Words: Ashley Rigg

Published: 28th October 2009


Mixed news for the Italian property market

Mixed news for the Italian property market
REPlat, Italy’s first multiple listing service is reporting a mixed outlook for the Italian property market with the biggest issue faced by agents being the unrealistic prices requested by vendors.

Analysing data from its 1,700 member agents, REplat figures show that demand has continued to decrease in the third quarter of 2009, registering an overall drop of 3.91% between January and September, and year on year declines of up to 10.38%.

Supply decreased too down 11.67% between January and September and, for the first time since the beginning of 2009, it also registered some year-on-year drops over 2008 (0.52% in July and 1.12% in September).

The good news is that the researchers saw the first signs that realistic prices are on the horizon. Although vendors asking prices are still generally unrealistic, they slightly decreased their requests, particularly in the outskirts of big metropolitan areas.

Two tier market

Arguably the most significant finding is the development of a two tier market in the big cities such as Rome and Milan where prices are tumbling on the outskirts of the cities but rising in more central areas. The greatest rises took place in Rome’s leafy Parioli and characterful Trastevere neighbourhoods, where one bedroom flats went up 16%, and in Milan’s Ripamonti universoty area (16%) and the historic Duomo (15%).

Further coverage from Italy Property Magazine.

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