October 2024 There is a turning point for the Italian real estate market. new generations, Millennials And dominate the scene with GenZ, a Boom in mortgage applicationsdriven by falling interest rates and greater confidence in future stability. City of Roma e Napoli lead the ranking, describing a clear geography of recovery that is influenced by years of growth per square meter in some of the Italian capitals.
Who buys houses: New generations are coming.
New generations are conquering the real estate market. Data of Experienced Italy Show that 66% of mortgage applications submitted in October 2024 came through. Millennials and GenZ. Compared to the same period in 2023, applications of Millennials They grew up 71%while a jump was recorded among GenZ youth.87%.
This growth is fueled by several factors: falling interest rates, increasing familiarity with digital channels for applying for financing and the need for housing stability. The average amount requested is approx. 123 thousand eurosa lower figure than in the past, reflecting both a greater focus on spending and the economic prospects of younger buyers.
A recent Numisma report revealed that for many Italian families it is becoming increasingly difficult to buy a home, with 2 out of 3 making it virtually impossible.
Where to buy a house: Applications boom in Rome and Naples
City of Roma e Napoli The real estate boom is the protagonist. Naples has recorded an increase in applications. 140%while Rome follows with a remarkable +72% Compared to 2023. This trend is linked to both structural and contingent factors.
In fact, Rome benefits from market-linked yeast. Jubilee 2025which stimulates real estate transactions and increases confidence in the sector. Naples, on the other hand, is seeing a relaunch thanks to trade campaigns and initiatives promoted by credit institutions to ease access to mortgages.
However, in general, in the centre-north, regions such as Lombardy, Veneto, Tuscany and Lazio still remain references, 16% etc 12% of total applications respectively.
An example of mortgage pricing
Falling interest rates are one of the main drivers of the boom. In October, the average mortgage rate stood at 3.33%well down 5% Registered in 2023. This makes mortgages more accessible and stimulates both new applications and subordination of existing mortgages.
For example, for a mortgage of 130 million eurosWith a tenure of 25 years and a fixed rate 3.83%Scheduled to begin in 2024, today’s subrogation may save. 22 thousand euros. Represents this type of operation 35% of mortgage applications registered in October.
Italian families are seizing the moment to manage their debt more sensibly. In the face of growing demand, banking institutions are becoming more open, extending credit to traditionally disadvantaged categories, such as the self-employed and workers on fixed-term contracts.
The growing interest in the real estate market and positive signs from the younger generations represent a wind of change for the sector, which finally seems to be regaining momentum after years of difficulties.
