Rome: Homes at Half the Price Compared to Milan
With Brexit forcing bankers to relocate from London to other European cities, the luxury real estate market in Milan is booming. However, buyers in search of more affordable properties (and with less competition) are starting to look to other destinations, such as Rome’s historic urban fabric.
In this context, Rome emerges as one of the preferred destinations for real estate investors who see the different property value in the capital as an opportunity. The Eternal City has experienced a solid recovery after the lockdowns, with a high-end residential sales volume increasing by 31.4% compared to 2020, the highest level since 2007, according to Bloomberg. In comparison, Milan, despite being Italy’s fastest-growing financial center, recorded only a 24.4% increase in volume during the same period.
Rome is undergoing a series of fundamental changes as it prepares for activities and events that will attract visitors and buyers to the city. The Eternal City will host the highly anticipated Ryder Cup 2023 (the first time the golf tournament is held in Italy); Roman Catholic Jubilee celebrations will take place in 2025, along with the 2000th anniversary of the death and resurrection of Jesus Christ in 2033. Rome is also a candidate for the 2030 World Expo. All these events contribute to making the capital quite attractive to investors, who are placing significant bets with luxury hospitality brands like the Four Seasons and real estate companies, which are acquiring properties in well-positioned areas.
The mood has changed, luxury hospitality is arriving significantly, there is ample liquidity available for prestigious residences, and many opportunities to revitalize areas near the city center to accommodate quality offices, student and senior residences.
Domenico Bilotta, Managing Director of InvestiRE SGR, told Bloomberg. “What has been lacking so far compared to Milan – and still deters international funds – is a long-term vision from local administration on how to remodel certain parts of the city, clear plans on how to best enhance existing buildings and urban spaces.”
