What can prospective homebuyers in Italy anticipate for the upcoming year? What will be the average price per square meter in the next 12 months? As it does annually, Immobiliare.it Insights, a proptech company within the Immobiliare.it group, has assessed the 12 major Italian cities (Bari, Bologna, Catania, Florence, Genoa, Milan, Naples, Palermo, Rome, Turin, Venice, and Verona) to predict the market trend for the new year: expectations indicate rising prices per square meter nationwide, both for buying and renting.
Home purchasing in 2025: what prices should be anticipated?
The forecast, derived from a predictive algorithm with a low margin of error that enables price projections for the next 12 months, suggests increasing prices across the board. The most affected are Genoa, Bologna, and Verona, which by November 2025 will experience increases of +8.4 percent, +7.8 percent, and +7.6 percent, respectively.
In Genoa, an average budget of 1,806 euros/sqm will be required, nearly 150 euros more than the current 1,660 euros/sqm. In Bologna, an additional average of 280 euros/sqm will be needed, rising from the present 3,600 euros/sqm to over 3,870 euros/sqm. Increases exceeding 200 euros/sqm are also anticipated in Florence and Verona, although the projected prices per square meter fall into very different ranges: over 4,500 euros/sqm for Florence, about 2,840 euros/sqm for Verona.
Price increases are also expected in the major southern cities: in Palermo, Bari, and Catania, increases will be around +4 percent. In Venice, Turin, and Naples, increases of about 3 percent are anticipated. In 2025, Naples will surpass 3,000 euros/sqm for the first time.
City-by-city prices
Below is the table with the 12 cities analyzed, their relative prices per square meter measured as of November 2024 and those projected for November 2025.
Residential rental property prices have surged across Italy, especially in the Northwest and South. Florence is the second-biggest growth story, with an annual increase of over 10 percent, just behind Milan. Check out the latest data from the monthly Immobiliare.it Insights Observatory on rental trends in November 2024.
Prices are rising across the board.The following table shows the percentage change in rental property prices from the previous month and the past 12 months.
Although rental housing prices in Italy have remained essentially stable everywhere in the past month, if one looks at the past 12 months one realizes that the average per square meter has grown significantly everywhere. Italy's average annual delta is +9.3 percent, with peaks in the Northwest and South of 11.6 percent and 9.8 percent, respectively.
The following table represents the percentage change in the price of rental properties in the last month (last monthly over previous monthly) and 12 months (last month over previous year's monthly).
Real Estate Investment During Inflation
Investing in real estate is undoubtedly one of the best options available when inflation is a factor. Investing in real estate is an excellent way to protect your assets during inflation.
The real estate market consistently generates stable and steady returns, significantly boosting an investor's profit. When inflation hits, the price of real estate tends to rise, making the investment even more profitable.
Investing in real estate is undoubtedly one of the best ways to safeguard your assets during inflation.
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