Italy Condominiums and Apartments Market Size (2024 - 2029)

The market size of the Italy Condominiums and Apartments sector is experiencing notable dynamics influenced by various factors, including the aftermath of the COVID-19 pandemic. While the pandemic initially disrupted construction and property transactions, the subsequent relaxation of lockdowns led to a market resurgence. Despite challenges such as rising prices, economic downturns, and political unrest, the demand remains high, contributing to a steady market state. The impact of inflation on property prices has been significant, with real estate values showing varied adjustments across different regions, particularly in major cities like Milan and Venice.

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Market Size of Italy Condominiums and Apartments Industry

Italy Condominiums And Apartments Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR 6.50 %
Market Concentration Medium

Major Players

Italy Condominiums And Apartments Market Major Players

*Disclaimer: Major Players sorted in no particular order

Italy Condominiums & Apartments Market Analysis

The size of Italy Condominiums and Apartments market is USD 7.2 billion in the current year and is anticipated to register a CAGR of over 6.5% during the forecast period.

  • The Apartments and Condominiums markets were impacted by the COVID-19 pandemic in several ways. On the one hand, lockdowns and the increased use of remote working practices are expected to increase the demand, and accommodative monetary policies are anticipated to improve its affordability. The economic downturn and increases in unemployment are expected to weigh negatively on demand. Due to lockdowns, most of the construction activity and property transactions came to a halt during the pandemic. In 2021, as soon as the lockdown relaxation took place, the apartment and condominiums market surged.
  • The steady state of the Italian housing market is due to the high demand. But the situation is now dire due to rising prices, a declining economy, continued political unrest, and the negative effects of Russia's invasion of Ukraine.
  • According to real estate portal Idealista, national property prices increased by a negligible 1.4% to an average of EUR 1,827 (USD 1,868) per square meter (sq. m.) over the year leading up to Q2 2022. Inflation-adjusted, house prices actually decreased by 6%.
  • In Q2 2022, the average price of a residence in Rome, the capital and largest city of Italy, was EUR 3,008 (USD 3,074) per square meter, up barely 0.9% from the previous quarter but down 6.5% when adjusted for inflation.
  • The most costly housing in the nation is found in Milan, Bolzano, and Venice, where typical house prices currently stand at EUR 4,828 (USD 4,935), EUR 4,479 (USD 4,580), and EUR 4,394 (USD 4,493) per square meter, respectively.
  • According to the most recent data from the National Institute of Statistics (ISTAT), the national house price index increased overall by 4.6 percent from Q1 2022 to Q1 2023, but declined by approximately one percent when adjusted for inflation. In the same time frame: The price of new homes increased by 4.98% (-0.66% inflation adjusted), Existing home price increases were 4.51% (-1.1% adjusted for inflation).
  • According to the national listing portal Idealista, Milan, the second-most populated city in Italy, has surpassed Venice as the most expensive city in the nation, with an average property price of EUR 4,828 (USD 4,941) per sq. m. in June 2022, up 5.7% from a year earlier. The average housing price in Venice, the "City of Canals" and one of Italy's most gorgeous towns, dropped by 1.3% year over year to EUR 4,419 (USD 4,522) per square meter during the same time frame.

Italy Condominiums & Apartments Industry Segmentation

A private residence in a building or house divided into several separate dwellings is known as an apartment. A condominium (also known as a "condo") is a large property complex made up of individual units owned separately. Typically, ownership includes a nonexclusive interest in certain "community property" managed by the condominium management. A complete background analysis of the Italy condominiums and apartments market, including the assessment of the economy and contribution of sectors in the economy, market overview, market size estimation for key segments, emerging trends in the market segments, market dynamics, and geographical trends, and COVID-19 impact, is covered in the report.

The Italy condominiums and apartments market is segmented by Key City (Rome, Milan, Venice, Florence and Other Cities). The report offers market size and forecasts for the Italy Condominiums & Apartments market in value (USD billion) for all the above segments.

By Key City
Rome
Milan
Venice
Florence
Other Cities
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Italy Condominiums and Apartments Market Size Summary

The Italian condominiums and apartments market is experiencing a dynamic phase, influenced by various economic and social factors. The market, valued at several billion euros, is projected to grow steadily over the coming years. The COVID-19 pandemic initially disrupted the market, causing a halt in construction activities and property transactions. However, demand rebounded as lockdowns eased, driven by remote working trends and supportive monetary policies. Despite this recovery, the market faces challenges such as rising property prices, economic downturns, and geopolitical tensions, notably the impacts of Russia's invasion of Ukraine. The Italian housing market remains robust due to high demand, but inflation-adjusted prices have shown a decline, indicating a complex interplay between demand and economic conditions.

The market is characterized by a fragmented landscape with numerous local, regional, and global players, including prominent companies like Salini Costruttori SPA and Impresa Pizzarotti & C. SPA. The demand for affordable housing and multi-family residential real estate is a significant driver, prompting existing players to invest strategically in these segments. The rental market presents challenges due to regulatory constraints and a predatory taxation structure, which affect profitability for landlords. Despite these challenges, the market continues to attract investment, as evidenced by recent acquisitions and expansions by key players. The ongoing demand for residential properties, coupled with strategic investments, is expected to sustain the market's growth trajectory in the coming years.

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Italy Condominiums and Apartments Market Size - Table of Contents

  1. 1. MARKET INSIGHTS AND DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Market Dynamics

      1. 1.2.1 Market Drivers

      2. 1.2.2 Market Restraints

      3. 1.2.3 Market Opportunities

    3. 1.3 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.3.1 Bargaining Power of Suppliers

      2. 1.3.2 Bargaining Power of Consumers/ Buyers

      3. 1.3.3 Threat of New Entrants

      4. 1.3.4 Threat of Substitute Products

      5. 1.3.5 Intensity of Competitive Rivalry

    4. 1.4 Industry Value Chain Analysis

    5. 1.5 Technological Trends in the Market

    6. 1.6 Government Regulations and Initiatives in the Industry

    7. 1.7 Insights into Construction Costs

    8. 1.8 Impact of the COVID-19 on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Key City

      1. 2.1.1 Rome

      2. 2.1.2 Milan

      3. 2.1.3 Venice

      4. 2.1.4 Florence

      5. 2.1.5 Other Cities

Italy Condominiums and Apartments Market Size FAQs

The Italy Condominiums and Apartments Market is projected to register a CAGR of greater than 6.5% during the forecast period (2024-2029)

Salini Costruttori SPA, Impresa Pizzarotti & C. SPA, Sicim SPA, C.M.B. Societa' Cooperativa Muratori E Braccianti Di Carpi and Rizzani De Eccher SPA are the major companies operating in the Italy Condominiums and Apartments Market.

Italy Condominiums and Apartments Report Snapshots

ITALY CONDOMINIUMS AND APARTMENTS Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)