Why French residents are eyeing up an Italian retreat
Discover why French buyers are increasingly turning to Italy for prime real estate and lifestyle benefits
2 minutes to read
The number of French residents in Italy is increasing, with faster price growth across the border one reason for the uptick in demand.
According to Istat, the Italian National Statistics Office, the number of French citizens living in Italy grew by 7.5% over the two years to January 2024, reaching over 30,000. This figure doesn’t take into account those purchasing holiday homes for seasonal use or as an investment property.
Stronger price growth
Italy’s prime residential markets are currently experiencing a stronger rebound in pricing compared to some areas of France.
Of the 18 prime French and Italian markets tracked by Knight Frank’s Prime International Residential Index, those in France registered average price growth of -0.6%, whilst those in Italy recorded 3.3% price growth in 2024.
With more prime buyers targeting both income and capital appreciation this may explain why French buyers are looking across the border.
Firmer fundamentals
Italian residential transactions have risen 75% since their low in 2013 to almost 260,000 per annum as household debt has come under control and the Italian government has sought to stabilise the Italian economy.
With the European Central Bank having cut rates six times since June 2024 and economists expecting rates to drop to 2% by the end of the year, there is momentum growing.
“We’re seeing buyers doing their homework to identify areas that not only deliver on lifestyle, accessibility and culture but ones that are deliver on growth potential and capital preservation” said Mark Harvey, Head of International Residential. Mark adds, “Based on the demand we’re seeing from French residents searching in Italy, we expect the next six months to be as busy as we have known in recent years.”
Areas to watch
Milan is witnessing strong demand, Italy’s financial hub is increasingly the first port of call for UHNWIs looking to take advantage of Italy’s flat tax.
Demand is being amplified by the 2026 Milan Cortina Winter Olympics which is just around the corner. Areas such as the former Porta Romana railway yard are being transformed attracting both domestic and foreign investors.
Meanwhile, Lucca located within 30 minutes of Pisa, is experiencing growing demand. Its old town with small family-run restaurants, and its relative value - prime prices are close to €7,600 per sq m, makes it highly sought after.
Florence and its surrounding hills add another dimension to Tuscany’s offer with its history, culture and excellent international schools it is popular with Europeans and US buyers seeking a permanent move. According to Istat, some 15,600 foreign citizens now call the city home.
Next steps
If you’re considering buying in Italy contact Andrew Blandford-Newson or Isabella Foster, download our Italian Buyers Guide or sign up here to receive our Italian market research.