Here is the fatal question: is buying a home in Italy a good investment right now?
OECD tries to illuminate our path! According to the recent analysis of the housing market in member countries carried out by the authoritative Organisation for Economic Co-operation and Development, it turns out that we can identify 3 different categories of places where purchasing a home.
Bargains can be found in Japan, which is the cheapest market within the OECD, whereas in Europe are Portugal, Greece, Ireland and Germany which are undervalued. On the contrary UK, France, Norway, Belgium and Holland, as well as Canada, Australia and New Zeland are overpriced.
Italyâ€™s houses are affordable
But where is Italy? Between these two zones, in the same boat as Spain and US. This means that buying a property in the Bel Paese has a good value for money. Indeed many people think Italy is too expensive, but that’s only a urban myth.
This is the first reason why home hunters can own a valuable property in one of the many wonderful locations of the boot-shaped country at very affordable prices, especially nowadays when after the doldrums a house can coast you a further 5.3% less than 2013. As a matter of fact from 2008, the annus horribilis for the global financial market which represents the beginning of the crisis, prices decreased by 20-25%.
Mortgage interest rates are reducing
Secondly, if you need to get a loan now it could be a little bit convenient too. Mortagage interest rates are slowly reducing according to the Bank of Italy data that registered an average Taeg (interest rate applied) equal to 3.6% compared to the 3.9% of the previous year.
Due to these favourable contingencies sales rose by 4.1% during this first semester of 2014 according to the Italian Revenue Agency.
Italy is a safe investment
Thirdly, Italy is a safe investment. IMF â€“ International Money Fund â€“ warns over housing bubble risk concerning some emerging countries, such as China and Brazil, but also Australia, Canada, Norway and UK especially. This is due to their overpriced property market, as previously said, and the politic of low interest rates applied by their central banks. For Italy this risk doesn exist.
So the Italian dream is always more safe and accessible!