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The Italian Property MarketItaly is becoming more popular year on year. Flying to Italy has been revolutionised by the arrival of budget airlines, so wherever the house of your choice is located, it will be readily accessible. Italy also offers amazing variety in terms of the type of properties for sale and the prices. Property prices are increasing at about 10% to 15% per year and, with the ever growing interest in Italy as a second home location, you can be sure that your second home will also be an investment. Latest price rises in key parts of Italy were above 22% but Italian property remains affordable and relatively cheap compared to that of Spain, Portugal and especially the UK. People often choose Italy because of a love of the country and its culture. They may have had business links with a particular area, they usually speak Italian or wish to lean the language and are interested in the arts, music and culture of the country. They are described as having a higher level of ‘intellectual capital’. Many are also attracted by the outstanding natural beauty of Italian regions, the wonderful cuisine, the leisure facilities and the exceptionally low levels of crime. The numbers of house buyers are growing fast. Abbey National saw from January to June 2004, that Italy experienced growth of around 50%. Tuscany Why do so many people want to buy property in Tuscany ? Ask a foreigner to paint a picture of Italy and it will probably emerge looking something like this beautiful region of central Italy. Stone farmhouses sit atop rolling green hills, gazing down upon a land cultivated since Roman times. Tuscany continues to be a favourite location with non Italian buyers which is reflected in the strength of property prices that continue to rise, thus making the region ideal for an investment. The property market in Southern Tuscany is developing apace but properties and building land can still be snapped up at reasonable prices. Good accessibility, a high level of local services and all year round activities make the area ideal for anyone searching for an up and coming location in which to invest or those looking for their own ideal place in the sun. A three bedroom house in the centre of Tuscany costs around 2,500 – 3,500 per m2 while in the southern part of the region costs are around 1,000 to 1,500 per m2.The Italian Lakes Property in the popular Lake Como area usually achieves a healthy resale value but, as in all scenic parts of Italy, prices can be steep. Last year a three-bedroom villa with a lake view, private terrace, cellar and covered car parking space sold for ?475,000. Small two-bedroom apartments in the Lake Como and Lake Maggiore areas, with lake views and access to a pool and tennis court were selling for ?350,000-plus last year. Because this region is so popular with Italians and so close to the Alps, property prices rise more quickly than most other parts of Italy. Emilia Romagna Property in Emilia Romagna offers unrivalled opportunities especially for property renovators or anyone who loves doing up beautiful old houses and is the f astest growing property market for foreign buyers in Italy, growing at over 20% per year. Strict planning permission laws severely restrict the construction of new properties, as the area falls within the boundaries of regional and national parks As a result new property will continue to become more elusive and therefore more expensive. Many foreign buyers therefore are investing in more affordable ‘Rustic’ - such as disused farmhouses There are plenty of such properties still available, but even these are being "snapped up" by foreign investors keen to own a place in the sun. Also as many of these farmhouses have barns and stables conversion, into further living accommodation, is possible, for guests or to provide rental income. The average weekly rent in the high season would be about 600-800 Euros. The average three bedroom house in the region costs around 1,200 to 1,600 per m2 Umbria Demand for property in Umbria continues to strengthen as prices become out of the reach for many in the bordering Tuscany. Throughout the picturesque countryside old farms and stone houses sit, awaiting the shrewd investor. It is also possible to buy building land at reasonable prices. However if you thought this neck of the woods was second to Tuscany, then think again. As annual property appreciation ranges from 10 to 15 per cent, more and more overseas buyers are forsaking Tuscany for the dramatic Umbrian landscape. Abruzzo Abruzzo’s property market is not as developed as that of Tuscany or Umbria and this is reflected in property prices which can be up to 50% lower than in Tuscany for a similar property. However as Abruzzo offers skiing, beaches and an outstanding natural environment it is becoming ever more attractive to investors and those searching for second homes abroad. Accessibility is also good, and budget flights arrive daily in Pescara. Campania The property market is buoyant; prices more than doubled in the region as a whole between 1998 and 2003 and in some areas rose by more than 70 per cent. Property on the islands in the archipelago of Capri, Ischia and Procida is prohibitively expensive and little is available. On the Amalfi coast, prices start at Euro 2,000 per sq meters, while inland prices fall dramatically to as little as Euro 600 per m2. In stark contrast to the immaculately painted villas and palazzi in the wealthier resort areas, there are numerous half-abandoned villages in the interior which offer exciting investment opportunities. The ever-growing popularity of the region continues to provide excellent opportunities for rental income. The buying process There are three stages which take place in the buying of Italian property. Firstly, when you have decided on a house, the purchaser will pay a small deposit usually around ? 2,000 to secure the property. The second stage is a purchase and sales contract between the buyer and the vendor, at this point 10% of the purchase price is paid to the vendor. The final stage is when the property deeds are transferred into the name of the purchaser. This final act takes place in the office of a public Notary and the remaining balance of the purchase price is paid to the vendor. What the purchase is liable to pay when buying a property
Key Benefits of buying in Italy
Other advantages of buying in Italy
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