When it comes to Italian cities, ‘unique’ is a recurrent theme. After all, there are not many Colosseums, Brunelleschi domes and Mole Antonellianas out there. That being said, there is one city that is profoundly different from anything else Italy, and really the rest of Europe, has to offer. The city of Venice is a floating miracle, an open-air museum, and an absolute joy for the eye. Even just one visit will have you thinking about what it would be like buying property in Venice.
The city of Venice is comprised of over 100 islands spread over 200 square miles of Venetian Lagoon, as well as a populous inland urban area–the boroughs of Mestre and Marghera. To help you better understand how to approach buying property in Venice, we’ve provided a brief overview of the broader Venetian property market with a focus on the most sought-after boroughs, including the historic city and the most famous islands.
Immobiliare.it indicates that, as of the end of 2023, the average asking price for residential real estate in Venice was €3,090 per sqm (€285 per sqft). If you are thinking “Wow, not so bad!”, keep in mind that this is the average price in the broader market, which includes remote islands and the inland portion of the city.
The historic city of Venice is comprised of six neighborhoods called ‘sestieri’: Cannaregio, Castello, Dorsoduro, Santa Croce, San Marco and San Polo.
Home prices vary significantly across the sestieri but are generally well above the market and national averages. San Marco is the sestiere where prices are highest, surpassing the €5,500 per sqm (€510 per sqft), on average. San Polo follows suit, with average prices of around €5,000 per sqm (€465 per sqft), and higher for the area proximate to the Rialto bridge. Dorsoduro, Santa Croce and Cannaregio have slightly more affordable prices, averaging €4,900 per sqm (€455 per sqft). The most affordable properties in the historic city are to be found in the Sestiere Castello, where at an average of €4,400 per sqm (€410 per sqft), properties aren’t exactly cheap.
Features that can drive prices significantly up or down are water (or Grand Canal) views, water access, the presence of special architectural or artistic elements, the presence of expansive balconies or roof ‘altane’, and of course property condition. These palazzi and apartments date several hundreds of years, and the internal layout may still reflect the original construction. At the higher end of the market, physical elements have a secondary role in property valuation and assets are priced more similarly to fine art.
Those who want to experience Venice like a local and hope to avoid tourists may prefer to reside on one of Venice’s islands. The three most famous and populated islands in the Venetian Lagoon are Giudecca, Murano and Burano. Giudecca is the closest, and is considered to be part of the main city and of Sestiere Dorsoduro. Given its proximity and similarity to the city, prices in Giudecca average €4,500 per sqm (€420 per sqft). Murano and Burano, on the other hand, while just as famous, feature a completely different environment. Residing in these two islands might be less convenient if you do not have access to a boat, but real estate is significantly more affordable and life is less chaotic. As of early 2024, the average asking price for homes in Murano was €2,800 per sqm (€260 per sqft) and in Burano was €2,500 per sqm (€230 per sqft).
Due to its historic, intrinsic, and artistic value, Venetian real estate is especially coveted among foreign buyers. While this island presents some of the most beautiful real estate in all of Europe, prospective buyers should give serious consideration to what a typical Venetian home or apartment entails. The spaces are often narrow, there are considerable limits to the kind of renovations you are permitted to do, staircases are steep, and elevators are a distant memory. Many comforts and modern conveniences are simply not present in a 500-year-old palazzo.
In conclusion, the city of Venice features some of the most desirable and expensive real estate in the world. As real estate goes, however, these properties are extremely peculiar. Many who approach buying property in Venice find the process more akin to the purchase of fine art than prime real estate.
If you are curious about Venice’s short term rental market, you may find interesting information in our article on the best short-term rental markets in Italy.
