(Finance) – The mortgage market in Italy could be affected by inflationary challenges and supply shocks over the next 12-24 months, but no substantial deterioration in mortgage performance is expected given the primary nature of collateral and resilient labor markets. This was stated by Fitch Ratings in a new report on the subject.
The rating agency recalls that house prices in Italy grew by 0.5% in 2021, after a few years of stagnation. Fitch predicts that i Italian house prices they will register one growth at a low-single-digit rate in 2022supported by increased demand and limited supply, largely consisting of dated properties.
“The demand for housing is also driven by changes in housing preferences, with some shifts towards suburban areas and larger homes – the study reads -. challenges of inflation and reduced consumer confidence due to the war in Ukraine they could curb the demand for new housing “.
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