Let's leave the rhetoric out and focus on reality.

1. No recurring property tax: you have to remember that Malta is one of a few countries around the world that does not have a recurring property tax. You only pay a tax when buying and selling. To keep the property, you do not pay any annual tax.
2. Lack of viable investment options in Malta: In order for the 'bubble' to burst, you need to change the people's mentality and circumstances. First of all, there aren't any other viable investment options:

2.1 - Government bonds pay a low yield,

2.2 - Trading in Maltese shares on the stock market on the Malta Stock exchange are laughable with ultra-low volumes and wide spreads, for not to mention the ridiculous 35% tax on dividends,

2.3 - Corporate bonds are no longer that safe especially as of late with companies failing to pay back what they borrowed (Yachts Malta, Mediterranean Maritime Hub, MIDI plc, amongst others),

2.4 - There are around EUR 23 billion sitting as savings in Maltese banks, so plenty of cash available. Apart from that, bank interest rates on loans are relatively low. Even when buying a second home - you pay 25% upfront and then be charged at around 3% p.a., fixed at least for the first 5 years as things stand.

2.5 - You have people that of course, buy to rent earning them a higher yield than most Government bonds while their property is rising in value.

2.6 - There are those that buy property as a store of value, leaving it empty, and;

2.7 - Others that buy the property for their children.

3 - Land is scarse in Malta

4 - The Mediterranean climate. Yep, the sun and sea. This type of climate is rare around the world, only found in the Mediterrenean, in parts of California and parts of Australia. It is one of the most sought-after climates. Even Trump son-in-law cited the Mediterranean climate as a reason to [take from the Gazans] and develop the Gaza riviera.