Choosing to invest in real estate means taking a step that can be life-changing from a financial stability perspective. Among the many options to consider, buying houses in Italy always has its charm, as the country has long fascinated both travelers and those seeking a place to relocate, rich in beauty and human-scale living.
When approaching the Italian real estate market, it’s important to be aware of the central role that short-term rentals play—now a structural choice for those looking to monetize their properties.
After years of changes in the sector—as demonstrated by the requirement to obtain and display the CIN, the national identification code—new rules may soon be on the horizon.
The spotlight has recently turned to the Municipality of Florence, which has introduced specific restrictions on short-term rentals in the historic city center.
A potential turning point for other Italian cities
In recent days, the Municipality of Florence—after considerable controversy—passed a regulation that introduces a real crackdown on short-term rentals, particularly in the city’s historic center.
This includes fines of up to €10,000 for non-compliant properties and a minimum size requirement of 28 sqm for homes used for short-term tourist rentals.
The act approved by the Florentine city council also establishes a freeze on new short-term rental permits in the UNESCO World Heritage area of the city.
According to experts, this could become a model soon replicated by other cities—especially large urban centers like Milan, Rome and Bologna—where the boom in short-term tourist rentals is severely affecting traditional rentals, negatively impacting housing accessibility for a broad segment of the population often facing financial difficulties.
As mentioned, the regulations in Florence have sparked controversy, but not all the new rules can be considered penalizing for property owners. One example? The minimum size requirement to rent a property has increased from 20 sqm (the national standard) to 28 sqm.
This is undeniably a positive aspect for those with a limited budget who, when evaluating which property to buy in Italy, are drawn to studio apartments.
Another noteworthy change is the requirement to register in the tourism rental register to operate legally in the short-term rental market. This enables property owners to obtain a license that is valid for 5 years and is voided upon the sale of the property.
Sanctions
The case of the Municipality of Florence is also making headlines regarding how it handles short-term rentals due to the penalties imposed on violators.
These are significant fines, ranging from €1,000 to €10,000 per property found in violation—among the offenses are undeclared employment, which leads to immediate revocation of the rental license. Inspections may occur both on-site and online, using data available on booking platforms.
In case of irregularities, both the property owner and the rental manager are jointly liable.
Before diving into the short-term rental market in Italy, it’s essential to carefully analyze these regulations and, above all, choose wisely where to buy.
In major cities like Rome, not all neighborhoods are suitable for short-term rentals—as evidenced by the drop in listings in Rome from January 2024 to February 2025 (-8.5%).
