The real estate market in 2023: Notarized data for nine major cities.

The Consulate of National Notaries of Italy has published an analysis of the real estate market in the first half of 2023, including forecasts for the next year, as well as separate data for nine major Italian cities. Let's look at the dynamics of the real estate sector in the first six months of this year in the cities of Rome, Milan, Naples, Bari, Bologna, Turin, Palermo, Verona and Florence.

Sales and mortgages in Milan

In the first half of 2023, there was an 8.4% decrease in residential real estate sales compared to the same period in 2022. The decline in sales was particularly pronounced in the primary housing market, both for sales from individuals, which fell by 14%, and for sales from companies, which fell by 10.9%. The decline in the number of secondary home sales was 2.9% for transactions between individuals and 3% for purchases from companies.

The volume of home purchase loans in the first half of 2023 was down 26.4% compared to the same period in 2022. As a result, the number of individuals taking out mortgages also decreased (-26.2%), with the largest decline of 28% in the 18-35 age category. The volume of loans granted also decreased by 35.9% (from 7,379,640,281 euros in the first half of 2022 to 4,736,004,600 euros in the first half of 2023). The difference between these two percentages is explained by the overall decrease in all loans granted, especially in the category of amounts between €300,000 and €350,000. In the first half of 2023, surrogates increased by 14% compared to the first half of 2022.

Sales and mortgages in Turin

In the first half of 2023, there was a 3.4% decrease in residential real estate sales compared to the same period in 2022. The largest decline occurred in the primary housing market, with sales from companies down 41% and sales from individuals down 6.8%. However, secondary home sales from individuals increased by 5.3%, while purchases from companies decreased by 7.2%.

The volume of home purchase loans decreased 31.5% in the first six months of 2023 compared to the corresponding period in 2022. Looking at the data by month, the decline started at 20% in January 2023 compared to January 2022 and reached -34% in June 2023 compared to June 2022. As a result, the number of individuals taking out mortgages also decreased (-32.5%), with the largest declines of 32.2% in the 18-35 age category, 32.5% in the 36-45 age category, and 36.61% in the 46-55 age category. The volume of loans granted also decreased by 36% (from €1,541,061,396 in the first half of 2022 to €984,765,079 in the first half of 2023). The difference between these two percentages is explained by the overall decrease in all loans granted, especially in the category of amounts between €200,000 and €250,000 (-52.65%). In the first half of 2023, surrogates in Turin increased by 9.09% compared to the first half of 2022.

Sales and mortgage market in Verona

In the first half of 2023, the residential real estate sales market in the City of Verona decreased by 3.7% compared to the same period in 2022. The most significant decrease is noticeable in the primary housing market, with sales from private individuals decreasing by 7.1%, while sales from companies decreased by 3.4%. The secondary housing sales market from individuals remained stable (+0.5%), while sales of secondary housing from companies decreased by 1.9%.

Home purchase loans decreased 25.6 percent in the first six months of 2023 compared to the same period in 2022. Looking at the data by month, the decline started at 0.9% in January 2023 compared to January 2022 and reached -32.2% in June 2023 compared to June 2022. As a result, the number of individuals taking out mortgages also fell (-28.5%), with the largest decline of 28% in the 18-35 age category. Despite a 30% decrease in the number of mortgage transactions concluded (from 6,376 in the first half of 2022 to 4,461 in the first half of 2023), the volume of loans granted fell by 33.3% (from €1,100,457,702 in the first half of 2022 to €733,692,327 in the first half of 2023). The difference between these two percentages is explained by the decrease in the number of loans granted, especially in the category of amounts between €150,000 and €250,000 (by approximately 35%). In the first half of 2023, surrogates in Verona increased by 7.5% compared to the first half of 2022.

Sales and mortgages in Bologna

In the first half of 2023, there was also a noted decrease in residential property sales in Bologna by 4.6% compared to the same period in 2022. In the case of sales from private individuals, the decline was limited to 4.3%, while sales from companies dropped by 33.1%. As for the secondary housing market, sales from private individuals increased by 0.9%, while purchases from companies decreased by 11.3%.

The volume of loans for housing purchases in the first half of 2023 decreased by 30% compared to the same period in 2022. Looking at the monthly data, the decline started at 11.9% in January 2023 compared to January 2022 and reached -36.1% in June 2023 compared to June 2022. As a result, the number of individuals taking out mortgages also decreased (-27.9%), with the largest drop of 27% in the age group of 18-35 years. Despite the reduction in the number of mortgage transactions by 30% (from 6,262 in the first half of 2022 to 4,504 in the first half of 2023), the volume of loans issued decreased by 32.1% (from €958,095,657 in the first half of 2022 to €676,968,148 in the first half of 2023). The difference between these two percentage figures is explained by the decrease in the number of loans issued, especially in the category of amounts from €150,000 to €250,000 (approximately 35%). In Bologna, in the first half of 2023, surrogates decreased by 5% compared to the first half of 2022.

Sales and mortgage in Florence

In the first half of 2023, sales of residential real estate in Florence decreased by 10.3% compared to the same period in 2022.

The volume of loans for housing purchases in the first half of 2023 decreased by 32.6% compared to the same period in 2022. June saw the largest decline in the volume of issued loans, which amounted to -43.7% compared to June of the previous year. As a result, the number of individuals taking out mortgages also decreased (-30.63%), with the most significant drop of 34.8% in the age group of 18-35 years. Despite the reduction in the number of mortgage transactions by 32.6% (from 5,064 in the first half of 2022 to 3,413 in the first half of 2023), the volume of issued loans decreased by 32.1% (from 863,445,374 euros in the first half of 2022 to 586,401,596 euros in the first half of 2023). The difference between these two percentage figures is explained by the reduction in the number of loans issued, especially in the category of amounts from 150,000 to 250,000 euros (approximately by 35%). In Florence, the number of surrogates decreased by 10% in the first half of 2023 compared to the first half of 2022.

Sales and mortgage in Naples

In the first half of 2023, Naples saw a 7.3% decrease in residential property sales compared to the same period in 2022. For sales from private individuals, the decline was 16.5%, while sales from companies dropped by 17.9%. As for the secondary housing market, sales from private individuals increased by 4.9%, whereas sales from companies decreased by 5.7%.

The volume of loans for housing purchases in the first half of 2023 decreased by 31.5% compared to the same period in 2022. June saw the largest decline in the volume of issued loans, which amounted to -43.7% compared to June of the previous year. As a result, the number of individuals taking out mortgages also decreased (-29.4%), with the most significant drop of 35% in the age group of 36-45 years, while the decline in the 18-35 age group was 19.18%. Despite the reduction in the number of mortgage transactions by 31.5% (from 5,679 in the first half of 2022 to 3,892 in the first half of 2023), the volume of issued loans decreased by 32.2% (from 922,536,830 euros in the first half of 2022 to 617,848,269 euros in the first half of 2023). The difference between these two percentage figures is explained by the decrease in the number of loans issued, especially in the amount category of 150,000 to 250,000 euros (approximately 35%). In Naples, in the first half of 2023, surrogates decreased by 30.3% compared to the first half of 2022.

Sales of apartments in Palermo and mortgage loans

In the first half of 2023, Palermo saw only a slight decrease in residential property sales of 0.33% compared to the same period in 2022. In the case of sales from private individuals, the decline was 11.3%, while sales from companies dropped by 14.5%. As for the secondary housing market, sales from private individuals increased by 12.2%, while sales from companies remained stable.

The volume of loans for housing purchases in the first half of 2023 decreased by 32.6% compared to the same period in 2022. June saw the largest decline in the volume of issued loans, which amounted to -55.8% compared to June of the previous year. As a result, the number of individuals taking out mortgages also decreased (-33.7%), with the most significant drop of 28.7% in the age group of 36-45 years. Despite the reduction in the number of mortgage transactions by 33.7% (from 2,597 in the first half of 2022 to 1,724 in the first half of 2023), the volume of issued loans decreased by 32.1% (from 340,720,708 euros in the first half of 2022 to 231,124,984 euros in the first half of 2023). The difference between these two percentage figures is explained by the decrease in the number of loans issued, especially in the category of amounts from 150,000 to 250,000 euros (approximately 35%). In Palermo, surrogates decreased by 10% in the first half of 2023 compared to the first half of 2022.

Sales of apartments and mortgages in Bari

In the first half of 2023, sales of residential real estate in Bari saw a decrease of 12.4% compared to the same period in 2022. In the case of sales from private individuals, the decline was 6.6%, while sales from companies dropped by 55%. As for the secondary housing market, sales from private individuals decreased by 5%, while sales from companies fell by 27.6%.

The volume of loans for housing purchases in the first half of 2023 decreased by 28% compared to the same period in 2022. June saw the largest decline in the volume of issued loans, which amounted to -45.1% compared to June of the previous year. As a result, the number of individuals taking out mortgages also decreased (-27.5%), with the most significant drop being 30.2% in the age group of 36-45 years and 25.6% in the age group of 18-35 years. Despite the reduction in the number of mortgage transactions by 28.1% (from 6,262 in the first half of 2022 to 4,504 in the first half of 2023), the volume of issued loans decreased by 29.3% (from €958,095,657 in the first half of 2022 to €676,968,148 in the first half of 2023). The difference between these two percentage figures is explained by the decrease in the number of loans issued, especially in the category of amounts from €150,000 to €250,000 (approximately 35%). In Bari, in the first half of 2023, surrogates decreased by 5% compared to the first half of 2022.