old habits die
Tecnocasa published data from new research that concerns the Italian real estate market. The situation is quite clear: the average cost of rent is growing a bit 'all over the country, while personal loans continue to offer very attractive terms. Despite this, the percentage of Italians who prefer to rent rather than buy the home is growing. It might appear a certain paradoxical, but in reality it is not.
The study, based on data from the last six months, it shows that many consumers are unable to access the credit market. The hardest hit are in this case young people, students, workers out of the office and the single income. In these cases the rent is therefore the only possible solution for those looking for a first home, or a property to be used for work activities.
As noted by Tecnocasa with analyzes performed in the big cities, in the first six months of 2019 the cost of rent has increased by an average of 2.3% for apartments and 1.8% for two and three. Interestingly, the increase has been registered on all bands object of analysis, involving consequently almost the entire market.
Bologna and Milan are the cities with the largest increases, considerably higher than the average cost. To Bologna it comes to a + 5.6% for studios, up 4.6% for two and a considerable 6.7% for apartments. Negative the situation of tenants in Milan, where the figures speak of a + 6.1% for studios, up 4.2% for apartments and 5.3% for apartments.
As you can guess, the increase in prices is - at least partially - from the housing market recovery. The cost of housing is increasing, which is why many owners now prefer to sell their property rather than insisting on rents.
Add to that some reduction in the number of homes available for rent, caused mostly by so-called tourist rentals. Find a home in the long run you then end up with less supply in the market, while demand remains unchanged.
All this happens at a time when the loan guarantee very attractive conditions, as we saw in a previous article. Also interesting is the phenomenon of so-called green loans, offering interest rates often lower than those of conventional loans, allowing you to build a house from scratch with funding to cover 100% of the expenditure required, up to 100,000 euro.