Luxforsale 2025 observatory: stability, quality of life, and tax advantages put italy at the center of the global luxury market

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The Luxforsale 2025 Observatory has captured a clear snapshot of a luxury real estate market in significant transformation—especially in Italy, which is becoming an increasingly desirable destination for investment. This trend is confirmed by the growing interest of funds, family offices, and major global investors who, particularly in recent months, have identified our country as a true safe haven for high-value real estate assets and capital.

Italy has now established itself as a key destination for high-net-worth clients and international players, thanks to a combination of advantages ranging from economic stability and excellent healthcare to favorable tax opportunities and a high quality of life. This winning mix makes Italy’s luxury market today one of the most competitive and attractive in the world.

Italy, a Safe Haven for International Investors

In an international geopolitical landscape marked by uncertainty and instability—from the war in Ukraine to the Middle East conflict and economic tensions in the U.S., China, and South America—Italy stands out as a safe harbor.
Unlike other countries, the Italian system enjoys strong political stability, a solid banking network, and a balanced socio-economic environment—ideal conditions to attract foreign capital seeking safety and continuity.

Italy has also benefited from the collapse of some competing markets, starting with the effects of Brexit. Many multinational companies once based in London—the heart of Europe and easily accessible—are now relocating to continental Europe. For the reasons mentioned above, Italy represents a particularly favorable destination.

Another key factor is that luxury real estate in Italy not only retains its value over time but can also generate consistent rental income, making it a secure and durable investment. More and more buyers choose to rent out their properties, turning their second homes into stable sources of revenue.

Italy’s vast green spaces, mild climate, and the ability to live comfortably across its entire territory have made it even more appealing, particularly after the post-Covid period, when people rediscovered the value of open spaces and a closer connection with nature.

The Luxforsale Visitor Profile

The Luxforsale Observatory has also outlined the typical visitor profile on its platform. Men slightly outnumber women (52.9% vs. 47.15%), while the most active age group is between 35 and 44 years old—an age range typically marked by financial stability and a desire to invest in quality-of-life improvements.

Regarding user behavior, mobile devices remain the preferred access tool, increasing from 80.96% in 2024 to 81.73% in 2025. Desktop computers rank second (16.25%), followed by tablets (2%).

A Market Driven by Favorable Taxation and Competitive Advantages

Italy is particularly appealing to high-net-worth individuals thanks to the fiscal incentives introduced in recent years. One of the most notable is the flat tax, which allows foreign residents to pay a fixed annual sum of €200,000 to comply with tax obligations—a perfectly sustainable amount for millionaires. Even with a proposed increase to €300,000, it remains highly competitive for major investors, who can enjoy a favorable tax regime within an EU country.

Another attraction is the Golden Visa program, which grants residence to non-EU citizens who make a significant financial investment in Italy—a highly appealing opportunity for investors from politically or economically unstable countries such as Russia, Israel, or Ukraine.

Mortgages for Foreign Clients: A Strategic Innovation

One of the most significant innovations—introduced by Luxforsale and currently unique in Italy—is the ability for high-end foreign clients to access mortgage financing. With an average interest rate of around 2.5%, Italy offers far more favorable terms than many international markets, where rates often exceed 8–10%. For multi-million-euro investments, this difference translates into substantial savings and increased liquidity for further operations.

This measure also enhances the bankability of foreign clients, reinforcing Italy’s reputation as a stable, trustworthy, and investor-friendly country.

From Major Cities to New Luxury Regions

In the past, international interest focused mainly on iconic cities and prestigious destinations such as Milan, Rome, Florence, Venice, and the Italian Riviera. These continue to hold their allure, but new luxury markets are emerging in regions like Sicily, Puglia, Marche, Veneto, and Liguria.

Among the over 5,000 properties listed on Luxforsale during the period analyzed (April 1, 2024 – March 31, 2025), suburban areas were the most in-demand (33.30%), followed by urban centers (31.37%) and coastal areas (26.30%). Lakefront properties (5.41%) and mountain homes (2.60%) remain fewer in number but are still of exceptional value.

In terms of regional distribution, Lombardy and Tuscany continue to lead, with 1,036 and 963 luxury properties respectively. Liguria is also showing strong growth, now boasting 519 premium listings.
The region with the highest average property value is Molise at €2,373,571—although this figure is based on just ten properties, far fewer than other regions.

The evolution of Italy’s luxury real estate market is also reshaping purchasing methods, introducing innovative formulas such as “Try Before You Buy”, which allows clients to rent and test a property for a short period before committing to purchase. Interestingly, 37% of international jet-set clients who vacation in Italy end up buying a property.

Outlook for the Coming Years

The current moment is among the most prosperous in the past 15 years for the Italian luxury real estate market. Forecasts suggest a steady upward trend for at least the next five years, fueled by the country’s stability, the enduring appeal of “Made in Italy,” and the growing interest of major international groups in complex real estate investments—from residential to high-end hospitality.

In a global market defined by uncertainty, Italy shines as a reference point—a safe and beautiful place to invest in real estate that embodies the timeless elegance of the Italian lifestyle.

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