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Prices for declining Italian homes

The number of transfers of real estates in our country is definitely down, and even now the prices are showing some downhill. The figure emerges from the Report on the property market in 2009 Nomisma, which stresses how the estate of the value of Italians, when compared with other countries, would still be substantial.

According to the source from the sun 24 hours, the prices are falling for the second consecutive semester. For homes declined in the first six months of the year by 2.5% (they had already reduced by 1% at the end of 2008), a decline that translates into a -3.5% on an annual basis whereas change in average prices in thirteen different areas ranging from -4.1% to -0.2% in Venice city of Cagliari. Even if the reduced value of property in Italy is lower than in the world market, it is remarkable when one considers the historical trend: it analyzes the housing segment, the decline in the last six months is as high as 25 semesters (that is from before 1997, when he ended the previous critical phase of the Italian market) and the third since 1994. This year, forecasts suggest that housing prices may be lower than the 6-8% over the previous year. In 2010, the end of which, according to the macroeconomic forecasts, GDP is expected to return to grow, prices could suffer further decline (-2-3%). Only in 2011 the housing market will again grow.

Last year, the Trading recorded a decline of 14.8% on an annual basis in the first quarter of 2009 in Italy the average reduction was 18.7% compared with the first three months of 2008. The difficulties in the placement of buildings of each type is found in the average selling time dilation (came to 6.1 months for homes to 7.6 months for offices and 6.8 for the stores) or any lease, but also in increasing the discount obtained during the negotiation. Among the developers, however, it can breathe a cautious optimism: they estimate the lowest point of the housing market, in terms of trading, there was everything else, and the operators reported a return to the acquisition, with the ability to pay lower prices and discounts than ever before. In 2009, therefore, the trading volume could settle at around 600 thousand households (there were 686mila in 2008), nearly 250 thousand homes in less than the value reached before the crisis in 2007 (with a trading volume in 2006 amounted to 845,000 households). In terms of revenue the property will generate in Italy with respect to the transactions, some 110 billion Euros, a decline of 30% compared to 2007 (154 billion), the year in which trading has reached its maximum value, to begin then to decline.

Source: IlSole24Ore

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