Italy Condominiums and Apartments Market Size

Italy Condominiums & Apartments Market Analysis

The size of Italy Condominiums and Apartments market is USD 7.2 billion in the current year and is anticipated to register a CAGR of over 6.5% during the forecast period.

• The Apartments and Condominiums markets were impacted by the COVID-19 pandemic in several ways. On the one hand, lockdowns and the increased use of remote working practices are expected to increase the demand, and accommodative monetary policies are anticipated to improve its affordability. The economic downturn and increases in unemployment are expected to weigh negatively on demand. Due to lockdowns, most of the construction activity and property transactions came to a halt during the pandemic. In 2021, as soon as the lockdown relaxation took place, the apartment and condominiums market surged.
• The steady state of the Italian housing market is due to the high demand. But the situation is now dire due to rising prices, a declining economy, continued political unrest, and the negative effects of Russia's invasion of Ukraine.
• According to real estate portal Idealista, national property prices increased by a negligible 1.4% to an average of EUR 1,827 (USD 1,868) per square meter (sq. m.) over the year leading up to Q2 2022. Inflation-adjusted, house prices actually decreased by 6%.
• In Q2 2022, the average price of a residence in Rome, the capital and largest city of Italy, was EUR 3,008 (USD 3,074) per square meter, up barely 0.9% from the previous quarter but down 6.5% when adjusted for inflation.
• The most costly housing in the nation is found in Milan, Bolzano, and Venice, where typical house prices currently stand at EUR 4,828 (USD 4,935), EUR 4,479 (USD 4,580), and EUR 4,394 (USD 4,493) per square meter, respectively.
• According to the most recent data from the National Institute of Statistics (ISTAT), the national house price index increased overall by 4.6 percent from Q1 2022 to Q1 2023, but declined by approximately one percent when adjusted for inflation. In the same time frame: The price of new homes increased by 4.98% (-0.66% inflation adjusted), Existing home price increases were 4.51% (-1.1% adjusted for inflation).
• According to the national listing portal Idealista, Milan, the second-most populated city in Italy, has surpassed Venice as the most expensive city in the nation, with an average property price of EUR 4,828 (USD 4,941) per sq. m. in June 2022, up 5.7% from a year earlier. The average housing price in Venice, the "City of Canals" and one of Italy's most gorgeous towns, dropped by 1.3% year over year to EUR 4,419 (USD 4,522) per square meter during the same time frame.