of things now – and the best way to do that is to work with a reputable agent you can trust.

“Beyond that, do speak to your bank before you become attached to a particular property, as the banks have become very unpredictable when it comes to lending. There are so many restrictions now that even we are confused about who can and who can’t borrow money; we hope that changes soon as it is definitely holding things up.”

He also expects there to be changes within the real estate industry itself, with the ‘cowboys’ that joined the sector to cash in on the boom having to bow out.

“Those cowboys will end up getting hurt, which means that this is a good time for people to invest. Those that overstretched and thought they were invincible will have to drop their prices and sell cheap. However, the good news is that the rest of the market is solid, and good developers and those serious about the real estate industry will be able to carry on with business as usual.”

To make the most of this opportunity, Kevin says RE/MAX Malta has taken a good, long look at its internal structures and ensured that the team is in the most effective position to face the future. “We don’t want people to have too many things on their plates so they can get the best-possible results,” he says.

For instance, the company has opened its Real Estate Academy, which was developed to craft the leading set of property associates on the island. “No other real estate company on the island comes close to the training that we offer our associates, because we really want them to go out there at their best.

We have four full-time trainers in place covering everything from customer care to the intricacies of Maltese property law, and of course all of that knowledge is passed onto our clients to ensure they have the best experience possible when working with us,” Kevin continues, adding that no one should be put off joining the industry because of the slowdown.

“This is actually the best time to join because it’s a normal market – not booming and not declining, but stabilising.”

Asked about his international ambitions, Kevin says he has long dreamt of being able to grow the business beyond Malta’s shores.

“I am fascinated by the property market in general, and I like to see what other countries do differently and learn from them. A lot of people often say that locally ‘you can’t do this or that’ but I have always disagreed and been eager to push the boundaries of what we can do.

“15 years ago, we were told we couldn’t bring RE/MAX to Malta because it wouldn’t work – but we did, very successfully. Now we are doing the same in Montenegro and are already witnessing some success there.”

And although cautious about what further growth we can expect in Malta, he is adamant that there is no bubble that is going to ‘burst’. “A bubble bursting is categorised by a 30-to-40 per cent drop in prices, which I don’t believe will ever happen,” he explains. “Locally there is no bubble in sight and never has been.

“But I do believe that part of our role now is to educate the public – more than ever – about where prices should be, so that they can make the right choices. As the leading real estate company on the island, we know that by treating our customers properly we will continue to secure their loyalty as the market goes through some change.

It isn’t easy but we are definitely going to do our best to stay at the top, and I believe that, in the near future, we will see the new cowboy estate agents falling by the wayside because they are not geared up for the changes in the market like we are.

On the whole, I would say that 60 per cent of those operating in the sphere are uneducated and unprofessional, and we want to see those people disappear. Historically speaking, I would say their days are numbered.”

For Kevin, his position as CEO is now very much driven by a desire to look after his team and partners, and ensure the best for their futures.

“I want every one of our staff to be able to look in the mirror each morning and look forward to coming to work. If they’re don’t… well, that’s when the problems start. My advice to other CEOs is to always keep in close contact with your team, to give gratitude when things are done well, and to be there for them on a day-to-day basis.”

And it is this knuckling down and inward focus that will be Kevin’s drive for 2020, along with those plans for internationalisation and diversification.

“At the end of the year I believe we will be where we are now, if not stronger – perhaps with a five per cent increased market share for RE/MAX Malta, and 25 per cent increased market share for our new franchise RE/MAX Lettings Malta. All in all, it’s going to be a good year.”

Whoswho.mt is proud to be serialising MaltaCEOs 2020, a high-profile publication consisting of 50 in-depth interviews with leading CEOs in Malta.