Housing is one of the biggest costs we all face, whether it be mortgages, rent or saving for a deposit on a house. A huge percentage of most people's income goes towards putting a roof over our heads. But what if we told you that you could buy a property at a cheap price, a real cheap price?
Well, believe it or not, a number of Italian villages have begun selling homes for just €1. That's around 1.18 US dollars or 90 pence in UK pounds. That's not a typo, we really mean €1.
Essentially these villages are giving away these homes for free as a bid to rejuvenate towns that over recent years have seen a fall in tourism, investment and a decline in population.
Local government in these Italian towns and villages feel that by creating this opportunity, open to both Italians and foreigners, it will create a bright new future, bringing in revenue and structural renovation. Much of the population decline is due to Italy's very low birth-rates and young people leaving these rural settings to move to urban settings for educational or work reasons.
Michele Conia, who is the mayor of the town of Cinquefrondi, outlined the reasoning behind the project, saying:
"Finding new owners for the many abandoned houses we have is a key part of the Operation Beauty [mission] that I have launched to recover degraded, lost parts of town. I grew up in Germany where my parents had migrated, then I came back to save my land. Too many people have fled from here over the decades, leaving behind empty houses. We can't succumb to resignation."
Now there are some catches. Firstly, these homes are not ready to live in. In fact, most of them are almost ruins or in very serious states of dilapidation. Secondly, in many of the contracts you are required by law to promise to renovate the entire property within 3 years. This cost shouldn't be underestimated.
According to one article by Forbes magazine on the €1 house phenomenon, the renovations on these homes can cost up to €100,000 from start to finish, with average costs of around €50,000 for even the most basic renovation.
This hasn't stopped plenty of people snapping up the offer and many hundreds of homes have already been sold, many by people wishing to turn them into guest houses for tourists. One such couple are Morgane Guihot and her husband who moved from Nantes in France and bought a €1 home in Mussomeli, Sicily.
They are delighted with what they have achieved. Morgane told CNN:
"When we decided to invest in a second home, we were lured by the attractive bargain prices in Mussomeli when compared to France's expensive estate market. But what conquered us the first time we visited was the charm of the place. It's super cute and locals are so welcoming. It went better than expected. And even our home -- we thought it would be in a worse shape. Oh, we'd do it over and over again. We're still very young, who knows. For now it will be our holiday house, that will give us plenty of time to properly learn Italian."
With land become more expensive, the opportunity to buy land, build or renovate a house and then legally own it mortgage-free is certainly something that is enticing many. Maybe this will be the shot in the arm that will bring new life to these beautiful villages.
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