25 February, Mutui Online
The Tecnocasa Research Study has analysed the transactions for the first semester of 2017 in the main Italian cities, in order to identify the highest percentage of buyers that bought a property in a city other than their city of residence.
The most relevant figures come from Florence and Verona, that have registered respectively 12.3% and 11.8% of purchases from people coming from another province, and 12.3% and 14.5% of people within the province.
Milan has performed well too. 82.7% of the transactions concern people already residing in the city, while 10.2% of the buyers come from other cities and 7.1% from towns of the hinterland. It’s followed by Bari, Bologna and Rome that report all very similar percentage, respectively 9.6%, 9.3% and 8.6%.
Whereas Palermo, Genoa and Naples have registered the lowest percentage of non-residing buyers, setting respectively at 3.5%, 4.7% and 5.6% on the total transactions registered on the portal.
People in Milan mostly purchase to invest
The city attracts purchases from non-residents thanks to the excellent returns the properties can offer. Returns are set at 5%, the value is obtained from the ratio between the yearly rent price (considering a one-bedroom apartment) and the capital invested for the purchase.
Milan has registered record sales also for purchases for investment, representing 24.6% of the transactions (+8.7% compared to the same period of 2016), with a higher concentration in the central areas. The Milan property market has seen a boom of transactions especially with regards to new constructions, or properties still under construction, while the demand for low-energy efficient properties located in poorly-serviced areas is rather small. In the first part of last year, transactions registered a +8.3% compared to the same period of 2016, with prices for the Navigli, Fiera-Sempione and Via Quadronno areas reporting the biggest increases.
Purchasing a house with a mortgage
Borrowers can currently benefit from low interest rates. In the last survey by MutuiOnline.it, rates touched at the beginning of the year a new low: 0.92% against 0.93% in December.
How to choose a convenient mortgage
To choose the best mortgage option, it’s possible to consult the portal MutuiOnline.it to make a comparison between the various mortgages offered by the main banks.
Considering an inquiry dated 15 February 2018 from a client from Milan aged 50 buying a second house, a required amount of 110,000 euro to repay within 20 years, a property valued 220 thousand euro, the best solution is offered by Cariparma-Crédit Agricole.
Mutuo Credit Agricole, in fact, offers monthly payments of 687.68 euro with TAN at 1.60% and Taeg at 1.99%. Application fees amount to 500 euro, while the appraisal is free.
Each mortgage has two options. One is called SaltaRata (the possibility to skip one payment once a year without additional costs), the other can be chosen between SospendiRata (the total suspension of the payments up to a period of 12 months), SospendiQuota (suspension of the reimbursement of the only capital share for 4 times for a maximum of 24 months) and RegolaMutuo (increasing or decreasing variation up to a maximum of 5 years of the initial duration only once in the whole mortgage life).
Regarding floating rate loans, the best solution is offered by the online mortgage of Banca Sella, with monthly payments of 644.79 euro (0.72% rate and Taeg at 1.15%). The application and appraisal fees are respectively 275 and 200 euro. The loan is dedicated to private investors not over 75 years of age at the contract term.
Source: Mutui Online
Translator: Cristina Ambrosi