Italy is firmly among the top three global destinations for wealthy individuals transferring residency, joining United Arab Emirates and the United States. The reason? A potent combination of lifestyle, heritage, and a highly competitive flat-tax regime that fuels demand for luxury real estate and high-value investments.
Why Italy Stands Out for HNWIs
Launched in 2017, Italy’s flat-tax regime allows new residents to pay a fixed €200,000 annual tax on foreign income, rather than progressive rates. Exemptions on inheritance and wealth taxes make this one of the most attractive relocation schemes in the world, valid for 15 years. It has already attracted nearly 4,000 high-net-worth individuals, with strong inflows from the UK after its non-dom changes. Milan, Lake Como, and Tuscany now rank among Europe’s hottest markets for ultra-luxury homes.
A Magnet for Global Investors
Financial centers like Milan are buzzing, with private banks, wealth managers, and developers seeing a surge in demand. Prime listings—from historic palazzos in Florence to classical villas on Lake Como—are drawing buyers above €10 million. This inflow of capital has also stimulated interior design, legal, and relocation services.
Strategic Implications for Investors
For developers, brokers, and investors, Italy represents:
- Premium Sales Pipeline: Rising demand for trophy properties.
- Wealth Relocation Hub: Growing onshore financial industry presence.
- Diversification Opportunity: From city penthouses to seaside resorts.
Looking Ahead
With nearly 3,600 millionaires expected to relocate in 2025 alone, Italy’s luxury property market is entering a golden age. For real estate professionals, this is the moment to secure visibility, offer concierge-style property experiences, and capture a share of the booming demand.
For more insights on Italy’s luxury scene, read our feature on the Tridente Fashion District in Rome and our latest coverage on Via Veneto’s renaissance.
