What is the average house price in Rome, Italy?

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We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Italy. If you'd like to learn more about us, you can check our presentation page.

What types of properties are most common in Rome?

Apartments dominate Rome's residential property market, accounting for the vast majority of available properties.

These apartments range from small studios to spacious penthouses, typically located in historic buildings throughout the city center and inner neighborhoods. Most residential properties in Rome are condominiums with shared building expenses and management.

Townhouses exist but remain relatively uncommon, mainly found in redeveloped areas or specific neighborhoods undergoing urban renewal. Villas and country houses are primarily located on Rome's outskirts or in the surrounding countryside, offering more space and privacy but representing a smaller market segment.

The apartment-centric market reflects Rome's dense urban development and historical building patterns, where multi-story residential buildings have been the norm for centuries.

It's something we develop in our Italy property pack.

Which areas in Rome are the most expensive, affordable, and up-and-coming?

Centro Storico represents Rome's most expensive real estate market, with prices averaging €8,484 per square meter as of June 2025.

The most expensive neighborhoods include Prati, Parioli, and Aventino, where prices range from €5,000 to €7,000 per square meter and above. These areas offer prestige, central locations, and quiet residential environments that command premium prices.

The most affordable options are found in outer districts like Lunghezza, Castelverde, Borghesiana, Finocchio, and Rocca Cencia, where prices start as low as €1,792 to €2,000 per square meter. Areas like Ostiense, Garbatella, and Pigneto offer middle-ground pricing around €3,700 to €4,300 per square meter while maintaining good connectivity to the center.

Up-and-coming neighborhoods show strong investment potential, with Garbatella leading for its artistic community and early 20th-century architecture. Ostiense attracts young professionals with its alternative culture and nightlife scene, while Pigneto draws creatives and hipsters. Testaccio has successfully transformed from a working-class area into a culinary and cultural hub.

These emerging areas offer the best combination of affordability and growth potential for property investors.

What is the average price per square meter in central Rome vs outer districts?

Central Rome commands significantly higher prices than outer districts, with the gap widening in recent years.

How much does a typical apartment cost in Rome right now?

Apartment prices in Rome vary dramatically based on size, location, and condition as of June 2025.

One-bedroom apartments in the city center typically cost €350,000 to €500,000 for 50-70 square meters, translating to €5,000-€7,000 per square meter. In outer areas, similar properties range from €150,000 to €250,000, representing €2,000-€3,500 per square meter.

Two-bedroom apartments in central Rome command €500,000 to €800,000 for 70-90 square meters, while outer district equivalents cost €250,000 to €400,000. Three-bedroom apartments in the center reach €800,000 to €1,200,000+ for 90-120 square meters, compared to €300,000-€600,000 in peripheral areas.

Rental markets show similar patterns, with one-bedroom apartments in the center renting for €1,000-€1,500 monthly, and two-bedroom units commanding €1,500-€2,000 monthly. These prices reflect strong demand from both local residents and international buyers seeking Rome properties.

Current market conditions favor sellers, with limited inventory driving competition among buyers in desirable neighborhoods.

What additional costs should buyers expect beyond the property price?

Property buyers in Rome should budget 10-15% of the purchase price for additional transaction costs.

Agency fees represent 3-5% of the purchase price plus 22% VAT, making them one of the largest additional expenses. Notary fees range from 1-4% of the property value, typically €1,500-€4,000 for average properties, depending on complexity and transaction value.

Registration tax varies significantly based on residency status and property use. Primary residence buyers pay 2% of the cadastral value, while second home or non-resident buyers face 9% of the cadastral value. Land registry and cadastral taxes add another €100-€200 to the total.

Optional but recommended costs include legal fees at 1-2% of the purchase price, survey or inspection fees of €300-€1,500, and translator services costing €250-€350 for non-Italian speakers. These additional expenses are mandatory and should be factored into any property purchase budget from the start.

Smart buyers obtain detailed cost breakdowns from their notary before proceeding with any transaction.

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What are the current mortgage conditions in Italy?

Italian mortgage conditions have improved significantly, with interest rates ranging from 3.2-3.8% for fixed-rate mortgages as of mid-2025.

A typical example shows monthly payments of approximately €1,500 for a €300,000 mortgage over 25 years at 3.5% interest. Average mortgage payments in Rome currently stand at €865 monthly, though this reflects varying loan amounts and terms across different borrowers.

Banks have become more willing to lend due to favorable rate conditions and stable market outlook. Mortgage availability has improved compared to previous years, making property purchases more accessible for qualified buyers. Non-residents can typically obtain financing, though they may face slightly higher rates and stricter documentation requirements.

Down payment requirements usually range from 20-30% of the property value, with banks preferring borrowers who demonstrate stable income and strong credit history. Current conditions favor buyers looking to finance property purchases in Rome's growing market.

Pre-approval processes typically take 2-4 weeks, allowing serious buyers to move quickly when suitable properties become available.

How have Rome property prices changed over the past 5 years and 12 months?

Rome property prices have experienced significant growth over the past five years, with notable acceleration in recent periods.

The five-year trend shows general price increases, particularly strong recovery and growth since 2021 following pandemic-related stagnation. The market has rebounded from temporary declines during 2020-2021, establishing a clear upward trajectory that continues today.

Over the past 12 months, prices have risen 6.9% year-over-year as of June 2025, reaching the current citywide average of €3,590 per square meter. Central districts have seen even stronger performance, with some areas experiencing increases up to 10% annually.

This growth reflects increased demand from both domestic and international buyers, limited housing supply in desirable areas, and improved economic conditions supporting property investment. The trend indicates a healthy, growing market rather than speculative bubble conditions.

Current momentum suggests continued price appreciation, though at potentially more moderate rates as the market matures and reaches higher absolute price levels.

What is the forecast for Rome real estate prices?

Rome property price forecasts show continued growth across multiple timeframes, with central areas expected to outperform.

One-year forecasts predict moderate growth of 2-4% in major cities, with central Rome potentially seeing higher increases due to limited supply and strong demand. This conservative estimate reflects market maturity and higher baseline prices limiting dramatic percentage gains.

Five-year projections suggest steady appreciation of 3-4% annually, with central and up-and-coming neighborhoods likely outperforming the citywide average. These areas benefit from ongoing gentrification, infrastructure improvements, and sustained investor interest.

Ten-year forecasts indicate continued long-term growth, though subject to broader economic and political factors. Central Rome and tourist-heavy areas should maintain strength due to their irreplaceable locations and consistent demand from both residents and investors.

It's something we develop in our Italy property pack.

The upcoming Jubilee Year and ongoing tourism recovery support positive long-term price expectations across Rome's residential market.

Is it better to buy in Rome to live in, rent out, flip, or use for short-term rentals?

Buying to rent out currently offers the most attractive returns in Rome's property market, whether for long-term or short-term rental strategies.

Buying to live provides stability and long-term investment benefits, especially in central or emerging neighborhoods where prices continue rising. Favorable mortgage rates make financing accessible, though buyers face high upfront costs and ongoing maintenance responsibilities.

Long-term rental investments offer consistent income streams, particularly in central areas and student neighborhoods. Rome's rental yields average 7.1%, with central areas like Trastevere providing steady returns. This strategy requires tenant management but generates reliable monthly income.

Short-term tourist rentals present the highest income potential in central and tourist-heavy areas, especially during peak seasons. Areas like Trastevere, Centro Storico, and Monti show strong demand, though this approach requires active management and faces increasing regulatory oversight.

Property flipping proves less attractive due to high capital gains tax in Italy, market risk, and renovation costs that can erode profit margins. The Italian tax system favors hold-and-rent strategies over quick turnover investments.

Current market conditions with rising prices, favorable financing, and strong rental demand make buy-to-rent the optimal strategy for most investors.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Italy versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

What are some examples of recent real estate transactions in Rome?

Recent Rome property transactions demonstrate the wide price range across different neighborhoods and property types.

In Centro Storico near the Pantheon, a luxury 2-room, 70 square meter apartment sold for €940,000, reflecting the premium commanded by historic center locations. This transaction represents €13,428 per square meter, above the area average due to specific location and property features.

Quadraro, an outer district, saw a 3-room, 100 square meter apartment sell for €405,000, translating to €4,050 per square meter. This price point represents good value for buyers seeking larger spaces outside the center while maintaining reasonable access to central Rome.

In Casalotti, a far outskirts location, a 3-room, 80 square meter apartment changed hands for €177,000, representing €2,212 per square meter. This demonstrates the affordability available in peripheral areas for budget-conscious buyers.

Prati showcased the luxury market with a 230 square meter modernized apartment featuring a terrace selling for €1.6 million, reflecting approximately €6,956 per square meter for high-end properties in prestigious neighborhoods.

These transactions illustrate Rome's diverse market, offering options from affordable family homes to luxury investment properties.

How does buying property in Rome compare to other major European cities?

Rome property prices position competitively among major European capitals, offering better value than some while matching others.

Rome offers significantly better value than Paris, where central arrondissements command €10,000-€15,000 per square meter. Compared to Madrid, Rome shows similar central area pricing but broader affordability options in outer districts.

Berlin presents comparable central district prices but with less variation between center and periphery. Rome's advantage lies in its wider price range, offering everything from affordable outer district properties to world-class historic center real estate.

The Italian capital provides unique value through its combination of historical significance, cultural attractions, and growing rental market that supports investment returns. Rome's market depth and variety exceed most European cities, making it attractive for diverse investment strategies.

What are the best property investment opportunities in Rome right now?

Central neighborhoods offer the strongest investment fundamentals, combining high demand, solid rental yields, and steady price appreciation.

Centro Storico, Prati, Trastevere, and Monti represent prime investment targets due to consistent demand from both residents and tourists. These areas generate strong rental yields while providing capital appreciation potential, making them suitable for both long-term and short-term rental strategies.

Up-and-coming areas like Garbatella, Ostiense, and Pigneto present the best growth potential at lower entry prices. These neighborhoods attract young professionals and creatives, driving gradual gentrification that should translate to significant capital gains over the next 5-10 years.

Tourist hotspots near major attractions offer exceptional short-term rental opportunities, particularly with increased tourism following the pandemic recovery. The upcoming Jubilee Year will boost visitor numbers, supporting strong rental demand in these strategic locations.

Smart investors focus on areas with improving infrastructure, growing cultural scenes, and good transport connectivity to maximize both rental income and capital appreciation potential.

It's something we develop in our Italy property pack.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. InvestRopa - Rome Property Market Analysis
2. Immobiliare.it - Rome Apartments for Sale
3. Immobiliare.it - Centro Storico Market Data
4. Engel & Völkers - Rome Property Prices
5. Immobiliare.it - Rome Real Estate Market
6. Housing Anywhere - Rome Neighborhood Guide
7. Zoark - Best Rome Neighborhoods
8. InvestRopa - Rome Real Estate Trends
9. Your Overseas Home - Italy Property Costs
10. Traverse International Finance - Italian Mortgages