How Italian real estate developed last year
Last year, investments in Italy showed significant growth. Many foreigners paid attention to the country and its prospects, thanks to which large projects appeared in the market, which promises good opportunities for development. Most businessmen were interested in Italian real estate. In total, about 12 billion euros were invested in the segment during the year, which was a record for the state. The leader in investment was Milan.
Before that, the maximum amount was considered 11.2 billion euros, which Italy received in 2017. The new figure is 36% higher than in 2018. Large amounts of investment in the real estate market came in the 4th quarter of last year, then there were large deals.
The main reason for the increased popularity of the Italian market, experts call the changes in interest rates calculation. The Central Bank has revised its monetary policy and made loans more accessible. The change of the government and the new course of economic development, the results of which are already visible on the real estate market, also contributed to the increase of investments in the country.
Most of the capital was invested in Milan. It accounts for about 40% of the total investment. In total, the local real estate market has received 4.6 billion euros, of which 3.6 billion euros is allocated to the office sector. The capital is behind Milan. Here the volume of investments in the segment amounted to 1.9 billion euros.
If we consider investments in the Italian real estate market, the leader was the office segment, which received 5 billion euros. The volume of investments in the hotel sector was fixed at 3.3 billion Euro. This figure is 148% more than was observed in 2018. Then the volume of investments here was 1,3 billion Euro.
The logistics segment received 1.3 billion euros. However, retail investment decreased from 2.2 billion euros to 2 billion euros compared to the previous period. There is also a decline in the residential real estate market. Here, investments amounted to 687 million euros against 763 million euros in 2018.
It should be noted that the cost of housing has increased virtually throughout Italy, except Florence. Approximately 5% increase in housing sales. The leaders in the number of transactions are considered to be Milan and Genoa. Here the figures rose by 11.4 and 11.9%. Sales went up in Rome, Palermo and Turin, but Florence has surrendered its position, there is a market subsidence in the city.
In total for the year the volume of transactions for the sale / purchase of objects amounted to about 100 billion euros or 600 thousand completed transactions.