Mortgages, first house, and CONSAP guarantees: what will change in 2025

Renato Maffey, President of ANAMA, tells us more

Mortgage rates fell to 3.09% on new loans in January. Is this a positive sign for the real estate market?

"The drop in interest rates has already led to an increase of around 53% in mortgage applications in January. This means that many more people are considering buying a home as an increasingly realistic possibility. And it certainly helps the real estate market, which is currently suffering from various problems unrelated to mortgage rates.

The international situation has a major impact on the peace of mind needed to make a major investment such as a home. The current economic situation in Italy and Europe is not encouraging: over the last 15 years, the real value of incomes and therefore the purchasing power of households has been eroded, first by inflation and then by the energy crisis of recent years."

Is there a correlation between lower rates and an increase in sales?

“Yes, there is. Partly because, clearly, being able to access a mortgage means being able to correlate the mortgage payment with one's income. Lower interest rates therefore allow for a larger share of the ratio between income and mortgage demand, facilitating sales.”

Advantages not only for buyers: what are the advantages for sellers?

"The reduction in interest rates also helps sellers, given the increased demand. But what most influences the decision to sell today are the restrictions imposed by the EU on so-called green homes.

I am thinking of the obligation to upgrade homes with the most serious energy ratings, F or G, to more satisfactory energy classes. Many property owners who cannot afford to renovate therefore tend to sell or transfer ownership because, usually, buyers also invest in renovation.

Another factor that influences home purchases and boosts the real estate market is the possibility of renewing the CONSAP contribution for mortgage guarantee requests."

Let's talk about the first home fund. Since January 2025, restrictions have been introduced on who can benefit from it. What has changed?

"The CONSAP mortgage is the guarantee offered for the First Home mortgage to families who would not be able to access bank financing due to their inability to earn enough income, obtaining 80% coverage from the state. It was aimed not only at young couples but also at adults, but from 2025 it will only be aimed at young couples under the age of 36.

As ANAMA, together with FIAP and FIMAA, the other two associations in the inter-association council, we ask the government to remove the restrictions imposed by the 2025 budget. These include the age restriction, which is new this year compared to 2024, when eligibility for the subsidy was linked to people's income.

And how can the vitality of the real estate market be promoted?

"There are initiatives that could facilitate the market and make it more dynamic. There is an anomaly in the VAT taxation on the purchase of a first home. For new buildings, it is 4% of the purchase price, while the registration tax for the purchase of a non-new building is 2% calculated on the price value determined on the cadastral income.

This means that buying a new home involves almost double the tax cost of buying a used property on the market. But even more serious is the application of VAT on the market value of the property and not on the cadastral value, as is the case for the purchase of used properties. This certainly does not encourage the purchase of new buildings, even though, paradoxically, they have all the characteristics of green homes and fully comply with energy efficiency criteria.

The sale and purchase of new homes should be stimulated, as should urban regeneration aimed at facilitating, through public and private investment, the redevelopment of the national real estate market, which is outdated and difficult for private individuals to remodel in accordance with the new regulations.

How does this discrepancy in VAT affect purchasing decisions?

“It is an additional burden that the customer has to pay. For the same amount of a property, there is a big difference between 4% of the purchase price and 2% of the value. Instead, we should facilitate the urban regeneration carried out by large companies, which allows for energy-efficient properties in line with European objectives.”