According to the latest Eurostat figures, house prices in Europe continue to rise, but Italy is growing more slowly than its neighbours. In Q2 2025, the House Price Index (HPI) rose by an average of 5.1% in the euro area and 5.4% across the European Union compared with the same quarter in 2024. Quarter-on-quarter growth was 1.7% in the euro area and 1.6% in the EU. Italy, meanwhile, shows positive but more moderate increases.
Italy compared with the European market
Italy’s property market remains on an upward trend, with prices up 3.9% year-on-year and 0.6% from the previous quarter. While this growth reflects a steady market, it is below both the EU average (5.4%) and the euro area average (5.1%). Key figures:
- Quarterly change (Q2 2025 vs Q1 2025): +0.6%
- Annual change (Q2 2025 vs Q2 2024): +3.9%
This means Italy offers a more stable property market, with growth that is consistent rather than speculative—appealing to foreign buyers looking for long-term investment rather than short-term gains.
Why prices are rising in Italy
Rising property prices can be driven by stronger demand than supply—particularly in popular areas—or by higher construction costs and regulatory factors. In Italy, territorial restrictions, planning regulations, and construction expenses all play a significant role.
Trends vary widely across the country: major cities like Milan, Rome, and Florence may see sharper price increases, while smaller towns and rural areas often experience slower growth.
How Italy compares to other countries
Some European markets are seeing much sharper rises. Portugal (+17.2%), Bulgaria (+15.5%), and Hungary (+15.1%) have all recorded significant annual increases. By comparison, Italy’s moderate growth suggests a more stable market, ideal for buyers seeking long-term value rather than rapid speculation.
Bottom line for foreign buyers
For international investors, Italy remains an attractive destination: a diverse property market, steady growth, and iconic locations. Whether looking for a city apartment, a villa in Tuscany, or a coastal retreat, buyers can expect moderate price increases and a secure investment environment.
The 9 most beautiful gardens in Italy you must visit
Every region of Italy is home to breathtaking historic gardens and parks. From UNESCO World Heritage Sites to secret garden islands and historic mazes, here are the best gardens in Italy that you simply cannot miss.
Neighbourhoods with the largest house price increases in Italy’s key property markets
House prices in Italy are generally falling, but some neighbourhoods are seeing sharp rises. Padua’s Mortise-Brenta leads (+41.3%), followed by Milan’s Corvetto-Rogoredo (+24.4%) and Rome’s Trionfale-Monte Mario (+22.5%).
20 houses for sale in Italy with negotiable prices
With the cost of living still high, 2025 might not seem like the easiest year to find a property bargain in Italy. However, with autumn now in full swing, this can actually be one of the best times of year to secure your dream home — and we’ve got expert tips to help you get the best possible price.
Selling a house in Italy: how estate agencies work
Selling a property in Italy can be complicated, especially if you’re not familiar with local procedures. Using an estate agency can make the process much smoother, helping you navigate legal requirements, paperwork, and negotiations.
Rome vs Milan: how house prices are evolving in 2025
If you’re considering buying property in Italy, Rome and Milan remain two of the most dynamic markets — each offering a very different picture for buyers. According to the latest idealista price report for the third quarter of 2025, house prices continue to rise, though at varying rates and patterns across districts and provinces.
Second-hand homes in Italy: where prices are rising and falling in 2025
The Italian housing market has seen a small slowdown in the third quarter of 2025, with the average price of second-hand homes falling 0.7% to €1,815 per square metre. Compared with last year, prices are down 1.9%, while September alone saw a 1% drop.
Puglia real estate 2025: rising demand for holiday homes, trulli and new-builds
Puglia has become one of the most attractive regions in Italy for real estate investment. According to recent data from Re/Max, both international buyers seeking luxury properties and investors looking for more affordable homes to rent out as holiday accommodation are driving the market. This strong demand is reducing the availability of long-term rental properties, which particularly affects students and professionals relocating to the region.