Is buying a property in Navigli a good investment?

Last updated on December 29, 2023

Yes, the analysis of Milan's property market is included in our pack

If you've admired the picturesque canals and nightlife of Navigli, you may have thought about investing in property in this trendy Milan district.

Is it a good idea though? What's the current state of the real estate market in that area? Are property values appreciating or depreciating? Are investors seeing returns on their real estate investments? How's the demand for rentals?

We'll answer all these questions for you! When building and updating our property pack for Italy, our team has been researching and surveying this area. In fact, there is significant customer interest in investing there. Therefore, we believe it would be beneficial to include some information about it in our property pack.

Why do property buyers like investing in Navigli?

Navigli in Milan is a unique and increasingly popular area for property buyers, offering a distinct charm compared to other real estate markets in the city.

What sets Navigli apart is its vibrant and picturesque setting, characterized by its famous canals, which were historically used for trade and transportation. These waterways, lined with colorful buildings, create a romantic and historical ambiance that is rare in urban settings.

This unique feature has been a significant draw for buyers who are looking for something more than just a place to live – they're seeking a lifestyle.

In recent years, particularly since the early 2000s, Navigli has undergone significant revitalization. The area has transformed from a mostly industrial and somewhat neglected district to a lively hub of cultural and social activity.

The presence of trendy bars, restaurants, art galleries, and boutiques along the canal banks has made it a desirable place for those who appreciate a mix of historical charm and modern urban living. This transformation has contributed to a steady increase in property values and interest.

When comparing Navigli to other areas in Milan, it stands out for its unique blend of old and new. Unlike the more traditional and upscale areas like Brera or the modern and business-oriented Porta Nuova, Navigli offers a more eclectic and bohemian vibe.

It's this distinctive character that attracts a diverse range of people, from young professionals and artists to families and retirees who are drawn to its dynamic yet laid-back atmosphere.

However, as with any popular urban area, Navigli has its drawbacks. The very factors that make it attractive – its bustling nightlife and historic buildings – also contribute to some of its weaknesses. The area can get quite crowded, especially on weekends, which might not appeal to those seeking a quieter residential environment.

Moreover, the older buildings, while charming, might not offer the same level of modern amenities or comfort as newer constructions in other parts of Milan.

Despite these potential downsides, the enduring appeal of Navigli's unique charm suggests that its popularity is not just a passing trend. The area's rich history, combined with its ongoing cultural resurgence, has established it as a desirable location that continues to attract a wide range of buyers.

Whether this trend will persist long-term is always subject to change, but for now, Navigli remains a distinct and coveted part of Milan's real estate landscape.

Make a profitable investment in Milan

Better information leads to better decisions. Save time and money. Download our guide.

Why is Navigli a nice place to live?

Living in Navigli, is like embracing a lifestyle that beautifully blends history, culture, and modern conveniences.

This area, famous for its picturesque canals, offers a unique living experience in one of Italy's most vibrant cities.

One of the first things you'll notice about Navigli is its cultural vibrancy. It's an area steeped in history, evident in its charming old buildings and cobbled streets. But it's not just about the past; Navigli is known for its lively atmosphere, filled with art galleries, cafes, and restaurants.

The neighborhood buzzes with activity, especially in the evenings when locals and tourists alike flock to the canal-side bars and eateries. This blend of old-world charm and contemporary energy is what makes living in Navigli so appealing.

Navigli is also welcoming to expatriates. Thanks to its cosmopolitan vibe, you'll find a diverse community here. It's common to hear different languages spoken in the streets, and many businesses cater to an international clientele. This diversity creates an open and inclusive environment, making it easier for newcomers to feel at home.

When it comes to the cost of living, Navigli can be on the higher side, especially in terms of rent. Its popularity and central location contribute to this, but many find the expense worthwhile for the unique lifestyle it offers.

Safety in Navigli is generally good, especially compared to other urban areas. Like any bustling neighborhood, it's wise to be mindful of your surroundings, but the area is well-policed and maintains a safe environment for its residents.

In terms of amenities and facilities, Navigli is well-equipped. You'll find several schools in the vicinity, catering to different age groups and educational preferences.

For healthcare, there are reputable hospitals nearby, such as the Policlinico di Milano. For shopping, apart from the local boutiques and artisan shops, you're not far from larger shopping centers like Corso Vercelli.

The infrastructure in Navigli is a mix of old and new. While some of the buildings are historic, many have been updated with modern amenities. Roads are well-maintained, and utilities like water, electricity, and internet connectivity are reliable. The area's charm lies in its narrow, winding streets, which add to its quaint atmosphere.

Navigli's accessibility is another of its strengths. It's well-connected to other parts of Milan, making it easy to commute for work or leisure. Public transportation options are plentiful, with tram and bus lines running frequently.

The Milano Porta Genova train station is nearby, providing access to larger train networks. For air travel, Milan's airports - Linate, Malpensa, and Bergamo - are accessible via public transport or a short drive.

How much does it cost to buy real estate in Navigli?

If you need a detailed and updated analysis of the prices, rents and yields, you can get our full guide about real estate investment in Italy.

When it comes to buying property in Navigli there's a range of options available, but the cost can vary significantly depending on several factors.

In Navigli, the majority of residential properties are apartments. These range from compact studios to larger, multi-bedroom apartments. Houses and luxury villas are less common in this urban and historically rich area, but they do exist, often tucked away in quieter streets.

The high demand in Navigli tends to be for apartments, especially those with views of the canals or in close proximity to the vibrant nightlife and cultural hotspots. The allure of living in a historical area, combined with the convenience of modern urban amenities, makes these properties particularly sought after.

In terms of property types, Navigli is primarily known for resale properties, given its historical nature.

However, there are also new developments, blending modern living with the traditional Milanese charm. These new developments often come with a higher price tag due to their modern amenities and design.

Speaking of costs, the price range for properties in Navigli can vary. Prices per square meter can range from the mid to high-end, reflecting the area's popularity and central location.

It's not uncommon to see prices per square meter in Navigli that are higher than in some other parts of Milan, especially for properties with unique features or in prime locations.

Over recent years, property values in Navigli have seen an upward trend. The area's continuous popularity, its cultural significance, and ongoing urban developments contribute to this increase.

This trend is expected to continue, especially with the growing interest in urban living and the appeal of areas with a strong cultural and historical identity.

Looking into the future, any upcoming developments or city planning changes could further impact property values.

For instance, if the city plans to enhance public transportation links or invest in cultural projects in the area, this could make Navigli even more attractive to prospective buyers, potentially driving up property values.

Predictions for the real estate market in Navigli in the coming years lean towards a continued increase in value. Factors such as the area's unique charm, its status as a cultural hub, and ongoing urban improvements all indicate a potential rise in property demand and value.

However, it's important to keep in mind that the real estate market can be influenced by broader economic conditions, so while current indicators suggest an increase in value, market dynamics can change.

Where is the best area to buy a property in Navigli?

When considering the best area to buy a property in Navigli it's essential to understand that Navigli itself is quite diverse, with different parts offering varying atmospheres, property types, and prices.

Firstly, the area closest to the Darsena, the old dock in Milan, is highly sought after. This zone is the heart of Navigli, known for its vibrant atmosphere with numerous bars, restaurants, and art galleries. Properties here are primarily apartments, often in older, character-filled buildings.

The prices in this area tend to be higher due to its central location and the lively ambiance. If you're someone who enjoys being in the middle of the action and doesn't mind the hustle and bustle, this is a great area to consider.

Moving further away from the Darsena, towards the outer parts of Navigli, the atmosphere becomes a bit more relaxed and residential. Here, you might find a mix of newer and older apartment buildings.

The prices can be slightly more affordable compared to the heart of Navigli, yet still offer the charm and convenience of living in this unique neighborhood.

An up-and-coming area within Navigli is the region around Porta Genova. This area has seen a lot of development in recent years and is becoming increasingly popular among buyers.

The properties here are a mix of old and new, and the area offers a good balance between the vibrant Navigli lifestyle and a more relaxed residential feel.

If you're considering where to buy, areas like Ripa di Porta Ticinese or Via Valenza are good options. These areas are well-located, close to the main attractions of Navigli but still offer a sense of community and are slightly less crowded.

On the contrary, areas immediately adjacent to the busiest nightlife spots might not be advisable for everyone. These locations can be very noisy, especially on weekends, which might not be ideal if you're looking for a quieter living environment.

Additionally, the constant foot traffic and nightlife can be a concern for those seeking more privacy and security.

Here is a summary table to help you visualize better. If you need more detailed data and information, please check our property pack for Italy.

Area	Description	Property Types	Price Range	Suitability
Near Darsena	Vibrant, heart of Navigli, full of bars, restaurants, and art galleries	Apartments in older buildings	Higher	Lively atmosphere lovers
Outer Navigli	More relaxed and residential, mix of newer and older buildings	Mix of newer and older apartments	Moderate	Balance of vibrancy and peace
Porta Genova	Up-and-coming, development in recent years, balance of lifestyle	Mix of old and new properties	Moderate to High	Those seeking a dynamic yet residential area
Ripa di Porta Ticinese / Via Valenza	Well-located, close to main attractions, less crowded	Varied	Moderate to High	Community feel, quieter living
Near Nightlife Hotspots	Noisy, especially on weekends, very lively	Primarily apartments	Varies	Those who prioritize nightlife and don't mind noise

Don't lose money on your property in Milan

100% of people who have lost money in Italy have spent less than 1 hour researching the market. We have reviewed everything there is to know. Grab our guide now.

Is there a strong rental demand in Navigli?

Navigli does indeed have a strong rental demand, shaped by its unique characteristics and the lifestyle it offers.

This demand is fueled by a variety of factors, including the area's popularity among different groups of tenants and the types of properties available.

In terms of rental duration, Navigli attracts both short-term and long-term renters, but there's a notable inclination towards short-term rentals. This trend is largely driven by the area's vibrant atmosphere, historic charm, and the presence of various cultural and entertainment options.

Short-term rentals are particularly popular among tourists and people visiting Milan for business or leisure. The area's lively bars, restaurants, and picturesque canal views make it an attractive spot for those seeking a memorable Milanese experience.

The target demographic for rentals in Navigli is quite diverse. It includes young professionals, international students, expatriates, and tourists. These potential tenants are often drawn to the dynamic and cosmopolitan lifestyle that Navigli offers.

Young professionals and expatriates might be looking for medium to long-term rentals, while students and tourists generally lean towards short-term stays.

As for the profiles of these tenants, they tend to be individuals who appreciate cultural richness and a lively urban environment. Young professionals and expatriates often seek comfortable and modern living spaces that are well-connected to the rest of the city.

Students, on the other hand, might prioritize affordability and proximity to educational institutions. Tourists typically look for well-furnished and well-located properties that offer a taste of Milan's vibrant city life.

Regarding the type of properties in demand, apartments – especially those with views of the canals or in close proximity to the main attractions of Navigli – are highly sought after. Properties that blend historical charm with modern amenities are particularly appealing.

In terms of specific areas, the vicinity of the Darsena and along the Ripa di Porta Ticinese are often preferred due to their central location and the abundance of dining and entertainment options.

Amenities that can help reduce vacancy and attract renters include reliable high-speed internet, modern appliances, and well-maintained common areas. In a place like Navigli, where the appeal is in the lifestyle, having a property with a balcony or terrace, especially with a view, can be a significant draw.

Regarding the potential returns on investment, properties in Navigli can command healthy rental yields, although exact numbers can vary. The area's popularity and the high demand for rentals contribute to this.

For short-term rentals, especially, the returns can be higher due to the premium that tourists and short-term visitors are willing to pay for well-located and well-furnished properties.

Lastly, the type of properties that are seeing increasing demand and could potentially offer better yields are those that cater to the lifestyle sought after in Navigli.

This includes modern apartments with amenities, properties with unique features like canal views, and renovated units in historic buildings. These properties not only attract a steady stream of tenants but also offer the potential for appreciation in value over time.

Make sure you understand the real estate market in Milan

Don't rush into buying the wrong property in Italy. Sit, relax and read our guide to avoid costly mistakes and make the best investment possible.

Is it easy to buy a property as foreigner in Navigli?

Before we answer the question, please know that we have an article dedicated to the experience of buying real estate as a foreigner in Italy.

Buying a property in Navigli, Milan, as a foreigner is generally a straightforward process, but there are several important considerations to keep in mind.

Firstly, in Italy, there are no specific regulations or restrictions that apply exclusively to foreign buyers. This means that as a foreigner, you have the same rights to purchase property as Italian citizens do.

However, it's crucial to be aware of the legal and administrative processes involved in buying property in Italy, which can be complex and differ from those in other countries.

The purchasing process typically involves several key steps. After selecting a property, you'll need to make a formal offer and, once accepted, sign a preliminary contract (Compromesso).

This is followed by the payment of a deposit, usually around 10-20% of the purchase price. The final step is the signing of the deed of sale (Rogito) in front of a notary, which officially transfers ownership. This process can take several weeks to several months.

There are some risks associated with property investment in Navigli, as with any real estate investment. The primary risks include market fluctuations, which can affect property values, and potential legal issues, such as disputes over property boundaries or titles.

Additionally, properties in Navigli, particularly older buildings, may require significant maintenance or renovation, which can add to the investment cost.

Common pitfalls for foreign buyers in Italy include underestimating the importance of local legal and administrative procedures. For example, it's essential to obtain a fiscal code (Codice Fiscale), which is required for all property transactions in Italy.

Another unique aspect is the need for a notary in the property transaction process, which is not common in all countries.

Working with a local real estate agent and a lawyer is highly advisable. They can provide invaluable assistance in navigating the complexities of the Italian property market, ensuring compliance with local regulations, and helping to avoid common mistakes.

A local agent can also offer insights into the specific market dynamics of Navigli and help find properties that match your investment criteria.

As for exit strategies, common approaches include selling the property for capital gain or renting it out for income. The rental market in Navigli is robust, thanks to its popularity among locals and tourists, making it a potentially lucrative option for property investors.

However, it's important to stay informed about the local real estate market and economic trends to make timely and informed decisions.