House Prices

Capo Boi Image
03/16/2010 - 12:24

Interesting article in today's L'Unione Sarda. (Main newspaper in Sardinia). Not sure where the numbers were collected from as the article does not specify but may provide some (very rough) guide to price movements in the rest of Italy. (Numbers only for one of the eight provinces in Sardinia (-Oristano- which is not generally known as a tourist location): House prices 2009: Down 8.1% Average time taken to sell: 5 months Average cost for prime location: €2,250 per m2 Average cost for mid location: €2,000 per m2 Average cost for rural location: €1,500 per m2 Average cost of restoration in prime location: €1,350 per m2 Average cost of restoration in mid location: €1,150 per m2 Average cost of restoration in rural location: €900 per m2  

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    Are the prices of properties that are habitable?  Houses I have seen on the Versilia coast appear to be hovels unless you pay E600,000 +   I am amazed at prices  and don't know how the Italians afford properties (obviously some have them from parents but if there is more than one child that won't work!) 

I've come across this type of figure before and never been sure where they come from. If I add up all costs including purchase, swimming pool instalation, restoration / refurb, legal and planning, I get a figure around E600 - E700 per m2.

The trouble with a lot of the "lovely village houses for less than 200,000e' is that many near you are in de-populating centro storico like Monte Vidon Corrado, Montepone (particularly), Falerone, Penna SG etc so they are a bit dead and soulless for much of the year. Have actually seen 3 very nice restored stand alone houses for under 200,000, (one of them well under!) with plenty of land for a pool..... as the de leveraging continues + sterling tanks there are good opportunities emerging for cash buyers. With regard to the original post, you really do need the details, ie who collated them, when, and what criteria they used for them to have any real meaning.

 This post has intrigued me some what so I started trawling local estate agents web sites. In our area you can still get properties for E700 - E800 m2 but to be fair they look more like archeological digs than properties. Top price I found (excluding town centre appartments) was E1,800 m2 but that was for fully refurbished, proper sea view, excellent links to large town etc. Fair value seems to be about E1,200 to E1,400. ASL seems to have a very detrimental effect on value.

  Think facts and figures just a man thing.....a home is worth what anyone will pay for it and as 'the female of the species' we just know when its in the right place, and at the right time, and for the right money -which could be anything......that we can afford.... Mrs D

"a home is worth what anyone will pay for it and as 'the female of the species' we just know when its in the right place, and at the right time, and for the right money -which could be anything......that we can afford...." or whatever someone is prepared to lend you. Despite everything being thrown at asset prices, from QE to near zero base rates prices, signs of deflation are coming through, inflation in many areas, particularly the UK + english enclaves of western europe are based on 15 yrs of cheap easily available credit, not as the result of feminine intuition.:) Prices dont yet reflect the new reality of squeezed credit conditions, wage stagnation, sovereign indebtedness and over capacity generally. Interesting to see what happens when interest rates rise.