It is in this spirit that Banca d’Italia has taken the initiative to organize today’s Seminar, with the aim of better understanding the characteristics of this industry and its implications for the financial system in Europe and in Italy.
Going forward, improved affordability – the result of lower house prices and record-low mortgage rates – should boost the demand for housing. However, the overhang of foreclosed-upon and vacant housing and the difficulties of many households in obtaining mortgage financing are likely to continue to weigh on the pace of residential investment for some time yet.