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The property market in Bologna is giving signs of recovery

06 December, Il Resto del Carlino

“Since already three years, the Bologna property market is giving solid signs of recovery, regarding transactions of new as well as old properties. In the province too, the transactions have restarted over the last year: some cities have registered increases higher than those of Bologna”.

This is how Giancarlo Raggi, Ancebologna president, explains the current situation of real estate in Bologna. However, who is looking for a house to rent or to buy complains about the little offer compared to the demand. “It’s surprising how a central area such as Città Metropolitana has apparently run out of properties on offer – notes Raggi – forcing many students and workers to give up living in Bologna and in the towns nearby. Concerning old properties, there is still a slight contraction of prices for the oldest buildings located in the suburbs – clarifies the president – however, concerning new properties, prices are stable and has started a positive trend of gradual growth. The rental market too is characterised by a positive recovery”.

The attention is on the growth of the demand for houses in the city. “This is partly due to three factors”, says Raggi, listing them: “the demographic trends and the related demand for residences to buy or to rent; the new feature of the house as a product, from the unsold to the not-built; the profitability of rentals, the growth of mortgage issuances, the tax incentives for buying and for renting”. Let’s move the attention to the demographic trend. “Concerning demographics, we must note how Bologna continues being attractive with a positive migration trend”, explains the Ancebologna president.

Raggi, finally, concludes with the analysis of a property market that “seems to have returned to pre-crisis levels, the negative phase corresponding to the global financial crisis of 2008 has now stopped. The market, especially in Bologna, is now characterised by a lack of offer of developable areas and of properties to demolish and to reconstruct or to requalify in order to relaunch the residential offer to meet the increasing demand”. From here the invitation: “The local authorities must meet these needs – says Raggi – promoting the restart of projects that are stuck such as Navile and Lazzaretto in Bologna, and giving incentive to the reservation of abandoned properties in the city”.

Source: Il Resto del Carlino

Translator: Cristina Ambrosi