Real estate market, prices have increased by 40 % over the last five years.

In the second half of 2022, at least 18.2% of real estate is purchased as an investment. The trend is up slightly from the same period in 2021, when the percentage was 16.5%. The real estate market continues to thrive.

The main reason investors are putting money into real estate is high inflation. The real estate market has always been considered a great way to invest capital. Investments in the industry are looking to benefit from returning buyers for accommodation in major tourist destinations.

Milan confirms its position as one of Italy's most expensive cities. According to the latest analysis by immobiliare.it, the price per square meter in Lombardy is around 5,271 euros: compared to a year earlier, an increase of 3.3% was recorded. Rome, on the contrary, decreased by 0.2%: in this case, prices are around 3,336 euros per square meter. InMilan, prices rose 43.2%, according to Tecnocasa. Italy's big southern cities can see significant price increases that in some cases can match Milan's.

When talking about Milan's real estate market, it is important to note that in the last five years, property prices in Milan have risen by 43.2%, while in other metropolitan areas the average rate was 8.8%. Milan has completely separated itself from all other cities in Italy. The rise in property values particularly affected mobile neighborhoods, where prices rose by 50.3%. Milan has also seen high prices in central and semi-central zones, causing a redistribution of purchases to the suburbs.

Milan has registered a noticeable increase in real estate prices thanks to the renovation works that are being actively carried out throughout Milan. For example, Fiera San Siro is the macro-area with the largest price increase: +59.2%.

In the south of Italy, real estate prices are rising, identical to Milan.

According to the latest analysis by Immobiliare.it, in the south of Italy real estate prices are rising in the same way as in Milan. For example, Naples is the tenth most expensive city to buy real estate. In this case, the price per square meter is 2,771 euros. These figures increased by 3% compared to the previous year. The supply of affordable real estate on the market has shrunk, while at the same time demand has decreased by 15.7% over the past month. According to this analysis, Bari has a larger price increase compared to Naples. During the year, its prices rose by 4.4%. The average price per square meter is about 2,000 euros and now it has stopped at 1,967 euros. Compared to previous years, demand for real estate decreased by 1.5%. Among the three cities considered in the Immobiliare.it study, Palermo is the most economic city, where prices are around 1,360 euros per square meter, but it also shows the largest growth: +5.3% in the last twelve months. The supply of affordable real estate is shrinking (-4%), but demand is still growing (+3.3% over the last twelve months).