Italian real estate sales climb as bank lending accelerates in early 2026

Italian property transactions rose 4.4% year‑on‑year in the first half of 2026, reaching 179,654 sales and injecting about €4.3 billion of investment in the second quarter, according to IPI data. Mortgages accounted for 47.8% of all residential purchases, while average home prices continued to increase at a 4.1% annual rate, with regional variations – Milan, Rome and Turin leading in volume and price dynamics.

Bank credit also picked up pace, with total loans up 3.1% year‑on‑year in May, driven by a 2.6% rise in household borrowing and a 3.5% increase for non‑financial corporations. Deposits grew more modestly at 2.7%, and bond‑issuance by banks edged slower to a 4.1% gain, indicating a banking sector that is extending more credit even as traditional savings growth eases.