If you are thinking of buying or selling a home in Italy, you are probably watching the market closely. Why are house prices in Italy so high? Will they keep climbing, or will they cool down soon? In this article, we answer those questions with recent data and clear examples.
We will also explain how our agency, KALINKA Immobiliare, helps buyers and sellers get the best possible deal on the Italian Riviera.
We’ll cover:
- The current state of Italy house prices
- The main causes of the price increase
- The predictions for 2023
- How to buy or sell a property in Italy with KALINKA Immobiliare
Let’s get started!
Italy house prices in 2023: where the market stands
The Italian housing market has recovered strongly since 2020, after several years of stagnation and decline. According to Immobiliare.it, the average asking price for homes for sale reached €1,967 per square meter in March 2023. That is 1.71% more than in April 2022, when the average stood at €1,934. In fact, March 2023 marked a two-year peak for house prices in Italy.
The most and least expensive regions
However, the increase was far from uniform. Trentino Alto Adige topped the list at €3,138 per square meter. Valle d’Aosta followed at €2,663, and Liguria came third at €2,539. At the other end of the scale, Calabria remained the cheapest region at €923 per square meter, ahead of Molise (€980) and Sicily (€1,125).
Rents are rising too
Rental values followed the same trend. In March 2023, the average asking rent in Italy was €12.03 per square meter per month, up 4.61% from April 2022. Lombardy led the ranking at €15.50, followed by Valle d’Aosta (€14.87) and Lazio (€13.43). Meanwhile, Umbria (€6.97), Sicily (€7.44), and Abruzzo (€7.83) stayed the most affordable.
In short, the market is booming, especially in the areas that attract the most buyers and renters. So what is driving this growth?
Why house prices in Italy keep rising
Several factors have pushed house prices in Italy upward in recent years:
- Low interest rates: The European Central Bank kept rates at historic lows for years, which made mortgages cheap. According toMy Dolce Casa, the average Italian mortgage rate was 1.5% in 2022, compared to 3% in the US.
- Limited supply: Italy has a homeownership rate above 70%, so many homes pass down within families and never reach the market. Moreover, strict building rules in historical areas limit new construction.
- High demand: According to Idealista, foreign buyers accounted for 8% of all residential transactions in 2020. Most came from Germany, France, Switzerland, the UK, and the US, and they favour scenic areas such as Tuscany, Lake Como, and the Ligurian coast.
- The pandemic effect: Research instituteScenari Immobiliarifound that the pandemic accelerated demand for larger homes with outdoor space, as well as for properties in smaller towns suited to remote working.
The predictions for 2023
Nobody can predict any market with certainty. However, the available data points to further growth at a slower pace.
Scenari Immobiliari expects residential turnover to rise by 6.5% in 2023, reaching €148 billion. That result would make Italy the second-largest real estate market in Europe, behind only Germany. Analysts also expect Italy house prices to gain around 2% per square meter on average.
Once again, growth will vary by region. For example, forecasts see Liguria, Tuscany, Umbria, and Sardinia beating the national average. By contrast, Calabria, Molise, and Sicily may see weaker growth or even small declines. In addition, homes with gardens, terraces, or balconies should stay in especially high demand.
Of course, these forecasts depend on the wider economy. Therefore, it pays to follow the latest data and to ask local experts before you act. If affordability matters most to you, read our guide toaffordable living on the Ligurian Riviera.
How to buy or sell a property in Italy with KALINKA Immobiliare
Buying or selling a home in a foreign country can feel overwhelming. Paperwork, taxes, negotiations, and financing all raise questions. That is why a reliable local partner matters.
KALINKA Immobiliare is a real estate agency based in Sanremo, on the Ligurian Riviera. We have over 20 years of experience helping international buyers and sellers reach their property goals in Italy. Because we track house prices in Italy every day, we know where the genuine opportunities are.
Our services include:
- Property search: browse the listings on our website, or send us your criteria and receive a personalised selection.
- Valuation: we assess your property’s fair market value using comparable sales and local trends.
- Marketing: professional photos, portal advertising, and social media promotion for your listing.
- Negotiation and legal help: we negotiate on your behalf and manage contracts together with qualified lawyers and the notary.
- After-sale service: utilities, insurance, maintenance, and rental management once the deal closes.
Would you like a free consultation or a valuation of your property?Contact us today, and we will be happy to help.
KALINKA Immobiliare
Your Italian Property Partner
Our website:https://www.kalinkaimmobiliare.com/
Email:info@kalinkaimmobiliare.com
Fabrizio Riolo
Languages: EN/IT
+39 329 054 25 49
Svetlana Rybalko
Languages: IT/EN/RUS
+39 347 694 50 10
Yulia Tyukova
Languages: EN/RUS/IT
+39 351 369 95 09
