Italy faces housing tax debate and rising household debt

Forza Italia announced a series of proposals aimed at reducing taxes on housing. The party plans to eliminate taxes on first‑home purchases for people under 35, speed up eviction procedures, set a 21% flat tax on commercial rentals and overhaul the IMU and other property taxes. The party argues that lower taxes will stimulate growth, support families and revive the construction sector.

At the same time, research by the Finsight 2026 Observatory shows a growing over‑indebtedness problem among Italian households. On average, families carry about €25,000 in debt, often spread across multiple loans such as mortgages, personal credit, revolving cards and other financing. Over‑indebted households are typically middle‑aged, have permanent jobs and own their homes, yet struggle with cash flow as debt repayments consume a large share of their income. The data highlights that stable employment and property ownership no longer guarantee financial security for many Italians.