The House Price Index (HPI) measures the evolution of market prices of all residential properties that are purchased by households, regardless if bought for own-occupancy or as an investment. It can be seen that the HPI for dwellings in Italy decreased steadily, going from 118.1 in 2010 to 103 in 2021. In 2022, the index increased to almost 107 index points, meaning that home prices had risen by about seven percent since 2015 - the base year of the index.

House price growth in Italy slowed in 2022, falling below one percent in the second quarter of 2023. When adjusted for inflation, house price growth turned negative in the first quarter of 2021. In the third quarter of 2023, the inflation-adjusted year-on-year change in house prices amounted to -3.59 percent.

Unlike Milan or Florence, the average price for properties for sale in Naples (Italy) reduced significantly between December 2016 and October 2024. The average price over the period reached its lowest level in November 2021 at 2,668 euros per square meter. Despite the overall increase since 2022, the property prices remained lower than in 2016, reaching 2,877 euros per square meter as of October 2024.

Italy Residential Property Price: Average: Florence data was reported at 2,471.028 EUR/sq m in 2022. This records an increase from the previous number of 2,351.246 EUR/sq m for 2021. Italy Residential Property Price: Average: Florence data is updated yearly, averaging 2,435.775 EUR/sq m from Dec 2008 (Median) to 2022, with 15 observations. The data reached an all-time high of 3,267.434 EUR/sq m in 2008 and a record low of 2,336.998 EUR/sq m in 2020. Italy Residential Property Price: Average: Florence data remains active status in CEIC and is reported by Nomisma. The data is categorized under Global Database’s Italy – Table IT.EB003: Residential Property Price.

Italy Residential Property Price: Average: Venice Land data was reported at 1,300.111 EUR/sq m in 2022. This records a decrease from the previous number of 1,303.590 EUR/sq m for 2021. Italy Residential Property Price: Average: Venice Land data is updated yearly, averaging 1,403.247 EUR/sq m from Dec 2008 (Median) to 2022, with 15 observations. The data reached an all-time high of 1,930.835 EUR/sq m in 2008 and a record low of 1,291.416 EUR/sq m in 2020. Italy Residential Property Price: Average: Venice Land data remains active status in CEIC and is reported by Nomisma. The data is categorized under Global Database’s Italy – Table IT.EB003: Residential Property Price.

Between December 2017 and October 2023, the average price of residential properties for sale in the Italian municipality of Palermo experienced fluctuation. In October 2024, an average of 1,488 euros per square meter was requested for residential properties for sale, the highest amount during this period. Conversely, the lowest price of 1,295 euros per square meter was recorded in October 2021. Moreover, the average property sales price in Palermo was lower than the national average.

The number of transactions in the real estate sector in Italy reached approximately 813,000 in 2021, including residential, office, retail, and industrial properties. This represented an increase compared to the previous years. In fact, the number of real estate transactions, which include office, retail, industrial, and residential real estate, grew by approximately 34 percent over the period considered.

Italy Residential Property Rent: Average: Milan data was reported at 150.938 EUR/sq m in 2022. This records an increase from the previous number of 149.616 EUR/sq m for 2021. Italy Residential Property Rent: Average: Milan data is updated yearly, averaging 150.938 EUR/sq m from Dec 2008 (Median) to 2022, with 15 observations. The data reached an all-time high of 172.549 EUR/sq m in 2008 and a record low of 144.632 EUR/sq m in 2016. Italy Residential Property Rent: Average: Milan data remains active status in CEIC and is reported by Nomisma. The data is categorized under Global Database’s Italy – Table IT.EB004: Residential Property Rent.

The number of transactions in the residential real estate market in Italy decreased in 2023, after a slight surge the year before. With 709,591 property sales, 2023 saw one of the highest transaction activity during the observation period. When looking at regional figures, Lombardy accounted for almost one in four transactions in the residential real estate sector. Impact of the coronavirus pandemic on the market During the coronavirus pandemic, the market contracted, with the number of transactions falling by 7.7 percent. That was followed by home sales surging in 2021, by more than one third. The market slowed down in 2022, but all regions, except for Emilia Romagna, recorded an increase in terms of transactions value. When looking at absolute numbers, Lombardy performed the best: the transactions’ value in the residential real estate sector in the region amounted to approximately 31 billion euros. Lazio, Liguria, and Tuscany: the most expensive regions Lombardy might be leading in terms of total transactions value, but it is not the region with the most valuable residential properties. In fact, calculations about the average price of transactions in the sector reveal that Tuscany, Lazio and Aosta Valley have the most expensive properties in Italy. In 2023, all three regions registered an average transaction value of about 195,000 euros.

Graph and download economic data for Consumer Price Index: Housing, water, electricity, gas and other fuels (COICOP 04): Actual rentals for housing: Total for Italy (ITACP040100GYM) from Jan 1997 to Oct 2021 about water, electricity, fuels, Italy, rent, gas, CPI, price index, price, and indexes.

The majority of residential real estate transactions in Milan, Italy, in 2021 were properties between 50 and 85 square meters. Homes in the smallest size class, up to 50 square meters, came in second in terms of sales volumes.

Graph and download economic data for Harmonized Index of Consumer Prices: Materials for the Maintenance and Repair of the Dwelling for Italy (CP0431ITM086NEST) from Jan 1996 to Nov 2021 about repair, maintenance, materials, Italy, harmonized, CPI, housing, price index, price, and indexes.

Graph and download economic data for Consumer Price Index: Harmonised prices: Housing, water, electricity, gas and other fuels (COICOP 04): Electricity, gas and other fuels for Italy (ITACPHP0405IXOBM) from Jan 1996 to Oct 2021 about water, electricity, fuels, Italy, and gas.

Italy Consumer Price Index (CPI): Weights: HW: Actual Rentals for Housing data was reported at 27,844.000 Per MN in 2025. This records an increase from the previous number of 24,353.000 Per MN for 2024. Italy Consumer Price Index (CPI): Weights: HW: Actual Rentals for Housing data is updated yearly, averaging 25,605.000 Per MN from Dec 2016 (Median) to 2025, with 10 observations. The data reached an all-time high of 29,405.000 Per MN in 2021 and a record low of 24,353.000 Per MN in 2024. Italy Consumer Price Index (CPI): Weights: HW: Actual Rentals for Housing data remains active status in CEIC and is reported by Italian National Institute of Statistics. The data is categorized under Global Database’s Italy – Table IT.I009: Consumer Price Index: 2015=100: Weights.

Between 2020 and 2022, average prices for residential real estate in Italy are expected to decrease. However, the forecast decrease in the average price differs according to cities. Milan, for instance, is expected to experience a drop in prices below one percent year-on-year between 2020 and 2021, before increasing in 2022. On the other hand, the decrease in average prices in Rome should be more significant.

Cortina d'Ampezzo, located in the region of Veneto, recorded the highest price for holiday houses' transactions in Italy in 2021. Holiday houses in this mountain location cost an average of 13,500 euros per square meter. Meanwhile, holiday houses in Madonna di Campiglio, Trento, registered a maximum average price of 13,000 euros per square meter as of the same year.

In 2024, the Italian market for bearing housings incorporating ball or roller bearings was finally on the rise to reach $27M after two years of decline. Overall, consumption saw a pronounced increase. Bearing housing with ball bearing consumption peaked at $87M in 2021; however, from 2022 to 2024, consumption stood at a somewhat lower figure.

Transactions in the residential real estate sector in Italy have fluctuated since 2005. In the years following the financial crisis (2007 to 2013), the number of transactions in the sector decreased steadily year-on-year. The most significant drop was registered in 2012, when transactions decreased by 25.6 percent compared to the previous year. Starting 2014, the trend began improving and the number of transactions increased steadily. In particular, in 2016, an increase of 18.6 percent was reported. In 2020, under the effects of the coronavirus (COVID-19) pandemic, transactions fell for the firsat time since 2013, by 7.7 percent. 2021 saw the most significant increase since 2005 of 34 percent.

Mortgage interest rates in Italy decreased substantially between 2013 and 2021 before rising in the following years. The second quarter of 2024, the mortgage interest rates amounted to 3.55 percent - lower than the rate in the same period in the previous year. A slowly recovering market Despite not reaching the pre-crisis levels, an increase in the number of transactions in the residential real estate market as well as the volume of mortgages stipulated for house purchase indicate a positive trend for the sector in Italy. Homeownership in Italy reached 73.7 percent in 2021, one of the highest rates in Western Europe. Low interest rates, especially when compared to other European countries, and decreasing house prices led to a renewed interest in the real estate market in Italy. Milan, an attractive destination for investments In recent years, more than in the past, thanks to its role as a capital of business and finance as well as an innovation hub, Milan was able to attract human capital and investments, both domestic and foreign. This ability to grow and innovate was also reflected in the real estate market, which was the most dynamic in the country. Transactions in residential real estate in Milan increased steadily since 2012, except for 2020, and so did prices: some areas of the city are among the most expensive in the country to buy a property.

The average transaction price of new housing in Europe was the highest in Norway, whereas existing homes were the most expensive in Austria. Since there is no central body that collects and tracks transaction activity or house prices across the whole continent or the European Union, not all countries are included. To compile the ranking, the source weighed the transaction prices of residential properties in the most important cities in each country based on data from their national offices. For example, in Germany, the cities included were Munich, Hamburg, Frankfurt, and Berlin. House prices have been soaring, with Sweden topping the ranking Considering the RHPI of houses in Europe (the price index in real terms, which measures price changes of single-family properties adjusted for the impact of inflation), however, the picture changes. Sweden, Luxembourg and Norway top this ranking, meaning residential property prices have surged the most in these countries. Real values were calculated using the so-called Personal Consumption Expenditure Deflator (PCE), This PCE uses both consumer prices as well as consumer expenditures, like medical and health care expenses paid by employers. It is meant to show how expensive housing is compared to the way of living in a country. Home ownership highest in Eastern Europe The home ownership rate in Europe varied from country to country. In 2020, roughly half of all homes in Germany were owner-occupied whereas home ownership was at nearly 97 percent in Romania or around 90 percent in Slovakia and Lithuania. These numbers were considerably higher than in France or Italy, where homeowners made up 65 percent and 72 percent of their respective populations.For more information on the topic of property in Europe, visit the following pages as a starting point for your research: real estate investments in Europe and residential real estate in Europe.