Property prices in Italy are falling, with Veneto experiencing the steepest decline at 8.5%, according to the latest data. However, the drop in prices has been countrywide with every region affected.
Valle d’Aosta (-7.9%) and Marche (-6.9%) also recorded substantial drops, while traditionally stable markets like Trentino-Alto Adige (-6.6%) and Emilia-Romagna (-6.3%) have not been spared.
Despite the widespread downturn, some regions are holding up better. Campania has seen only a slight decline of 1.1%, with Tuscany and Molise registering minor dips of 1.3% and 1.7% respectively. These areas remain below the critical 2% threshold, indicating relative market stability.
Molise has bucked the trend entirely, recording a 3.3% increase in property values year-on-year. Experts attribute this to the region’s appeal as a quieter, less congested alternative to major cities, attracting new interest from buyers and investors.
Calabria (-0.1%), Campania (-0.2%), and Abruzzo (-0.3%) also showed minimal year-on-year declines, suggesting resilience amid broader market pressures. Meanwhile, Valle d’Aosta (-5.5%), Marche (-4.6%), and Basilicata (-3.2%) experienced more significant losses, reflecting structural weaknesses that could take time to resolve.
Economic uncertainty a factor in drop in property prices
According to eXp Italy, rising mortgage interest rates, inflation, and economic uncertainty are key factors behind the slowdown. Additionally, increased property supply in some areas — driven by speculative selling or reduced demand for second homes — has further pressured prices.
Looking ahead, market recovery will depend on interest rates, economic stability, and consumer confidence. If rates stabilise or decline, a partial rebound in property values could occur in the second half of 2025. Until then, Molise stands out as a promising market for investors seeking emerging, less saturated areas.
