Rapid real estate market recovery: Abilio sales down 20%, improvement over 9M. 2023'Rapid real estate market recovery: Abilio sales down 20%, improvement over 9M

For the nine months from January to September 2023, the number of attempted sales of real estate at judicial auctions was about 115,000, down 20 percent from the 144,000 recorded by September 30, 2022.

The value calculated at the base prices at the auctions amounted to 18 billion euros, which compares''s 24 billion euros for the corresponding period of 2022, representing a decrease of 25%.

This is evidenced by an analysis of data at the end of the third quarter of the Property Observatory of Court Sales of Abilio spa, a leading player in the sale and purchase of real estate and equipment from procedures, leasing companies and voluntary sales, part of the illimity group (see press release here).

Results of analysis:

• In the period under review, 111,453 properties were put up for sale through competitive and enforcement procedures, 20% less than in the first nine months of 2022 (139,863 properties).
• The real estate operating unit of Cherry srl, a fintech startup founded by the former CEO of Banca''Ifis, Giovanni Bossi, reported publishing nearly 30,000 auctions for the July-September period, down 21% from about 38,000 for the same period in 2022.

"The data reflect, on the one hand, the impact of interest rates on buying and selling, as well as on the entire real estate market, but also the decrease in the volume of legal proceedings, gradually decreasing from 2019 due to the emergency support measures taken by companies in response to the pandemic," explained Renato Ciccarelli, CEO of Abilio, in an interview with BeBeez.

The Observatory's analysis itself points out that, according to Istat, the number of bankruptcies and judicial liquidations totaled 3,900 in the first half of the year, the same as in the first half of 2022 (4,000), indicating that for the first time the decline in conducted''procedures have stopped exactly since 2019 - the year before the pandemic phase - when 5,700 procedures were registered, also in the first half of the year alone.

In other words, the volume of legal procedures and liquidations seems to have reached a minimum.

Some macroeconomic indicators also point to a potential increase in the volume of procedures in the near future, different from what can only be discerned from analyzing the trend of judicial sales in recent years.

Factually, problem loans remain high in bank balance sheets (€33 billion in 2022) and loans at high risk of deterioration (Stage2), according to PWC, amount to €190 billion also in 2022.

The anticipated growth in procedures''and 41% in the first half of 2023, according to the forecast, which is likely to continue in future years.

Remember that Abilio, founded by the same Ciccarelli as IT Auction and then acquired in 2019 by the credit group launched in the same year by Corrado Passera (cf.