• Germany edition
 
Italian crisis helps German property buyers
Photo: DPA

Italian crisis helps German property buyers

Published: 03 Nov 2012 08:36 GMT+01:00
Updated: 03 Nov 2012 08:36 GMT+01:00

Friday’s Die Welt newspaper suggested the economic crisis was turning Italy into a good option for German second-home bargain hunters. At the same time property prices in many regions of Germany have been rising as people seek safe investments.

A German expert in the market told the paper that Germans had often been frustrated when looking for a second home in the tiny German-speaking area of southern Tirol. By the time German buyers amassed a list of potential properties, they had been sold to Italians, the paper said.

The crisis has changed this, said Heinz Neuhauser, the director of the south Tirol estate managers association.

“Germans who are looking for a vacation home in southern Tirol no longer have to drop everything anymore and immediately cross the Brenner Pass to look at an interesting potential piece of property, said estate manager Stefan Hintner of Vettori Immobilien.

Waiting a bit is a good strategy, estate experts said. Prices have already dropped more than 20 percent, but economic forecasts say a further drop of seven percent is possible.

A two-room apartment in one area that sold for €230,000 in 2009 is now on the market for €170,000, for example.

A key reason is the recession that has hit Italy hard and that has translated into a strong drop in domestic demand in Italy. The country’s economic performance has declined by six percent since 2008 and is still moving lower. Unemployment, now at 10.7 percent, is expected to top 11 percent. More Italians are worried about losing their jobs and are therefore shelving any plans they had for a second home.

The increased vigilance of Italian tax authorities could also be playing a part – those seeking to hide untaxed money are more likely to park it abroad, in places like Switzerland rather than putting it into property at home.

The changing property picture has been to foreign buyers’ advantage and those in nearby Germany stand to gain, said property agent Neuhauser. “We’re seeing more demand from Germany,” he said.

The Local/mw

The Local (news@thelocal.de)

Don't miss...X
Left Right

Your comments about this article

12:58 November 3, 2012 by smart2012
Pre-election Propaganda never ending in Germany. Two considerations not given:

A. Germans cannot even afford a first house, as prices in Germany are too high.

B. latest statistics show that key buyers in Italy are Chinese and Russian.

C. Go to Garda lake and you will see how many Germans go in B&B as they cannot even afford an hotel.

Germany's falling in recession is hidden, luckily German companies starting kurzarbeite cannot be hidden so long...
17:28 November 3, 2012 by Englishted
True very true smart2012
20:44 November 3, 2012 by Berlin fuer alles
This is rubbish. Are the local on the payrole of the ministery of propaganda? The main buyers on the meditereanean are Russians, Scandinavians and some wealthy Chinese. Ask any real estate agent in the country. By far the top buyers are Russians. Germans have little spending power abroad in comparison.
06:29 November 4, 2012 by ChrisRea
@ smart2012

"B. latest statistics show that key buyers in Italy are Chinese and Russian" - can you please provide these statistics (or a link to them)? Thanks!
20:30 November 5, 2012 by chris berlin
haha, what kind of propaganda should this be? This is news for rich Germans for investments but the public gives a fxx about this.

smart2012 also named it propaganda that significantly more italians study german in italy... this is also no propaganda. Spaniards and Italians have become the biggest immigrant groups in my Berlin neighborhood... which is also reflected in my social relationships, most of them Spanish or Italian.

This would also not be a good propganda issue because then Germans get affraid that too many foreigners take away their jobs...

I see Germans as overly self-critical, also their media. Even during the last years and today the media are negativ instead of "glorifying" its situation as most other "proud" countries would do it. It is more those not from Germany who idealize it, not the native Germans. This also applies to me.
Today's headlines
German of the Week
Should we all get €12,000 a year?
Martin Bohmeyer has not worked for money in six months. Photo: DPA

Should we all get €12,000 a year?

What would happen if everyone was suddenly paid €1,000 a month with no strings attached? "Let's try it," says Michael Bohmeyer, who raised the money through crowdfunding and will now experiment with the idea of a basic income for one year. He is The Local's German of the Week READ  

Language barrier foils supermarket hold-up
Communication is key for cops and robbers alike: Photo: DPA

Language barrier foils supermarket hold-up

An armed robber fled a Berlin supermarket empty-handed in frustration over his lack of German language skills, the Tagesspiegel newspaper reported Thursday. READ  

Four Germans on missing Air Algérie flight
A Swiftair flight Photo: EPA/SWIFTAIR

Four Germans on missing Air Algérie flight

UPDATE: Four Germans were among the 116 people onboard a Air Algérie flight which crashed over Mali on Thursday, according to the airline which operated flight number AH5017. READ  

Munich midwife 'tried to kill pregnant mums'
The hospital in Munich where the midwife worked. Photo: DPA

Munich midwife 'tried to kill pregnant mums'

A midwife in Munich stands accused of trying to murder four pregnant mums during childbirth using a blood-thinning drug. READ  

Top university switches master's to English
Munich's TU university wants to switch its master's programmes to English. Photo: DPA

Top university switches master's to English

UPDATE: One of Germany’s top universities wants to ditch German and switch almost all of its master’s programmes to English in the next six years, prompting fears that the academic standing of the German language is under serious threat. READ  

Death sentence for Afghan reporter murderer
Anja Niedringhaus (r) with colleague Kathy Gannon in 2013. Photo: DPA

Death sentence for Afghan reporter murderer

A former Afghan police commander has been sentenced to death in Kabul for the killing of German war reporter and photographer Anja Niedringhaus in April this year. READ  

ECB blackmailed after data stolen
The ECB building (right) in Frankfurt. Photo: DPA

ECB blackmailed after data stolen

The European Central Bank in Frankfurt has received a blackmail letter after its public website was hacked and contact data stolen, the bank said on Thursday. READ  

Manhunt on for police officer's killer
Police searching the area on Thursday morning have released an e-fit of the suspect. Photo: DPA/Polizei Hessen

Manhunt on for police officer's killer

UPDATE: An off-duty police officer was shot dead in a street in western Germany on Wednesday night, prompting a large-scale manhunt for the culprit. READ  

Berlin is Europe's fastest growing tourist city
Photo: DPA

Berlin is Europe's fastest growing tourist city

Berlin is the fastest growing tourist destination among Europe’s major cities, with overnight stays in the capital up eight percent in 2013. It could soon topple Paris as Europe’s number two tourist city. READ  

Lufthansa flight ban is 'surrender to terror'
Tel Aviv's Ben Gurion International airport board shows cancelled flights from Europe on Wednesday. Photo: DPA

Lufthansa flight ban is 'surrender to terror'

Politicians criticized German flight operators for "surrendering to terror" after they refused on Thursday to resume flights to Tel Aviv, despite a US decision to lift a two-day flight ban to the Israeli city. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
instagram.com/gotzemario
Gallery
Germany's World Cup stars share their holiday photos
Travel
Plans unveiled for bike trail along former Iron Curtain
Photo: DPA
Sport
Yoga helped Jogi's boys bring World Cup home
Photo: DPA
National
Pressure on police over anti-Semitic protests
Photo: DPA
Gallery
The Local List: 12 best words in German
Photo: DPA
Politics
View from Germany: 'Nobody will win in an economic war with Russia'
Photo: DPA
Business & Money
Jobtalk: How innovative is Germany?
Photo: DPA
Gallery
German Bucket List: How many of these can you tick off?
Photo: DPA
Gallery
Germany's week in pictures: July 12th - July 18th
Photo: DPA
Business & Money
Which workers is Germany short of?
Photo: DPA
Gallery
Ten best expat jobs in Germany: Which one would you choose?
Photo: Europeana.de 1914 - 1918
Gallery
A German soldier's life behind WWI lines
Photo: Shutterstock
Features
Some of the most embarrassing mistakes you can make in German
Education
Raising the bar for law & business in Germany
Photo: DPA
Business & Money
JobTalk: All you need to know about working in Germany
Photo: DPA
Features
The Local List Archive - Your guide to all things German
National
Share news tips with The Local Germany
Sponsored Article
CurrencyFair: Why it pays when making overseas transfers
Sponsored Article
Bilingual school turning education on its head
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Latest news from The Local in Sweden

More news from Sweden at thelocal.se

3,285
jobs available
Toytown Germany
Germany's English-speaking crowd