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Yes, the analysis of Sardinia's property market is included in our pack
As we reach mid-2025, Sardinia's property market continues its upward trajectory with prices rising 4.49% year-over-year.
In March 2025 for residential properties for sale, was asked an average of € 2,365 per square meter, with an increase of 3.23% compared to April 2024 (2,291 €/m²). Property prices in Sardinia have increased substantially compared to a year ago, with residential properties averaging €2,420 per square meter as of May 2025. This steady appreciation signals a healthy market that rewards property owners while avoiding dangerous bubble territory.
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Property prices in Sardinia are rising steadily, with residential properties averaging €2,420 per square meter in May 2025, up 4.49% from the previous year.
The market is driven by strong international demand (64.5% increase from 2019-2023), limited coastal supply, and growing tourism, with experts forecasting continued growth of 3-7% annually through 2026-2027.
| Metric | Current Status | Trend |
|---|---|---|
| Average Property Price | €2,420/m² (May 2025) | ↑ 4.49% YoY |
| Transaction Volume | +64.5% (2019-2023) | ↑ Strong growth |
| Foreign Buyer Share | Over 60% | ↑ Increasing |
| Coastal Premium | €19,375/m² (Porto Cervo) | ↑ 18% in 2023 |
| 2026 Forecast | 3-7% annual growth | ↑ Positive outlook |
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.
What are the current property prices in Sardinia as of June 2025?
Property prices in Sardinia have reached new highs in 2025, with clear upward momentum across the island.
Property prices in Sardinia averaged €2,420 per square meter in May 2025, marking a 4.49% increase from the previous year. In March 2025 for residential properties for sale, was asked an average of € 2,365 per square meter, showing consistent price appreciation throughout the spring months.
Regional variations within Sardinia are significant and worth noting. The province of Sassari commands the highest prices at €2,952 per square meter, while Oristano offers the most affordable properties at €1,066 per square meter. These price differences reflect varying levels of development, coastal access, and tourist appeal across different provinces.
The luxury coastal market operates at an entirely different level. Porto Cervo maintains some of the highest values at €19,375 per square meter, with luxury properties regularly exceeding €20,000 per square meter. In 2024, luxury villas in Sardinia's coastal towns sold for €1.5 million to €3 million, reflecting the region's high-end real estate market trends.
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How much have property prices increased in Sardinia recently?
Recent price increases in Sardinia demonstrate sustained market growth rather than volatile spikes.
By November 2024, the average asking price for these properties hit €2,360 per square meter. This was a noticeable jump from December 2023, when prices were at €2,288 per square meter, representing a 3.15% increase over that period. The momentum has continued into 2025, with prices reaching €2,420 per square meter by May.
The 4.49% annual increase in property prices represents steady appreciation rather than explosive growth. This measured increase suggests a healthy market that's avoiding bubble territory while still rewarding property owners with solid returns. This growth rate significantly outperforms many other European property markets while remaining sustainable.
Looking at specific market segments reveals even stronger performance. Prime residential prices in Costa Smeralda increased by 18% in 2023, representing the second-highest growth rate in Italy. In 2024, land near Sardinia's tourist hotspots appreciated by 8-10%.
Transaction volumes provide additional evidence of market strength. Sardinia recorded a 64.5% increase in property sales between 2019 and 2023, significantly outperforming the national Italian average of 26.3% for coastal locations. In 2024, Sardinia's real estate market experienced a significant boost, with a 10% rise in property transactions as reported by the Italian Federation of Real Estate Agents.
Which areas in Sardinia are seeing the biggest property price increases?
Certain areas in Sardinia are experiencing exceptional price growth, particularly luxury coastal destinations.
The Costa Smeralda region continues to lead price appreciation across the island. Porto Cervo maintains some of the highest values at €19,375 per square meter, with luxury properties regularly exceeding €20,000 per square meter. This exclusive area attracts international celebrities and high-net-worth individuals, driving consistent demand.
Emerging coastal areas are also showing impressive growth. Towns like Castiadas have seen a 264.5% increase in sales, demonstrating how previously overlooked coastal locations are now attracting significant buyer interest. These areas offer more affordable entry points while still providing stunning seaside access.
Urban centers are experiencing their own renaissance. Cagliari, the island's capital, experienced an 8% growth in real estate transactions in the first ten months of 2024, with expectations to close the year at 10% growth. This growth was particularly noticeable in bustling cities like Cagliari and Sassari, known for their vibrant real estate scenes.
| Location | Average Price (€/m²) | Growth Trend | Key Attraction |
|---|---|---|---|
| Porto Cervo | €19,375 | ↑↑↑ Very High | Luxury coastal hub |
| Sassari Province | €2,952 | ↑↑ High | Provincial capital |
| Cagliari | €2,203 | ↑↑ High | Island capital |
| Castiadas | €1,800-2,200 | ↑↑↑ Very High | Emerging coastal |
| Oristano | €1,066 | ↑ Moderate | Affordable inland |
What's the current difference between coastal and inland property prices?
The price gap between coastal and inland properties in Sardinia remains substantial, offering different opportunities for various buyer profiles.
Coastal properties command significant premiums due to their desirability and limited availability. Porto Cervo maintains some of the highest values at €19,375 per square meter, with luxury properties regularly exceeding €20,000 per square meter. Even non-luxury coastal areas see prices significantly above the island average.
Inland properties offer much more affordable entry points to the Sardinian market. Oristano offers the most affordable properties at €1,066 per square meter. For those who want to experience Sardinia's rural beauty and slower pace of life, towns like Oristano, Nuoro, and Iglesias present more affordable property opportunities, with the potential for future growth as the island's infrastructure develops.
The coastal premium varies significantly by location. While Porto Cervo commands prices over €19,000 per square meter, other coastal towns offer more moderate pricing. Alghero, a picturesque town known for its Catalan heritage and proximity to beautiful beaches, is increasingly becoming a popular destination for international buyers. These mid-tier coastal locations typically range from €3,000 to €5,000 per square meter.
Inland areas are attracting increasing attention from savvy investors. Investors are turning towards inland locations such as Oristano and Nuoro, where property prices remain lower but are expected to rise as more people discover the region's potential. These areas offer authentic Sardinian experiences at fraction of coastal prices.
Which property types are experiencing the fastest price growth?
Different property types in Sardinia show varying appreciation patterns, with luxury villas leading the charge.
Luxury villas are experiencing the strongest demand and price appreciation. Prime residential prices in Costa Smeralda increased by 18% in 2023, representing the second-highest growth rate in Italy. In 2024, luxury villas in Sardinia's coastal towns sold for €1.5 million to €3 million, with beachfront properties achieving even higher premiums.
Traditional Sardinian properties are gaining popularity among international buyers. There is a growing interest in traditional Sardinian architecture, especially when combined with modern amenities. These homes offer a unique blend of cultural heritage and contemporary comfort, appealing to both locals and tourists. Renovated stazzo farmhouses and village houses are particularly sought after.
Modern eco-friendly properties represent a growing market segment. Driven by remote work and sustainability trends, these homes offer smart technology features and energy-saving systems. They cater to young professionals and tech-savvy retirees, making them a hot commodity in 2025. These properties typically command 10-15% premiums over traditional constructions.
Urban apartments show steady but moderate growth. While not experiencing the explosive growth of luxury coastal properties, apartments in cities like Cagliari and Sassari provide stable investment opportunities with good rental potential. The median price of an apartment for sale is €317/sq ft, making them accessible to a broader range of buyers.
How do current prices compare to 5-10 years ago?
Sardinia's property market has shown consistent growth over the medium to long term.
Since 2019, property values in Sardinia have grown at an average annual rate of 2.68%, making it one of the more stable and predictable real estate markets in Italy. This steady appreciation has rewarded long-term property owners while avoiding the volatility seen in other markets.
International buyer interest has surged dramatically. Between 2019 and 2023, international interest in Sardinian property surged by 64.5%. This increase in foreign demand has been a key driver of price appreciation, particularly in coastal areas.
Looking at specific timeframes reveals the acceleration of growth. Property prices that averaged around €1,800-€2,000 per square meter in 2019 have now reached €2,420 per square meter in 2025, representing approximately 25-30% total appreciation over six years. This growth significantly outpaces inflation and many other European property markets.
| Year | Average Price (€/m²) | Annual Change | Key Market Driver |
|---|---|---|---|
| 2019 | ~€1,850 | Baseline | Pre-pandemic stability |
| 2021 | ~€2,050 | +5.4% | Post-COVID demand surge |
| 2023 | ~€2,280 | +5.6% | International buyer growth |
| 2024 | ~€2,360 | +3.5% | Tourism recovery |
| 2025 (May) | €2,420 | +4.49% | Supply constraints |
What are property price forecasts for Sardinia in 2026-2027?
Expert forecasts point to continued price growth in Sardinia's property market through 2026 and 2027.
If real estate prices in Sardinia were to rise in 2025, the increase would likely be around 3% to 7% of their 2024 values. This range reflects both conservative and optimistic scenarios, with most analysts expecting growth toward the middle of this range. Typically, real estate in dynamic markets like Sardinia appreciates by approximately 2% to 7% annually over the long term.
Supply constraints will continue supporting price growth. Limited availability of land for new developments, particularly in coastal areas, restricts the supply of new properties and contributes to upward price pressure. Coastal protection regulations prohibiting construction within 2 kilometers of the shore maintain these supply limitations.
Infrastructure developments will enhance property values. Improved transportation links, such as enhanced ferry services and airport expansions, are making Sardinia more accessible, boosting its attractiveness as a property investment location. These improvements are expected to accelerate through 2026-2027.
Based on current trends and expert analysis, property prices in Sardinia are forecast to reach approximately €2,500-€2,600 per square meter by the end of 2026, and €2,600-€2,750 per square meter by the end of 2027. Luxury coastal properties may see even stronger appreciation, potentially reaching €22,000-€25,000 per square meter in premium locations like Porto Cervo.
How has the 2024 tourism boom affected property demand?
The 2024 tourism surge has significantly impacted Sardinian property demand and prices.
The real estate market buzzed with activity, seeing a 10% increase in property transactions. Both local and international buyers were drawn to Sardinia's coastal charm, further driving up land prices near tourist hotspots. This tourism-driven demand has been particularly strong in established resort areas.
Rental market performance provides clear evidence of tourism's impact. Meanwhile, the rental market didn't lag behind, with average rental prices jumping by 8.89%. Properties in tourist areas achieved exceptional occupancy rates, with beachfront properties exceeding 85% occupancy during peak season.
Tourism infrastructure investments are creating lasting value. The combination of record visitor numbers and substantial infrastructure improvements has enhanced Sardinia's appeal as both a tourist destination and property investment location. Government initiatives to promote sustainable tourism and preserve natural landscapes are expected to enhance the island's appeal, attracting more eco-conscious buyers and investors.
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What impact are Italian interest rates having on the market?
Interest rate changes are influencing Sardinia's property market dynamics in complex ways.
Recent ECB rate cuts are improving affordability for buyers. The European Central Bank's monetary policy shifts are beginning to ease borrowing costs, making property purchases more accessible. Market analysts anticipate five additional rate cuts in 2025, potentially reducing mortgage costs by 16%.
Despite higher rates in recent years, demand has remained robust. Transaction volumes have surged by 64.5% between 2019 and 2023, with international buyers driving much of the demand. This suggests that Sardinia's market fundamentals are strong enough to withstand interest rate pressures.
The improving rate environment is expected to unlock pent-up demand. Many potential buyers who delayed purchases during the high-rate period of 2023-2024 are now returning to the market. Combined with limited supply, this could accelerate price growth through 2026.
Cash buyers, particularly international investors, continue to drive premium market segments regardless of interest rates. Foreign buyers, especially those eyeing the stunning coastal areas, played a pivotal role in this market expansion. This cash-heavy buyer base provides stability to the luxury market.
How much are foreign buyers influencing Sardinian property prices?
Foreign buyers play a crucial role in driving Sardinian property price increases.
International buyers now represent over 60% of purchases in Sardinia's property market, demonstrating their dominant influence. Between 2019 and 2023, international interest in Sardinian property surged by 64.5%. This dramatic increase in foreign demand has been particularly pronounced in luxury coastal markets.
German, American, and Northern European buyers lead international demand. Foreign buyers, particularly from Germany, the United States, and Northern Europe, have been increasingly drawn to the island, seeking second homes, vacation properties, or retirement destinations. These buyers typically have higher budgets than local purchasers.
The concentration of foreign buyers in premium locations drives up overall market averages. In Costa Smeralda, international buyers represent approximately 80% of all transactions, with many paying cash for luxury properties. This creates upward price pressure that ripples through the broader market.
Brexit's impact has been offset by diversification. While British buyers were historically dominant in Sardinia's real estate market, more diverse foreign buyers are now contributing to demand, resulting in a healthier and more sustainable property market. American and Northern European buyers have more than compensated for any reduction in British interest.
Is current demand stronger than pre-COVID levels?
Current demand for Sardinian real estate has significantly exceeded pre-COVID levels across all metrics.
Sardinia recorded a 64.5% increase in property sales between 2019 and 2023, significantly outperforming the national Italian average of 26.3% for coastal locations. This represents the strongest growth period in the island's recent real estate history.
The pandemic fundamentally shifted buyer preferences toward Sardinian properties. With the rise of remote work, many individuals from across Europe and beyond are seeking out Sardinia as a more affordable, picturesque place to live and work. This structural change in work patterns has created sustained demand beyond temporary pandemic effects.
Transaction volumes confirm the strength of current demand. In 2024, Sardinia's real estate market experienced a significant boost, with a 10% rise in property transactions, building on already elevated 2023 levels. This sustained growth indicates genuine market strength rather than a temporary bounce.
Price performance provides additional evidence. From pre-pandemic levels around €1,850 per square meter in 2019, prices have risen to €2,420 per square meter in 2025, representing approximately 30% appreciation. This growth rate significantly exceeds historical norms and demonstrates sustained demand pressure.
How does Sardinia compare to Sicily and other Italian islands?
Sardinia's property market outperforms other Italian island destinations in both price appreciation and transaction volumes.
Sardinia leads all Italian islands in market performance. Sardinia recorded a 64.5% increase in property sales between 2019 and 2023, while Sicily experienced a more modest 34.7% increase in its second-home market during the same period. This demonstrates Sardinia's superior market dynamics.
Price comparisons reveal Sardinia's competitive positioning. While Sardinia's average prices of €2,420 per square meter may seem high, they remain below comparable luxury destinations. Capri and parts of the Amalfi Coast command significantly higher prices, while Sicily offers lower entry points but with less appreciation potential.
Sardinia offers unique advantages over other Italian islands. The combination of pristine beaches, established luxury infrastructure in areas like Costa Smeralda, and improving accessibility creates a compelling investment case. Unlike smaller islands, Sardinia's size and diversity provide options for every budget and preference.
| Island | Average Price (€/m²) | Sales Growth (2019-23) | Key Advantage |
|---|---|---|---|
| Sardinia | €2,420 | +64.5% | Highest growth, diverse options |
| Sicily | €1,350 | +34.7% | Lower entry prices |
| Elba | €3,500-4,500 | +25% | Proximity to mainland |
| Capri | €8,000+ | +15% | Ultimate luxury brand |
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.
What's driving the current property price increases?
Multiple powerful factors are converging to drive Sardinia's property price increases.
Tourism growth remains the primary driver. Sardinia's popularity as a tourist destination is on the rise, attracting more international visitors each year. This increased tourism boosts demand for holiday homes and rental properties, driving up property prices. Record visitor numbers in 2024 have translated directly into property demand.
Supply constraints amplify price pressures. The limited availability of land for new developments, particularly in coastal areas, restricts the supply of new properties. Coastal protection regulations and geographical limitations ensure this constraint will persist, supporting long-term price growth.
Lifestyle shifts favor Sardinian properties. The growing trend of remote work is encouraging more people to consider relocating to scenic and tranquil locations like Sardinia, increasing demand for residential properties. This structural change represents permanent rather than temporary demand.
Infrastructure improvements enhance accessibility and value. Improved transportation links, such as enhanced ferry services and airport expansions, are making Sardinia more accessible, attracting buyers who previously found the island too remote. These improvements are ongoing and will continue supporting demand.
Which property price segments offer the best value in 2025?
Different price segments in Sardinia offer varying value propositions for different buyer profiles.
Mid-tier coastal properties present compelling opportunities. Properties in emerging coastal towns priced between €2,000-€3,500 per square meter offer seaside access without Porto Cervo premiums. Alghero, a picturesque town known for its Catalan heritage and proximity to beautiful beaches, is increasingly becoming a popular destination for international buyers.
Inland properties offer exceptional value for lifestyle buyers. Oristano offers the most affordable properties at €1,066 per square meter, while towns like Nuoro provide authentic Sardinian experiences at fraction of coastal prices. These areas suit buyers prioritizing space and authenticity over beach proximity.
Urban properties balance accessibility and appreciation potential. Cagliari and Sassari offer good infrastructure, services, and steady appreciation at moderate prices. Cagliari properties average €2,203 per square meter, providing urban amenities without extreme premiums.
Renovation projects in traditional villages represent hidden value. Properties requiring renovation in charming villages can be acquired for €500-€1,000 per square meter, with renovation costs of approximately €30,000 for small properties creating significant value upon completion.
What are the rental yield prospects alongside price growth?
Sardinia offers attractive rental yields alongside capital appreciation, particularly in tourist areas.
Tourist area rentals show strong performance. Average rental prices jumping by 8.89% in 2024 demonstrates robust rental market growth. Coastal properties achieving 85%+ occupancy rates during peak season can generate annual yields of 5-8% gross.
However, rental price trends show some divergence from sale prices. In March 2025 the average price asked for residential rental properties was € 13.30 per month per square meter, with a decrease of 2.49% compared to April 2024, suggesting some seasonal adjustment after rapid growth.
Long-term rental demand is evolving. There has been a shift toward longer-term rentals, driven by both remote workers and retirees looking for a slower pace of life. This creates opportunities for stable, year-round rental income beyond seasonal tourism.
Location dramatically impacts rental potential. Porto Cervo and Costa Smeralda properties can command premium weekly rates exceeding €5,000 during peak season, while inland properties rely more on long-term tenants at modest rates. Urban properties in Cagliari and Sassari offer steady year-round demand from local workers and students.
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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.
Based on comprehensive market data and current trends, property prices in Sardinia are definitively going up, with a clear answer of "Yes" to continued price increases.
The Sardinian property market demonstrates robust fundamentals with 4.49% annual price growth, surging transaction volumes, and strong international demand. While not experiencing unsustainable bubbles, the market shows healthy appreciation that rewards investors while maintaining stability. With limited coastal supply, growing tourism, and improving infrastructure, Sardinia's property prices are positioned for continued growth of 3-7% annually through 2026-2027.
Sources
- 9 statistics for the Sardinia real estate market in 2025 – Investropa
- Sardinia: real estate market trend in 2025 - Immobiliare.it
- Is 2025 the Right Time to Invest in Sardinian Property?
- Yes, property prices will rise in Sardinia in 2025 – Investropa
- Sardinia: housing price and price/sq ft - Properstar
- How's Sardinia real estate doing now? (June 2025) – Investropa
- Property for sale, Sardinia, Italy: houses and flats — idealista
- Italy's Residential Property Market Analysis 2025
- Sardinia Property market, positive forecast for 2024
- Is it worth buying a property in Sardinia in 2024? – Investropa