Publication

Spotlight: Italy 2017

Stability is returning to the Italian residential market. Transaction volumes are rising and prices are beginning to level out

From Dante to da Vinci, Puccini to Pavarotti, Italy is a country with a formidable cultural heritage. It boasts 53 UNESCO World Heritage Sites, more than any other country. It’s no surprise that people from around the world choose to take a more permanent stake in the country and buy a property so that they can live the Italian life.

Hard hit during the global financial crisis, Italy’s economy is emerging from a period of financial and political challenges. The country’s property markets suffered and residential prices fell by up to 30%. However, after several difficult years, stability is now in sight. Transaction volumes have risen 33% from their 2013 low, while prices are beginning to level out.

In the prime sector, there are high levels of stock. This makes it a buyer’s market and ‘best-in-class’ properties are in demand.

Italy’s status as a top visitor destination, coupled with the high-quality life it offers, will underpin its enduring appeal for generations to come.

▼ St Peter’s Basilica, Rome

St Peter’s Basilica, Rome

Summary

Transactions on the rise

Numbers of transactions grew by 18% in 2016, but remain 39% below their 2006 peak

A buyer’s market

Prime prices are 30% below their 2008 high. Sensibly priced properties are trading

International buyers

The international buyer base is broadening – Americans are a growing force

for income

Growth in the city-break market supports demand for short-term rentals in Italy’s major urban centres

Pricing outlook

Prices may stabilise next year as transaction levels rise


Articles within this publication

4 article(s) in this publication

Key contacts

Simon Smith

Simon Smith

Senior Director / Head of Research & Consultancy
Research & Consultancy

Two Exchange Square

+852 2842 4573

 

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