The Italian real estate market

With its beautiful countryside and sea port getaways, Calabria, Italy has long been a favorite vacation destination with travelers across the world. The region’s increasing popularity with tourists’ makes Italian real estate a prime opportunity for investors in The South of Italy. Calabria is located in Southern Italy, where it juts out into the Mediterranean, Ionian, Tyrrhenian, and Adriatic Sea. Calabria is blessed with it’s natural beauty also the longest stretches of beaches shaded by the incredible mountainous and green countryside’s of La Sila,” Italy’s largest national park”. Calabrian homes and apartments along the Lamezia coast or in the relaxed country settings that tourists favor have the potential to provide substantial rental income.
In 2006, Italy ranked fifth on the World Tourism Organization’s list of top tourist destinations, with 41.1 million international arrivals. Southern Italy, in particular, has been of great interest to vacationers. Italy shares borders with Austria, France, San Marino, Slovenia and Switzerland. Italy occupies a total of 301,230 square kilometers, making it just slightly larger than the U.S. state of Arizona (295,260 square kilometers). The peninsula is home to an estimated 58,147,733 people as of July 2007, according to the CIA World Fact book.

Why Calabria real estate?
The flourishing tourist industry in Calabria, Italy provides a strong potential rental market for investors looking to buy overseas. Calabria's exquisite cultural patrimony, evocative countryside and history all combine to preserve the value of Italian real property,” Donald J. Carroll, Esq.—special counsel to and member of Pirola Pennuto Zei & Associati in Rome and vice co-chair of the ABA Committee on International Investment in Real Estate.
“Among Europe’s main destinations, Calabria, Italy was by far the best performer in 2007, Arrivals were up 12 percent at the Lamezia Terme International Airport, following an excellent winter season at the start of the year,” according to a World Tourism Organization report.
U.S. investors don’t need to worry about restrictions on property ownership because of their citizenship status. Foreigners enjoy the same property rights as Italian citizens, according to Marco Pessi, a partner with McDermott Will & Emery located in the Rome office. Foreign nationals can now have a 11 percent purchase registration tax reduced on the sale once it has been completed; this matches the Italian citizens who paid a 4 percent tax. In 2008 the new Italian Government under the returned leadership of Berlusconi has eliminated the registration tax for First home purchases.
“After 10 years of significant run-up in prices in major markets and sought-after country properties, prices now have leveled,” according to Carroll. Properties in both rural and urban areas can prove profitable, though Property-Abroad.com states that properties in rural regions of Italy have been especially popular in recent years.
Apartments are a popular choice when purchasing property in one of the larger cities, such as Rome or Milan. Apartments in areas such as Sardinia, Venice, Sicily, Milan and Florence are all popular among foreign investors, according to Property-Abroad.com. For those looking to cash in on the tourist industry, Carroll said that areas such as Calabria, Sicily, Puglia and Campania are particularly more attractive for investment.
Cost varies by location. Prices in Milan range anywhere from €8,000 per square meter for a city apartment to €24,000 per square meter for a penthouse with luxuries such as a terrace and swimming pool, according to a report from real estate agents Immobiliare Terelli & Partners. In Calabria “Prices, which have been rising as much as 20 percent a year, still seem reasonable, especially to north Europeans but even to Italians from Milan and Turin,” who have been active in purchasing vacation villas in Calabria according to The International Herald Tribune. “Country and town properties are available for as little as €60,000, though for a building of particular architectural interest the starting price is nearer €250,000.” 1200 Euros per square meter a far better investment than our northern cities of Italy.
In upcoming years, Calabria and the South of Italy will remain the focus for investors on adding value to existing portfolios and new investments as this will make more economic sense,” according to Carroll. Pessi, on the other hand, some believe that the future of the property markets in Italy is still too hard to predict in the wake of the subprime crisis. Investors would be wise to continue searching south in Calabria, Italy.

Broker & Land Developer
Frank Tarsitano
www.italysouth.org

Some time ago I conducted an in depth study on tourist flows in Italy. The problem is that a lot of the figures can be misleading, especially in the seaside resorts which rank among the most popular destinations among Italians. This means the the statistics are somewhat skewed.

The other issue is that a cursory check at the Agenzia di Entrate (Annuario del Fisco refers) does not flag up any significant changes in purchase taxes. In fact, the imposte appear to be unchanged and the only thing that the government has changed is the ICI in that only residents purchasing a prima casa no longer have to pay this tax.

In essence, I tend to concur with the view that the future of the Italian property market is still hard to predict and so I feel that it would be misleading to say that investors should be searching in one region instead of another because as you know Frank, investment opportunities should not be evaluated using subjective factors alone because these simplify reality.

__________________
CJ
Magical Marche &
Luchetti & Partners Studio Legale Tributario

CJ
Here is a prefect example of a villa for sale located on the seaport town of Longobardi, Calabria. Where in Italy can you purchase a villa this size with all this amount of land overlooking the sea at such a low price? No where!

A 400 MQ villa a Longobardi a con 6000 MQ DI TERRENO di ULIVETI E ALBERI DA FRUTTA
INCREDIBILE POSIZIONE VISTA MARE OTTIMO PREZZO 270,000 euro.
Check out the view
Dear members
Contact me francotarsitano@msn.com for info on many more villa bargain sales in Calabria the beautiful south of Italy.

Frank, that's not the point. If I were to suggest to clients that they should invest solely on the basis of "bargain" prices, or position overlooking the sea, without carefully considering other important factors (this should form part of the due diligence process anyway), I would not being doing my job properly.

House prices in Italy have, in the main, remained stable up until now, unlike other countries that have been affected by the banking debacle. However, prices in some areas are beginning to fall and there are some good buys to be found throughout most of Italy.

__________________
CJ
Magical Marche &
Luchetti & Partners Studio Legale Tributario

As a foreigner acquiring an Italian real estate property, you have to plan. The result can be not only costly but a critical one. You have to assess many factors, direct and indirect to your options. To start out with your plan, you can check on the property choices from region to region that are available in the Italian market. Compare figs with figs!
A list would be helpful and jotting down notes about your options. You can check the location that you need and the things that you think would be necessary in connection with your decision. If your financial position is not of total independence than as a foreign buyer, I suggest you start with the choice of having a Calabria real estate property. Select a property near an urban city example Cosenza or somewhere not to far from a major city that can provide the necessary amenities required to live comfortably. Also, there are different kinds of homes that can be found and you must ensure that you have these choices considered for example: Vacation home, Permanente home, rental income property, or land. One option maybe selecting a home with enough land that can be used for cultivation, there are many new home buyers in Calabria enter into agricultural agreements with local farmers and share profits from the sale of crops. Also a buyer purchasing a vacation for example may want to consider a home located in an area that can be easily rented out when not using it. There are many fabulous sea port towns located along the amazing Calabria coast that can fill that requirement. There are only a few regions in Italy where these affordable properties with such options can be found. That region is Calabria!
The budget for the property that you will buy is a big factor in determining where in Italy you could live with affordability and comfort. Many foreign buyers are delusional when it comes to choosing a property in the major cities of Rome, Milan, Venice and Florence. The perception for value on there hard earned money is non comparable to properties found in Calabria. You should consider the house size and compare, its environment and its accessibility to other important places. You should remember to choose an area that can make way in getting to your work easily, so that you will not have a hard time going to and from your work. The type of house can be one that is suitable for your family size and the income that you have each month. Also, there are properties that can still meet with your relaxing needs.
Calabria offers the foreign buyer a combination of an urban lifestyle with the pleasures of a resort setting and this type package can not be found in other regions of northern Italy. Carrying costs of a property are also important factors. In Calabria maintaining an average size home is much less expensive on average than most regions of Italy. A foreign buyer would be paying less than $1200 (us) dollars per year in Calabria. Comfort (climate) are also important factors, many seniors would be much better choosing a property in Calabria. Having lived in Calabria where I build and sale new homes, I noticed the Calabrian culture respectfully caters to seniors. As a dual citizen of Italy, Calabria is definitely the clear choice over all regions for foreign buyers. It offers the foreign buyer better value, affordability, comfort and conveniences for a great life.

Italy is, despite problems with its bureaucratic system, is still tops among the world's most desirable destinations, but let's put the property market into perspective.

1) the global economic slowdown has affected the Italian property market, albeit in a subtle way.

2) the credit crunch has had a moderate impact on sales

3) Sales in the non provincial capital cities declined much steeper than in the provincial captials (this excludes the high end luxury market where properties are still in much demand)

4) The best performing markets are the north-east (Veneto) and the centre (Toscana)

5) The market in the north has been the worst hit

6) International buyers have become more selective and more cautious

7) The market is currently a buyers market, although don't expect vendors to drammatically lower the asking price

8) Beware of bargain basement offerings

9) Always carry out a thorough due diligence

10) Never sign documents or hand over money until you fully understand your legal rights and protect your position

__________________
CJ
Magical Marche &
Luchetti & Partners Studio Legale Tributario

Really great set of information CJ... Thanks for that...

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Italy Property Investments

Italy Real Estate

The best performing real estate markets are in the provinces of Calabria.
A recent report from the UK Foreign and Commonwealth Office
Study Notes: 2009 Brits and International foreign buyers will hold out for those bargains sales.

Mainstream choices are getting a second look in Italy (Milan, Rome, Venice, Florence) Not only are they costly destinations to visit but also to live and have the most over valued property markets in Italy, according to Remax International.

Remax International
Remax sells more real estate and has more property listings than any other company in the world. http://www.remax.com/misc/remax_regi...l_regions.aspx
Foreign Buyers
As 2009 gets well underway, this year smart investors are budget-minded and continue to hunt for lower priced properties while focusing in on the “cost of living” as a key alternative. Many foreign buyers will continue to set off to Calabria where their money will go farther and for better investment opportunities that will continue to increase in value.
There is currently nowhere else in Italy competing with the property investment opportunities you can find here in Calabria. Still relatively new to the foreign property market the area has many natural beauty spots and offers so much to visitors and potential investors.
Calabria, up until now, has been untouched by foreign visitors and investors. Italians have been having great holidays here for decades, but it has remained unknown to the rest of the world. Property prices in Calabria are a bargain. The cost of living here is on the lowest in Western Europe, with annual bills on many apartments not exceeding €1000; Calabria offers a fantastic pallet of History, Art, Fashion, Climate and Natural Foods. Local cuisine and wines that are light on the pocket and one of the warmest welcomes from the locals you are likely to find in Italy.
Italian property and land have long been a favourite among foreign property investment buyers. Italy property offers an exceptional lifestyle and competitive prices, especially Italian homes in the southern regions – Calabria real estate has shown particularly high capital gains. Experts still advise Buying Italy Property – and the choice of Italian properties is in Calabria are enormous along the Calabria Riviera and Lamezia Coast– ranks high among property investment choices.
I will challenge any realtor outside of Calabria to prove otherwise and post their best property for sale against my Calabrian property for our foreign buyers!
Just so you know what you are up against let me exhibit an example: 170,000 Euros for a new villa 5000 sqft along the Calabria Riviera.










Vendesi villa di recente costruzione, indipendente situata in posizione collinare circa 100 metri di altitudine, gode di un bellissimo panorama e dista solo 400 metri dal mare e circa 3 km dalla più vicina zona montana (Laghicello).
Circondata da oltre 1500 mq di terreno piantumato di alberi da frutto, dispone di due ingressi ed è distribuita su 2 piani di circa 150 mq ciascuno, più taverna 170 mq.
La villa e completa di impianto di riscaldamento e luce centralizzato di ultima generazione va rifinita esternamente e arredo interno.

La villa e cosi suddivisa
TAVERNA: unico piano tutto aperto
1 PIANO: comunicante con la taverna attraverso la scala interna, bagno, 3 stanze, ambia cucina e salone con uscita nel giardino.
2 PIANO: ingresso indipendente, ambia cucina e salone, 3 stanze, bagno, ambio terrazzo con vista mare e monti spettacolare.

Dear Members for more properties bargains join me this summer for our Calabria Riviera Tour starting June 1st.


Frank Tarsitano
Broker & Land Developer
Calabria, Italy
The Global Property Group & Remax Paola Marina, Italy

It's a very intertesting post regarding calabria property and I am sure this is the best time for investment in real estate. I feel like buying a apartment in calabria for this summer vacation but right now my pocket is tight bcoz of recession in whole world.

Vacation Property Investments

Yes….we all know that during these hard economic times many people are keeping their small savings in the bank but it is the smart investors and government that are buying up properties at the moment.

“Its time to buy”

How can we invest when we don’t have large individual sufficient funds to purchase a property?

Well! I have a solution to discuss with those individuals who find themselves in this type financial situation…During are group property site inspection tour this summer along the Calabria Riviera hopefully are guests will not come home empty handed or disappointed. Like many corporations around the world with large share holders their nucleus of financial purchasing power comes in the form as a group.

In Calabria, as a group of thinking individuals; we will be discussing the first of several property acquisitions. One property example; “Vacation Property Investment” is a beautiful hotel with 13 large one bedroom suites located walking distance to the beach in a sought out area along the Riviera. For the critics out there... this is not a “time sharing” proposition.




Our group, after viewing the property we will evaluate and discuss the risks and options of this particular vacation property investment. In this particular case, we will be given an opportunity to become the owner and purchase a one bedroom apartment suite for a total investment purchase of 36,000 Euros. The purchaser will also have the option of becoming a shareholder of the hotel operation at no extra cost. There is nowhere in Italy, that you can purchase a one bedroom apartment in a similar location for this amount of money. Let’s be honest, at this price we have purchased useless Cars that we eventually scraped and received nothing in return.

This is a great vacation property investment method for individuals with minimal capital. Why? The one bedroom apartment suite becomes your property for the rest of your life along with 10 other investors in our group who will also own one bedroom apartment suite each. You will also have the option of renting out your own suite when not using it for extra rental income.

Without having to sell your property, the rental income will return your initial capital investment with in a short term period. Owners who decide to take part as shareholders in the hotel operation may also benefit from the potential hotel’s profit sharing revenue generated from the restaurant sales and remaining suites.

It might sound a little complicated and many of us will have plenty of questions but we will go into more detail regarding this type of “vacation property investment” verses other property investments during our tour.

Today… Its time to buy and start your real estate portfolio... we can no longer depend on our company pension or old age security plans... as they may no longer exist tomorrow!

Frank Tarsitano
Broker & Land Developer
Calabria, Italy
www.italysouth.org
The Global Property Group Ltd
Remax, Paola Marina, Italy