Authored by the expert who managed and guided the team behind the Italy Property Pack
Yes, the analysis of Rome's property market is included in our pack
Why is Rome such a standout destination for real estate investment in 2025? Is it the rich historical allure, the thriving tourism industry, or the unique blend of culture and modernity? What are the key advantages for investors?
We get asked these questions all the time because we’re on the ground, working closely with developers, real estate agents, and investors like you. With so much interest in this market, we’ve decided to turn our individual answers into a comprehensive article for everyone to benefit from.
Our goal is to provide a clear case for investing in Rome's real estate market, backed by our firsthand experience and market knowledge.
If you think we missed an important point in our content or want to know more, don’t hesitate to reach out (we answer super fast). Your feedback makes our content even stronger.
Finally, please note that this is not financial or investment advice. Investing in real estate carries inherent risks, and market conditions can change unexpectedly. We strongly encourage you to conduct thorough research and consult with a qualified financial advisor before making any investment decisions.
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1) Rome’s green spaces make properties near parks and gardens more attractive
Rome's lush green spaces make properties near parks and gardens incredibly appealing.
In recent years, especially around 2023 and 2024, areas like the Parioli district have seen a significant rise in property values, with prices ranging from €4,200 to €7,000 per square meter. This surge is largely because of the district's charming tree-lined streets and its closeness to green spaces, making it one of the most sought-after spots in Rome.
People are increasingly looking for homes near parks and gardens. For instance, a modern apartment in Prati with a terrace offering stunning views was priced at around €1.6 million, showing how much buyers value access to green areas. This trend is part of a larger shift in the market, where the luxury sector in Rome saw a 4% increase in prices for homes over $1.1 million compared to pre-pandemic times.
Green spaces in cities are not just pretty; they offer real health benefits. They help reduce stress, lower blood pressure, and provide places for exercise. These benefits, along with the ability of green spaces to combat the urban heat island effect and reduce air and noise pollution, make homes near parks very attractive to buyers.
Living near these green areas means enjoying a healthier lifestyle and a more pleasant environment. The demand for such properties is a testament to how much people value these benefits. It's not just about aesthetics; it's about enhancing quality of life.
Rome's green spaces are a key factor in the city's real estate market, driving up property values and making certain areas more desirable. This trend is particularly evident in neighborhoods like Parioli and Prati, where proximity to parks is a major selling point.
Sources: Kane Bridge News, Engineering Rome, Engel & Völkers
2) Rome’s strong expat community means there’s high demand for homes with international amenities
Rome's vibrant expatriate community drives the demand for homes with international features.
In 2023, about 12% of Rome's population were foreign residents, making the city a melting pot of cultures. This diverse mix of people creates a unique demand for properties that cater to international tastes and standards.
Families moving to Rome have access to a variety of international schools, offering curricula like the American, British, and International Baccalaureate systems. These schools, which serve children from ages 2 to 18, are a big draw for expatriate families looking for familiar educational options.
Rome is also home to numerous international businesses and diplomatic missions, which further fuels the need for properties with global amenities. This demand is reflected in the rising rental prices in neighborhoods popular with expatriates, showing a clear preference for homes that offer international comforts.
Neighborhoods favored by expatriates often feature properties with amenities like modern kitchens, spacious living areas, and easy access to international schools and workplaces. These features are essential for those looking to maintain a certain lifestyle while living abroad.
For anyone considering a move to Rome, understanding the city's international appeal is key. The strong expatriate presence means that properties with international amenities are not just a luxury but a necessity for many.
Sources: Statista, Kane Bridge News, Moving To
We have made this infographic to give you a quick and clear snapshot of the property market in Italy. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
3) Rome's urban renewal projects boost property values in revitalized areas
Urban renewal projects in Rome are driving up property values in revitalized areas.
Take the historic center of Rome, for example. Thanks to these projects, property prices have jumped, now ranging from 4,500 to 10,000 euros per square meter. This boost is directly tied to efforts that have made the area more appealing.
One standout project is the Pilgrims’ Paths redevelopment, greenlit by the Rome City Council in 2024. It plans to upgrade streets, urban furniture, and park trails. These enhancements are expected to draw in buyers, pushing up property values in nearby areas. The Prati district is another hotspot, with its improved infrastructure and amenities catching media attention and further enticing buyers.
Experts are optimistic about the future. Mario Breglia from Scenari Immobiliari predicts a 6% rise in property prices in major cities like Rome. This forecast aligns with ongoing urban renewal efforts that are making the city more attractive to potential buyers.
These projects are not just about aesthetics; they’re about creating a more livable city. As Rome continues to enhance its infrastructure, the appeal to buyers grows, leading to increased property values.
With these developments, Rome is not just preserving its history but also paving the way for a vibrant future, making it a prime spot for property investment.
Sources: Engel & Völkers, Vie Francigene, eSales International
4) Rome’s historic piazzas offer prime spots for high-value real estate investments
Rome's historic piazzas are now top spots for high-value real estate investments.
In 2023, the average price in Rome's historic center hit €1,493 per square foot, making it one of the city's priciest areas. This surge is attracting both local and international buyers who are drawn to the charm and significance of these iconic locations.
Despite challenges like tough mortgage conditions, there's a strong desire to own a piece of history. Buyers are willing to navigate these hurdles because they see the long-term value in these culturally rich areas.
The scarcity of available properties in these historic piazzas adds to their allure. With limited options, the competition among buyers is fierce, driving up demand and prices even further.
In 2023, the number of real estate transactions in Rome decreased, highlighting a competitive market. This trend underscores the value of properties in these historic areas, where owning a piece of the past is a coveted achievement.
Investors recognize the unique opportunity these piazzas offer, not just as homes but as assets with enduring appeal. The blend of history, culture, and limited availability makes them a wise investment choice.
Sources: Kane Bridge News, Global Property Guide
5) Rome’s booming film industry means you’ll find high rental demand for temporary housing
Rome's film industry is booming, with 354 films produced in 2023, up from 314 the previous year.
This surge in film production means more cast and crew members are flocking to Rome, all needing places to stay. The value of Italian audiovisual productions has crossed €2 billion, with film production revenues rising significantly. This naturally leads to a higher demand for temporary housing, as more projects mean more people working on them.
Rome's film shoots are often extensive, requiring longer-term accommodations for cast and crew. The complexity and high demand for filming locations in the city suggest that these shoots can last for extended periods, further boosting the need for temporary housing.
Short-term rentals in Rome are popular, with numerous properties catering specifically to film crews. This is highlighted by Studapart, which indicates a high demand for these rentals, particularly in areas favored by film productions.
Services like ACrew4U are actively involved in finding and managing short-term rentals for film crews, showing that property owners are keen to meet these needs. This demand results in higher occupancy rates for properties in prime filming locations.
Property owners in Rome are seizing the opportunity to cater to the film industry, with services dedicated to assisting film crews in finding suitable accommodations. This trend is a testament to the thriving film scene in the city.
Sources: Cineuropa, ACrew4U, Studapart, ScreenDaily
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6) Italy’s tax breaks for restoring old buildings make it a smart investment choice
The Italian government offers tax incentives to encourage investment in older buildings.
These incentives, like the Superbonus, Ecobonus, and Sismabonus, make it financially appealing to renovate properties, enhancing their energy efficiency and earthquake resistance. Even with the Superbonus dropping from 110% to 75% in 2023 and 2024, it remains a key motivator for property restoration. This has sparked a wave of renovations, especially in historically significant areas, preserving cultural heritage while boosting property value.
Foreign investors are taking notice, with predictions of investments in Italian real estate surpassing €140 billion by 2025. Italy's rich cultural landscape, preserved through these restoration efforts, adds to its allure. The tax incentives have created favorable economic conditions, making Italy an attractive destination for real estate investment.
In regions with historical significance, the restoration efforts have not only preserved cultural heritage but also enhanced the aesthetic and economic value of these properties. This trend is particularly evident in areas where the charm of old-world architecture meets modern sustainability.
For those considering buying property in Italy, these incentives offer a unique opportunity to invest in a piece of history while benefiting from modern upgrades. The combination of tax breaks and the potential for increased property value makes it a compelling choice for both domestic and international buyers.
As Italy continues to balance its rich past with a sustainable future, these tax incentives play a crucial role in shaping the real estate landscape. The ongoing investment in property restoration is a testament to the country's commitment to preserving its cultural heritage while embracing modernity.
Sources: Italian Budget Law 2023 Property-Related Measures, Italy: 2024 Article IV Consultation-Press Release; Staff Report, Foreign Investments in Italian Real Estate Are Now Growing
7) Rome’s architectural wonders draw tourists all year, making short-term rentals a reliable investment
Rome's unique architectural heritage draws tourists all year, keeping short-term rentals in high demand.
In 2023, Rome welcomed about 35 million tourists, a 9% jump from the previous year. This steady stream of visitors doesn't wane with the seasons, proving the city's constant allure. The Colosseum, a must-see for many, was Italy's top cultural attraction, with over 12 million visits in 2023. Other famous spots like the Pantheon and Trevi Fountain also pull in millions, highlighting Rome's rich history and stunning architecture.
Tourists love staying in places that reflect Rome's unique style. They spend 26.5% of their budget on hotels, showing a strong preference for accommodations that offer a taste of the city's historical charm. This trend boosts the demand for short-term rentals, as visitors want to soak in the authentic Roman experience.
Rome's appeal isn't just about the big landmarks. The city's narrow streets, ancient ruins, and vibrant piazzas create an atmosphere that captivates travelers. This environment makes short-term rentals particularly attractive, as they often provide a more personal connection to the city's past.
Investing in property here means tapping into a market driven by a constant influx of tourists eager to explore Rome's architectural wonders. The city's ability to enchant visitors year-round ensures that short-term rentals remain a lucrative option for property owners.
Whether it's the allure of the Colosseum or the charm of a hidden alleyway, Rome's architectural beauty keeps tourists coming back, making it a prime location for those looking to invest in short-term rental properties.
Sources: Road Genius, Statista
8) Rome’s central location in Europe attracts business travelers who need temporary housing
Rome is a key hub for business travelers thanks to its strategic location in Europe.
With its prime position, Rome offers easy access to major European cities through extensive rail and road networks. This is a big plus for business travelers who need to hop between meetings and events quickly. The upcoming direct high-speed TGV routes, like the Venice-to-Paris Midnight Trains, will make this connectivity even better.
The city is also seeing a boom in its hospitality and short-term rental markets. This surge is largely due to the rise of "bleisure" travel, where business trips mix with leisure activities. Italian travel agencies are catching on, offering more personalized options like serviced apartments with kitchens and living spaces, which are perfect for business travelers needing more than just a hotel room.
Rome is also becoming a top spot for international conferences and business events. The city has experienced a 15.9% increase in inbound business travel, thanks to its capacity to host numerous meetings. This rise in business events means there's a growing need for temporary accommodations, reinforcing Rome's status as a business hub.
For those considering property investment, this trend in business travel and events is a promising sign. The demand for short-term rentals and flexible accommodations is on the rise, making it a potentially lucrative market.
Rome's appeal isn't just about business; it's also about lifestyle. The blend of work and leisure opportunities makes it an attractive place for professionals who want to enjoy the city's rich culture and history while conducting business.
Sources: Business Travel News Europe, Italia Absolutely, World's Best Cities
We made this infographic to show you how property prices in Italy compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
9) Rome’s varied neighborhoods give you investment options for all budgets and demographics
Rome's neighborhoods are a goldmine for property investors, offering something for every budget and lifestyle.
In recent years, especially around 2023 and 2024, property values in central Rome have been climbing, making these areas a hot spot for investors. The city's affordability index is quite appealing, sitting below the European average, which signals a promising market for those looking to invest in property.
The rental market is booming, thanks to a steady influx of tourists and expatriates. Rental values have surged, particularly in areas with lively cultural and nightlife scenes like Trastevere and Testaccio. These neighborhoods are magnets for a mix of young professionals and families, adding to their investment appeal.
Neighborhoods like Pigneto and San Lorenzo are on the rise, fueled by urban development projects. These areas are attracting young professionals and offering impressive returns on investment. The presence of international students near universities is also boosting the demand for housing, opening up even more investment opportunities.
Rome's diverse neighborhoods cater to a wide range of demographics, from young professionals to families, each offering unique investment prospects. The city's vibrant lifestyle and cultural richness make it an attractive destination for both living and investing.
Sources: Expat Arrivals, Savills, Rome.us
10) Rome’s unique architecture gives you niche investment opportunities
Rome's diverse architectural styles offer unique opportunities for niche market investments.
In the heart of Rome, areas like Municipio I - Historical Center-Prati are seeing a boom in short-term vacation rentals. This surge highlights a growing demand for properties with rich architectural heritage. Imagine owning a piece of history where tourists flock to experience the charm of ancient Roman structures and medieval sanctuaries.
International buyers are increasingly drawn to Rome's architectural diversity. From grand Renaissance palaces to ancient ruins, these properties offer unique investment opportunities. The city's tourism is thriving, with a 48% increase in short-term accommodations in 2023 compared to the previous year, making it a hotspot for those seeking authentic experiences.
Architectural tours are all the rage, spotlighting iconic landmarks like the Colosseum and St. Peter's Basilica. These tours not only captivate tourists but also catch the eye of investors looking for properties with distinctive architectural features. The allure of Rome's historic neighborhoods is undeniable, with successful investments often backed by government incentives for restoring these treasures.
Investing in Rome isn't just about owning property; it's about becoming part of a living museum. The city's architectural wonders offer a blend of history and modernity, attracting those who appreciate the finer details of design and history. With the right investment, you could tap into a market that values both the past and the future.
Rome's real estate market is a tapestry of opportunities, where each property tells a story. Whether it's a quaint medieval sanctuary or a sprawling Renaissance palace, the potential for profitable ventures is vast, especially with the city's ongoing appeal to tourists and history enthusiasts alike.
Sources: Italy Magazine, Roma Experience, PwC Real Estate Market Overview 2023, Statista
11) Rome’s strong tourism industry makes it ideal for vacation homes and timeshares
Rome's tourism scene is booming, drawing in millions of visitors each year.
In 2023, the city saw about 35 million tourists, a 9% jump from the previous year. This influx highlights a strong need for places to stay, like vacation homes and timeshares. With more people flocking to Rome, the demand for these types of accommodations is on the rise.
Platforms like Airbnb are becoming increasingly popular, showing that tourists are looking for unique lodging experiences. This trend is great news for those interested in investing in vacation homes or timeshares. During peak seasons, such as summer, the demand for these rentals skyrockets, making it a lucrative opportunity.
The Italian Ministry of Tourism is backing this growth with the "Caput Mundi" project, investing €500 million to make Rome even more appealing. This commitment not only enhances the city's charm but also supports the thriving tourism industry.
Additionally, the expansion of international flight routes to Rome is making it easier for tourists to visit. This increased accessibility is a key factor in the growing demand for vacation homes and timeshares, as more people can now explore the city.
Rome's vibrant tourism industry is a solid foundation for those considering buying property for vacation rentals. The city's allure, combined with strategic investments and improved accessibility, makes it an attractive market for vacation homes and timeshares.
Sources: Road Genius, Italia Domani
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12) Rome’s international events, like fashion shows and conferences, make short-term rentals a lucrative opportunity for you
When Rome hosts international events like fashion shows and conferences, the short-term rental market gets a noticeable boost.
During these events, occupancy rates for short-term rentals often soar. For instance, past events such as the Festival del Verde e del Paesaggio and the Taste of Roma food festival have pushed occupancy rates beyond the usual 84%. This means more people are booking places to stay, making it a busy time for property owners.
With this surge in demand, average daily rates for rentals tend to climb. Property owners seize the opportunity to raise prices, leading to higher revenue. This isn't just a Rome phenomenon; cities like Milan and Paris see similar trends during their fashion weeks, with international visitors driving up bookings.
Property management companies also notice revenue spikes during conferences and similar events. They use dynamic pricing strategies to make the most of these busy periods, a tactic that has proven effective in various markets. The influx of tourists during major events directly impacts the short-term rental market, increasing both bookings and occupancy rates.
These events bring a wave of international visitors, boosting the local economy and short-term rental market. It's a win-win for property owners and the city, as more tourists mean more business for everyone involved.
So, if you're considering buying property in Rome, timing it around major events could be a smart move. The city's vibrant event calendar offers plenty of opportunities to capitalize on the bustling rental market.
Sources: Airbtics, Enso Connect, Airbnb
13) Rome’s universities attract international students, so there’s always a demand for student housing
Rome's universities are a major draw for international students, creating a steady demand for student housing.
With nearly 115,000 students, Sapienza University of Rome is Europe's largest, and it hosts about 5,000 international students. Other universities like Tor Vergata and Roma Tre also attract many from abroad, adding to the city's vibrant academic scene.
In the 2022/2023 academic year, Italian universities welcomed around 122,000 foreign students, marking a 75% increase over the past decade. Rome's allure is not just its rich history but also its top-notch educational institutions and lively business environment.
This surge in international students has led to a growing need for student housing. Italy's university student population surpassed 1.9 million last year, with a 5% rise from the previous year. Yet, Rome struggles with a limited supply of student beds.
In fact, Rome has the lowest mobile provision rate for student accommodation in Italy, at just 11%. This highlights a significant gap between supply and demand, making it a challenging market for student housing.
Sources: University of Arkansas News, Savills Italy Student Housing Spotlight 2024, StudyLink
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility. Finally, please note that we are not affiliated to any of the sources provided. Our analysis remains then 100% impartial.