(Visited 75 times, 1 visits today)
(Visited 75 times, 1 visits today)

How much does a house in Milan cost? Prices on the rise and quick deals. High demand for new houses

24 January, Corriere della Sera

House buyers in Milan are demanding. They’re hard to satisfy. They want customised newly-constructed apartments. As a result, the most recent real estate projects are leading sales, according to a survey by Abitare Co. Considering also urban renewal projects and house extensions, the percentage of new houses is very high, more than in the other Italian cities (25% of the total market). Prices for this segment are growing at double the speed of the other properties of the sector (+2.2%), houses sell extremely quickly (3.7 months on average). Besides, sales in the last years rose by 14.5% (in comparison with the 1.1% increase in the domestic market). “Milan is the first real estate market in Italy, and the outlook for 2019 is positive. We must be cautious, considering the recession threat, but this city is a different story altogether”, commented Alessandro Ghisolfi from the Abitare Co. research centre.

“Milan is today in the same condition as London was ten years ago. The city has a lot of potential, and it’s a great investment opportunity also for those who do not intend to move to live in the property”, confirmed Sigest. Also Scenari da Immobiliari is cautiously optimistic. Milan anticipates the economic trends and differentiates more and more its neighbourhoods: these are the reasons for its growth. The requalification, except for the areas along the new M4 metro line (especially Viale Indipendenza and Piazza Vetra), mostly concerns the artsiest neighbourhoods (some streets in Lambrate) as well as those with a lively nightlife (Brera). On the overall, Città Universitaria (the student district) reported the best performance. It’s the sign that students are driving the sector for what concerns sales and not only rents, as we can see in the Bovisa area and in the new Bocconi campus.

Concerning new construction, Ghisolfi continues, “the offer is still limited in comparison with the potential demand. This resulted in quicker sales, something that would have been impossible a couple of years ago”. For instance, between Via Tacito and Viale Umbria, the 210 apartments of the Milano City Village project implemented by the listed company AbitareIn (which will be ready only in 2021), have already sold out in a couple of months, way earlier than expected, for a value of 78 million euro. According to Sigest, “if we continue in this way, the supply Milan might not be able to satisfy the demand in five years”.

Source: Corriere della Sera

Translator: Cristina Ambrosi