Immobilization in Italy: the crisis is caused by rising mortgage interest rates.

Primary housing sales in Italy fell significantly in the first half of 2023, according to the National Notary Council.

The real estate market in the country is in deep crisis due to rising mortgage rates.

According to a recent study by the National Notary Council, primary home sales in the first half of 2023 declined significantly, down 8.7% from the same period last year.

This led to a drop in the number of transactions from 303,375 to 277,052.

If this trend continues throughout the year, a decline of 10.5% is expected.

Problems with the real estate market mainly affect provincial cities, particularly capital cities.

In terms of geographical distribution, the strongest reduction is observed in northwest Italy, where it is about 12%.

The islands, on the other hand, saw a slight increase of 2%.

The hardest hit by this decline were metropolitan areas such as Bologna, where real estate transactions fell by 24%, and Milan, which saw a 23% decline.

This negative dynamic is also evident in other cities across the country.

Rome saw a 10% drop in sales and Florence a 9% drop in sales.

Turin and Naples are also experiencing a crisis, with both cities seeing a 7% drop in real estate transactions.

The main factor responsible for the difficult situation is rising mortgage rates, making home buying a financially burdensome option for many buyers.

This has had a significant impact on the real estate market, especially in large and expensive cities.

The situation needs to be closely monitored and measures may be required to stabilize the market and revitalize the Italian real estate economy.