Economic growth and investors’ confidence in the Italian business environment is driving a considerable increase in various industries across the country, one of these being real estate. Milan is one of the Italian cities registering the highest demand in house purchases which is why the prices have also gone up during the last three years. However, residential sales are on the rise all over the country. Foreign investors interested in starting a business in the real estate sector, can rely on our company incorporation services in Italy.
Milan is just one of the eight large Italian cities where more and more residents are buying properties. The capital of the Lombardy region registered a 13.8% increase in real estate sales during the first quarter of the year compared to the same period of the previous one, while average sales around the country rose by 8.6%, according to a report issued by the Tax Revenue Agency.
During the last three years in which the residential sales have maintained a steady and continuous growth, Milan has registered higher demand of 20% in some quarters.
At this moment Milan could register an even higher growth in both real estate prices and sales, however the lack of offer is holding it back. New properties to be sold for both residential and commercial purposes are expected to be built in the next two years. The most purchased ones are anticipated to be those with prices below 200,000 euros, but also those jumping 1 million euros.
The Tax Revenue Agency also observed that there are Italian citizens with properties here using them to make an additional income from rentals which is why prices in certain areas have gone up by 2% to 4% within one year, double compared to other cities. The historic center was one of the most sought residential areas to buy a property in, as 510 units were sold here in 2016, 48.5% more than in 2015.
Last year, Milan was also the 5th European tourist destination with 7.65 million visitors. It is also one of the most important university hubs in Europe with more than 12,000 foreign students per year.
If you are interested in starting a company in the construction sector, do not hesitate to contact our Italian company formation advisors.