Investments in the residential sector are making a comeback and are expanding especially in some European territories such as Italy. This is the result of the report “Growth opportunities in living”, recently published by JLL.
The analysis of the renowned consulting firm has in fact highlighted how – by 2030 – one third of direct real estate investments globally will concern the living sector, and will be concentrated in the so-called fragmented growth markets, which also include our country. .
The factors that were taken into consideration to evaluate the residential development rate in each nation are different: „from urbanization to internal migration, from demographic aspects […] to those of the family economy, up to cultural evolution“.
The data confirmed that – where there are opportunities to develop buildings for rent, combined with certain favorable market and economic conditions – there are opportunities for investors. In fact, in our Country, due to an almost static growth in incomes, problems of accessibility to housing are appearing in certain geographical areas, which translate into an ever greater need for rental housing.
Consequently, the so-called “fragmented” markets such as the Italian one seem destined to be fertile ground for investors from all over the world, in the short and medium term.
Trends are astonishing. Just think that, in 2018, the weight of institutional capital in the residential sector settled at 16% and that, in the following two years, it rose to reach 41% (year 2020).
The most attentive investors – large and small – will therefore have the opportunity to diversify their portfolios, to capitalize also in the living area: residential houses and apartments, but also student housing and residences for the elderly or healthcare.