• 23.07.2012

The housing crisis has come: if we start now with a price revolution

The IMU centered goal by collecting 9.551 billion from the first installment, and reaching 20.085 billion by the end of the Italians (and government) have breathed a sigh of relief now avoided since the increase in the rates IMU for the payment of the balance of December and also any second installment in September for those who chose the solution in three installments by reference to the main house.

The second piece of news about the interview of Governor of the Bank of Italy to the Corriere della Sera that, quote,

With us there was no housing bubble. None of bulimia loans for real estate. Our ratio of loans and market value of homes is less than 70 percent. In other countries it is close, if not superior, to 100

The third story is the strong decline of the household credit market in 2011 and the first three months of the year, with disbursements of mortgage loans for house purchase declined -47% in the first quarter of 2012.

Now, let's take a simple and direct observation: if you do not already noticed it, beyond the sentiment of different individuals, all data show that the situation of the brick is Italian (in fact, for readers this space, has already highlighted a situation for some time) steadily worsening, and the projected recovery, the speaker of 2013, those of 2014, I seem to have no supporting data.

The basis of re-starting is essentially tied to the issue price: buildings with high prices, which do not match architectural features, power saving utilities seen as public services (offices and public transport) and private (call it "great shopping") that justify the sale price, or rent.

The real estate and housing, in particular, will change more in the future with its perceived role: to be "safe haven" to "cost center".

Let the simple example of a car: the car is used to address the need for mobility, but between consumption, maintenance and taxes are an "investment to lose."

The house, as well Wikipedia says, is any man-made structure used to shelter from the weather where you live usually a family where you perform the basic actions of life, such as those to the community, sleep and eat. This definition has remained unchanged over the centuries, and time (hour and omit aspects of speculation or evaluation as a financial asset class), and only in recent years, has entered a "feel" different, with increased attention to different concepts such as energy saving, or earthquake safety. Why spend tot. euros in heating, when much of the increase of gas are dispersed dall'involucro sieve of my house? Why spend tot. euros in electricity costs, when most of the increases are being devoured by a management summary that could be improved with home automation? And I could go on ...

To start, one of the things to do, is to redefine the standards of living. The (resulting) redefinition of prices - the famous little word "repricing" - mortgage, and taxes (remember that after the announcements of March 2012 reform of the cadastre, the cadastral income is calculated in the IMU, everything has remained stationary) will be close behind.

If so many questions on Italian real estate sector remain without clear answers, this is a first proposal.

The market must be reconsidered. Totally.