The Germans snapping up vacation homes in Italy that Italians can’t afford
Photo Credit: The streets of Bellagio, along the shores of Italy's Lake Como. Flickr / Christopher Parkes
Skift Take
Considering the high rate of home ownership in Italy, the situation is not as dire as it may seem, and definitely as dire as years of political apathy and corruption would lead one to believe the situation could be.
Yasemin Rosenmaier has been selling homes in northern Italy since 2005 and she’s finding that there’s never been a better time to work for a German broker.
“I’d say 60 percent of our closings are with Germans, which is much higher than in previous years,” Rosenmaier said by telephone from her Engel & Voelkers office in Cernobbio on Lake Como. “Why? Fear of inflation, the uncertainty on the financial markets, fear of what happened in Cyprus,” the latest European country to get an international bailout.
Foreign investment in Italian holiday properties is rising as Germans, Britons and Russians take advantage of a market where locals are struggling to purchase even a first home. Residential sales in the country dropped almost 26 percent last year amid a plunge in mortgage lending, almost two years of recession, and uncertainty surrounding a new tax on primary residences.
Second-home sales to buyers from abroad rose 14 percent last year, with non-Italians spendin
