Tag: statistics

Sales, mortgages, and donations: the real estate market seen by the notaries

17 October, Idealista

In occasion of the 52nd national congress of notaries, it was presented the statistic survey of the professional category concerning the first semester for the year. The report shows an interesting picture of the Italian real estate market, especially for what concerns sales, predominant in the North of the country, Lombardy first, while the mortgage sector shows some caution at the moment of applying, and issuing, for a loan.

Sales of properties

In the first semester of the year, 401,432 sales have been analysed: 300,929 have concerned residential properties and adjoined spaces (namely garages, cellars, and parking spaces). For more than half of the purchases, equal to 56.48% (163,155 transactions), the “first house benefit” was requested. There is, however, a big difference between purchases from privates and purchases from companies, showing clearly the crisis of the sector of new and renovated properties purchases. For what concerns the distributions on the territory, there is still a sharp difference between North and South.

North dominates real estate market

56% of the property transfers were registered in the North: 34.84% in the North-West and 21.59% in the North-East. The Centre reported 17.74% of transactions, the South 18.15%, and the islands 7.67%. Friuli-Venezia-Giulia reported a good performance with +10.72%, as well as Valle d’Aosta with 6.37% and Trentino-Alto Adige with +4.40%. In the Centre, Umbria is in countertrend with 7.91%. Lombardy and Veneto too had positive results with respectively +2.60% and +0.74%.

Lombardy confirms to be the region with the most properties traded with 82,561 transfers equal to 824 transfers every 100,000 inhabitants. Concerning the properties, it emerges that 56.48% of them was purchased through the “first house benefit”, more in detail, 49.5% was bought from privates and only 6.9% from developers. The people buying the first house is aged between 18 and 35 years, representing the 39.5% of the transactions, growing by 3% compared to 2016. Like the first semester of the previous year, also for the same period of the current year the prices have been below 100,000 euro for 55% of purchased buildings, 97% of agricultural land, and 85% of building land.

Caution and low risk in the mortgage world

The new mortgage loans have registered an increase of 2%, but it remains a certain caution and little tendency to risk since 70% of the mortgages issued doesn’t exceed 150,000 euro.  Whereas loans for above 500,000 had a significant increase, +10%, a signal of slight recovery of big investments. In the first semester, the amounts issued by banks for new loans increased by 9%. Concerning the totality of banks loans, 78% was mortgage loans, while subrogations were 13.38%. The main age ranges were 18-35 and 36-45 years with 70% of the loans.

Overall fall of donations

Compared to 2016, an overall reduction of the deeds of donations was registered which was sharper for real estate properties than for movable properties. These latter are concentrated in the North. Donations of money, stocks and shares have been substantially stable, while those for bare ownership reported a 12.89% compared to the 15% of 2016. Regarding real estate donations, they’ve concerned mostly buildings, while full ownership (52.34% in 2017 and 52.24% in 2016) and bare ownership (17.55% in 2017 and 17.29% in 2016) have remained substantially stable.

 

Source: Idealista 

Translator: Cristina Ambrosi

Not many properties are purchased from the developer

14 October, Milano Finanza

Newly built properties have represented in 2017 only 24% of the sales. The figures come from the Notaries Public based on the information received by 92% of its registered members. In the first semester, the number of sales of properties has been 401,432, of which 300,929 have been residential properties, besides garages, cellars, and parking spaces. Only 61,892 properties were bought from the developer. “More than half of the sales, equal to 56.48% (163,155 transactions), involved the request of the “first house benefit” with a sharp difference between the purchase from privates and the purchase from companies (only 6.9%), with a clear crisis of new or renovated properties”, warn the notaries. The North registered over than 56% of the properties sold, 17.74% in the Centre, 18.15% in the South, and 7.6% in the islands. In Friuli Venezia Giulia, the sales have grown by 10.7%, in Valle d’Aosta +6.3%, Trentino Alto Adige +4.4%. In the Centre, Umbria registered +7.9%, in countertrend. Lombardy too registered a positive trend (+2.6%), and it’s the region with the most real estate transactions (82,561). “56.48% of the sales of residential properties has happened with the “first house benefit”, highlighted the Notaries Public.

 

Source: Milano Finanza

Translator: Cristina Ambrosi

Positive trend for the logistical property market

 

4 October 2017

Aghabegloo (World Capital): it’s  a growing sector, reaching investments for approximately 700 million euro only in Italy

A semester characterised by optimism. This is the conclusion emerging from the new edition of the Real Estate Report of Logistics by World Capital, in collaboration with Nomisma and with the participation of Assologistica. The dossier analyzes the first six months of 2017, with a particular focus on the prices of the main Italian and European locations.

“In the first semester of 2017, we’ve registered a particularly positive trend and a proactive attitude from the investors towards the logistical property market, supported by an increasingly growing demand from the logistics companies”, declared Neda Aghabegloo, responsible for the Research and Advisory Department of World Capital. “The companies are not only focused on the location of the warehouses, with spaces bigger than 5,000 Sq m, but also in the development of new properties, which in 80% of the cases are tailor-made, the so-called “built-to-suit”. In these first six months, we can also see an increase of the market absorption. Finally, innovation and e-commerce confirm to be two important factors for the evolution of the supply chain, which is turning into a “demand chain”,

In the first semester of 2017, the range of rents has substantially remained unchanged compared to the previous semester, with the exception of new buildings (built in the last ten years or renovated) located in the North and with a growth of +4%. Among the main Italian cities, there are Genoa (62 euro/Sq m/year), followed by Milan (55 euro/Sq m/year), Rome (56 euro/Sq m/year), and Catania (46 euro/Sq m/year). For what concerns used properties, the highest rents are reported in Florence and Milan (50 euro/Sq m/year), Rome (48 euro/Sq m/year), and Genoa (47 euro/Sq m/year).

Looking at the main dimensions requested by customers, 53% is over 5,000 sq m, 35% of the spaces is between 1,000 and 5,000 sq m, while only 12% of properties are under 1,000 sq m.

Focusing on the credibility of the sector, the logistical property market is constantly growing, totalling investments for about 700 million euro registered in the Italian territory only. The growing interest by the investors for logistical properties and the competition for the quality assets in the best locations and with the most prestigious tenants has translated in a reduction of the yields for this first semester. The most significant variations are registered in Milan and Genoa. The gross earnings for Milan go from a minimum of 6% to a maximum of 7.2%, while in Genoa the range varies from 6.4% to 7.5%.

The logistical property stock in Italy

The World Capital Research Department has carried out for the first time a mapping and analysis work on the logistical property market in Italy including logistical properties, distribution centres, and hubs. The study shows that logistical properties cover a total surface of 34,700 sq m. It’s interesting to note how 75% of the total is occupied by properties for logistical use, totalling a surface of about 26 thousand sq m.

The analysis considered several parameters, the most important ones being location, distance from motorways/junctions, total square metres, and the presence of docks. Based on these characteristics, three main property types have been identified and divided into the A, B, and C types.

  • Type A properties: for logistical uses and featuring docks, with a surface over 15,000 sq m and distance below 30 km.
  • Type B properties: for logistical uses and featuring docks, with a surface between 5,000 and 15,000 sq m and a distance above 15 km.
  • Type C properties: for logistical uses, with or without docks, with a surface below 5,000 sq m and distance above 15 km.

It turns out that 52% of the surface of the logistical property stock is composed of type A properties. Covering about 13,500,000 sq m, 39% is the percentage of type B properties, for approximately 10,200,000 sq m, and 9% are the type C properties, for a total surface of about 2,400,000 sq m. We must stress that 20% of the warehouse units present in the country are type A, while 62%  are type B.

Considering the total national stock, covering 26 million Sq m, 64% is located in the North, precisely in the North-West, with a total of about 11,700,000 Sq m, followed by the North-East with approximately 6,100,000 Sq m. The remaining stock is located in the Centre with about 4,600,000 Sq m, the South with 2,760,000 Sq m, and the Islands with approximately 800,000 Sq m. Focusing on the map of logistical properties, Lombardy is the region with most properties for logistical use, with a surface of 9 million Sq m (39%). In this way, Lombardy together with Emilia-Romagna, Lazio, Piedmont, and Veneto accommodate 74% of the total national stock.

Analyzing the logistical properties at province level, among the top 30 provinces, Milan is at the first position, covering 16% of the property stock. Finally, thanks to the Appeal Index  tool provided by  World Capital allowing to assess the quality of the investment in relation to socio-economic and geographical parameters, it has been possible to create an investment opportunities map, focusing in the most attractive areas.

The most appealing areas are the Municipality of Arese for Lombardy, Venice and Villorba for Venice, Gravellona Toce for Piedmont, and Villesse for Friuli-Venezia Giulia.

 

Source: http://www.businesscommunity.it/m/20171011/economia/trend-positivo-per-il-mercato-immobiliare-logistico-.php

Translator: Cristina Ambrosi

Ubs, properties are overpriced everywhere (except for this city)

 

2 October 2017

The property market in cities worldwide is still overpriced, but there is an important exception: Milan. It’s stated on the yearly Ubs report, Global Real Estate Bubble Index. According to the report, the cities risking a property bubble would be Toronto (Canada) at first place, followed by Stockholm (Sweden), Munich (Germany), Vancouver (Canada), Sydney (Australia), London (UK), Hong Kong, and Amsterdam (Netherlands).

“The improvement of the general economic situation, partly accompanied by the solid growth of the  salaries in the main cities, combined with excessively low funding costs, led to a high demand for accommodations in the metropolis”, explained Claudio Saputelli, head of Global Real Estate of the  Chief Investment Office of UBS Wealth Management.

According to Ubs, prices are destined to grow in Milan too, even though at the moment prices are 30% lower than those in 2007, due to the persistence of the economic recession in Italy. Assuming a qualified professional working in the service sector, he’ll have to work for 5.7 years to afford a 60 Sq m apartment. Therefore, Milan is one of the most convenient cities for what concerns properties. For the future, Ubs expects the economic recovery to fuel occupation and salaries in Lombardy, hence the house prices will rise fast.

The index developed by Ubs to monitor the real estate prices of cities worldwide shows great increases for Amsterdam, Frankfurt, and Munich. London is still risking a property bubble, even though the risk level has lowered compared to the period before the Brexit referendum. Zurich and Geneva in Switzerland appear to be moderately overpriced.

 

Source: http://www.wallstreetitalia.com/ubs-immobiliare-e-sopravvalutato-ovunque-eccetto-in-questa-citta/

Translator: Cristina Ambrosi

 

The trend for 2017 of the property market

 

2 October 2017

The performance of the real estate market continues to excite the operators that are seeing good numbers for the current year.

According to the latest figures from the Revenue Office, it was reported a recovery of purchases during the second quarter of 3.8% compared to the same period of last year. This result signals a +6% in the statement for the first 6  months with a consequent increase in the big cities, except for -0.5% in Bologna.

The provinces with the highest growth are once again Milan (+8.3%) and Rome (+7%), the trend also favours the reduction of the times to close a deal. Buyers find an ally in the low rates of mortgages. The decrease in the number of mortgage loan applications is due to the natural depletion of subrogation that has occupied a good share of the market in the past few years.

A survey by Corriere Economia has found out the areas of the eight biggest cities in Italy where sales are particularly dynamic. In Milan, the best performance was recorded by the Ortles-Spadolini-Bazzi area, a territory that has developed thanks to the requalification of the former Iveco plant and to the recent Symbiosis project by Beni Stabili. There will be further improvements in the future thanks to the reconversion of the Porta Romana train station. The southern part of the city will benefit from the energetic requalification of some apartment buildings and public buildings through the use of groundwater and the extension of the car and bike sharing facilities with new stations.

In Rome, the best result was recorded by Cinecittà Est, an almost suburban area built in the 70es which is currently undergoing an urban intervention process to improve it. Then there is Spina 3 in Turin, the most extended post-industrial requalification project of the city.

 

According to the experts, the market will consolidate in 2018, but there are two factors that might influence negatively on the recovery: taxation, which curbs purchases for investment, and the low returns, for 40% of the buyers these do not exceed 1,800 euro per month.

For what concerns prices, the research carried out by Tecnocasa shows that prices have finally stopped to drop.  Explains Fabiana Megliola, responsible for the Research Department: “Prices in the big cities have fallen in the first half of the year only by 0.4%. This is the most contained negative variation since the crisis started and it makes us believe that stability and recovery of prices are close”. The big provinces have even seen some positive variations, like Bologna (+1.1%), Milan (+1.0%), Naples (+0.7%), and Verona (+0.5%), while Rome (-0.7%) and  Genoa (-3%) are still falling.

The analysis by Corriere Economia regarding the last three years shows that in Turin there are only three neighbourhoods with positive figures (all  medium-high level), with Corso Moncalieri reporting the highest variation with +14.3%. Naples has been one of the most impacted cities by the price crisis, except for the area of Fuorigrotta. Price plummeted for more than 30% not only in Sanità and in Pianura, but also in the most prestigious parts of the province such as Posillipo. Whereas Genoa registered only negative figures, with Voltri reporting only -6.3% and Pegli over 30%. Finally, in Florence, the centre has registered a good performance with +16.8% thanks especially to the demand of houses to be converted into touristic residences.

Talking about tourism, the market in tourist destinations is growing. In this segment, prices are continuing to drop due to the excess of demand and the weight of taxation and management costs that push landlords to sell. According to the Fimaa Nomisma Observatory, prices have fallen by 2.5% on yearly basis with the worst performance registered in Abruzzo with -6%. Reductions have been reported also in the most popular destinations like Forte dei Marmi (-4.4%), Santa Margherita Ligure (-4.3%), Sorrento (-4%), and Madonna di Campiglio (-3.4%).

For whom might be interested in buying a house, it’s possible to make a simulation on MutuiOnline.it to fund part of the expense. Supposing a customer from Agrigento who wants to apply for a loan of 145 thousand euro ( the value of the house is 300,000 euro and the repayment schedule is 20 years), the most convenient option with a fixed rate is from Credem. The monthly instalment is 639.21 euro with a 0.57% rate and an annual percentage rate of 1.06%. The expenses are arrangement fees for 1,450 euro and appraisals for 280 euro. The maximum loan-to-value percentage is equal to 50% of the appraisal value carried out by professionals referred by the bank.

 

Source: http://www.mutuionline.it/news/mutuionline-informa/00019086-mercato-immobiliare-il-trend-del-2017.asp

Translator: Cristina Ambrosi

Real estate: recession is over

 

30 September 2017

The market is dynamic, the times for closing a deal have reduced, demand is growing while the offer is reducing: these are all signals of a recovery of the property sector. Unlike the reports of the previous months, this is not a mild recovery, rather an actual restart. Certainly, it will take time before returning to the pre-recession wealth, but this doesn’t discourage the operators since the golden age of real estate had then turned into a “property bubble”. This time, a more conscious trend makes hope for a more solid recovery.

The 2018 European Outlook by Scenari Immobiliari, that took place on 15th and 16th September in Santa Margherita Ligure analyse the Italian and the European markets. In the words of the president Mario Breglia, there is all the enthusiasm for this recovery: “the recession is over in Italy too, even though the recovery appears more delicate due to some structural weaknesses of our country”.

It’s not only the real estate market performing well, it’s the economic context on which it depends. Italy is now in better shape, there is a new trust among consumers, now more open towards banks, creating a virtuous circle for a consumer credit market that is booming. According to Eurofinas, the European association of the companies operating in the consumer credit sector, in 2016 the growth rate for loans in Italy was +15.6% and +11% in Europe.

It’s a fact that the Italian property market has grown in the last 17 years (from 2000 till today)by almost fifty percent, 30% more than the European average, and the outlook for the next year is an additional 6.5% in the residential market. The expectations are justified by a widespread recovery regarding all the countries in Europe, where a growth of 6% is expected for next year, with peaks of 10% in Spain and France and prices rising by 4% in Germany and Spain.

However, prices are still a delicate matter in Italy, with Genoa registering in the first semester of the year -3.0% and Rome -0.7%, while Milan reported +1%, showing a more thriving market compared to the average of the rest of the country. Despite this, prices are falling on the overall and the phenomenon regards big cities, registering -0.4%, the hinterland with -1.1%, and provincial capitals with -0.8%.

The times to complete a sale are performing better. After they fell by 6% between January and March, times for the first half of the semester are set at 141 days for big cities, 162 days for the hinterland, and 167 days for provincial capitals.

Good news also for requested prices. The lowest price range has increased, reaching 119 thousand euro according to the figures of Osservatorio Immobiliare 2017 by Teconocasa.

 

Source: http://www.mutuionline.it/news/mutuionline-informa/00019075-immobiliare-la-crisi-e-alle-spalle.asp

Translator: Cristina Ambrosi

Investments are growing in Europe, decrease for Italian logistics

 

The commercial property market has been particularly dynamic in Europe in the first semester, despite an uncertain economic and political context. The offer struggles to supply a consistently growing demand, especially for large sized buildings.

Rentals remain stable in the whole continent, with minor changes in some regional markets but nothing on a large scale. These figures come from the BNP Paribas survey regarding the logistics market in Europe.

Italy sees its investments in commercial properties growing by 44%, going from 3.43 billion in the first semester of 2016 to 4.94 billion euro in the first half of the current year. The logistics segment is instead decreasing losing 25% of the investments, going from 194 to 145 million.

 

Source: http://www.monitorimmobiliare.it/crescono-gli-investimenti-in-europa-in-calo-la-logistica-italiana-report_20179271231

Translator: Cristina Ambrosi

Great recovery for the residential market in Milan. “A 5 year period of expansion is beginning”

 

Sales have risen by 8.3% over six months. Rentals are also doing well, they’ve increased by 7.4 in one year

“2017 signs a new phase for the real estate market of Milan. In fact, the trend for the next 5-7 years will be positive, especially for the residential market”. Comments Vincenzo Albanese, FIMAA (the Italian federation for business agents and brokers) for Milan and Monza-Brianza. Sales have grown by 8.3%  compared to the same period of the previous year, reaching a volume of 11,842 transactions. The rental market is also growing with an increase of 4.4 percent compared to the previous month and with a growth of value of 7.4 percent on yearly basis. The figures come from the last report from the Milan and Monza-Brianza Chamber of Commerce.

PRICES

House prices have risen by 0.3 percent for newly constructed properties, by 0.2 percent for new and renovated apartments, and by 0.1 percent for the old ones or needing renovation.

In the first semester of the year, the prices for new houses of energy efficiency class A-B have registered an average price of 4,818 euro per square metre, slightly below that of ten years ago (-2.2%). Prices in the city centre are rising (+0.4%), as well as in the Cerchia dei Bastioni area and in the suburbs (both +0.3%). The “circonvallazione” area remains substantially unchanged with prices rising only by 0.1 percent.

SALES

The outlook for the entire 2017 is positive. The FIMAA survey sees an increase of 6 percent for the transactions for an absolute value of 600 thousand per year, equal to 100 billion euro turnover. The times to close a deal are reducing setting around one month. The most requested apartments? Those between 50 and 85 square metres (43%) and between 85 and 115 square metres (22%), one-room apartments are ignored”.

According to Albanese, the so-called “property bubble” is definitely behind. That means: transactions have gone back to the 2006 values. “Not only, there won’t be any spikes in the prices compared to the past, instead, we’ll go towards a consolidation of the market on a number of important transactions”.

RENTS

Good news also for the rental market, which looks like being very active, with an average increase of prices for all the types of apartments. Rents for one-room apartments have risen by 4.4 percent, by  4.3 percent for two-room apartments, and by 4.5 percent for three- and four-room apartments. According to Albanese, “ a new market niche is rising, that of short-term rentals, mostly for students and for people coming to the city to work for a period of time from six months to one year. However, we need a regulation in order to reduce the off-the-books rents”.

 

Source: Il Giornale

Translator: Cristina Ambrosi

World Capital, the logistics market has grown in the first semester of the year

 

World Capital, sponsored by Nomisma and in collaboration with Assologistica and professor Fabrizio Dallari, has presented the figures concerning the national logistic property market for the first half of 2017. The analysis shows the market consistently growing, reaching approximately 700 million euro in the only Italian territory.

The logistics property market

For the first semester of the year, the rentals have been substantially unchanged compared to the previous semester, except for the new properties in the north of the country (built in the last ten years or redeveloped)that grew by +4%. The cities on top of the list are Genoa (62 €/Sq m/year)and Milan (55 €/Sq m/year), followed by Rome (56 €/Sq m/year) and Catania (46 €/Sq m/year). For what concerns the rentals of used properties, the highest values were registered in cities such as Florence and Milan (50 €/Sq m/year), Rome (48 €/Sq m/year), and Genoa (47 €/Sq m/year).

Regarding the dimensions, the most requested properties were above 5,000 Sq m with 53% of the total, followed by spaces comprised between 1,000 and 5,000 with 35%, while only 12% requested spaces below 1,000 Sq m.

Concerning the credibility of the sector, the logistics property market confirms its steady growth, with total investments amounting to 700 million euro only in Italy. The increasing interest of the investors for logistics properties and the competition over the quality assets in the best location and with reputable tenants were factors for the yields to reduce. The most significant variations were registered in Milan and Genoa. In fact, the net returns in Milan for the first semester have been between a minimum of 6% and a maximum of 7.2%, whereas in Genoa the range varies from 6.4% to 7.5%.

The totality of the logistics assets covers a surface of about 34,700,000 Sq m, 75% of which is represented by properties for logistics purposes, with a surface of 26 million Sq m.

Considering the total national stock, covering 26 million Sq m, 64% is located in Northern Italy, more precisely in the North-West, with a total of approximately 11,700,000 Sq m, followed by the North-East with about 6,100,000 Sq m. The remaining stock is in the Centre with approximately 4,600,000 Sq m, the South with approximately 2,760,000 Sq m, and the Isles with 800,000 Sq m. Lombardy is the region with the highest concentration of surfaces for logistics use with 9 million Sq m (39%). Together with Lombardy, Emilia-Romagna, Lazio, Piedmont, and Veneto accommodate 74% of the total national assets. At a province level, Milan is in the first position, registering 16% of the total stock of logistic properties.

“In the first part of the year we have reported a positive trend and the interest of the investors for the logistics real estate market, supported by an increasing demand by the operators of the logistics sectors, – states Neda Aghabegloo, responsible for the World Capital Research and Advisory Department – the investors don’t only focus on the rental of new warehouses, with surfaces over 5,000 Sq m, but they also participate in the development of new ones, which in 80% of the cases are built  according to specific requirements, the so-called “built-to-suit”.  Besides, the absorption of the market has increased. Finally, innovation and e-commerce are changing the supply chain which is gradually becoming a demand chain.”

 

Source: https://www.idealista.it/news/immobiliare/locali-commerciali/2017/09/22/124059-world-capital-cresce-il-mercato-logistico-nel-primo-semestre-dellanno

Translator: Cristina Ambrosi

Tecnocasa: prices reducing for touristic properties

 

In the first half of 2017, prices of real estate properties have seen a contraction compared to the previous semester. The figures by Tecnocasa show a fall of 0.7% in the beach and mountain destinations, and of 0.8% in the lake ones.

Concerning beach destinations, the best performances have been registered in Sicily where the prices have risen by 1.6%, followed by Emilia Romagna (-0.2%), Campania (-0.4%), Sardinia and Liguria (-0.5%). The variation was sharper in Tuscany (-4.0%) and in Veneto (-2.7%).

For what concerns mountain destinations, in Valle d’Aosta prices have fallen by 0.5%, while Piedmont has registered the biggest contraction with 1.5%.

In lake destinations, the towns on the Verona side of Garda lake have remained substantially unchanged. The Brescia side of the lake has instead reported a fall of 0.2%.

Analysing the sales mediated by Tecnocasa and Tecnorete in the first semester of 2017, it turns out that the favourite type of holiday house is the three- bedroom apartment, followed by detached and semi-detached houses. Two-bedroom apartments are also doing well with 24.26% of the total transactions.

House buyers are mostly people aged between 55 and 64 (30.4%), followed by the age range comprised between 45 and 54 years (27.9%), and between 35 and 44 (21.2%). They’re mainly couples and families.

 

Source: http://www.monitorimmobiliare.it/tecnocasa-prezzi-in-calo-per-l-immobiliare-turistico-tabelle_20179251255

Translator: Cristina Ambrosi