According to JamesEdition, a portal for foreign buyers seeking homes over £500,000, buyer inquiries in Puglia grew by 62 per cent last year, compared to just 1.2 per cent in Tuscany.
This surge in interest has prompted major real estate agencies to establish a presence in the region, with Coldwell Banker opening seven offices since 2022 and Engel & Völkers launching four since 2023.
Property prices in Puglia have increased 20 per cent since 2021, reaching €3,500 per square meter for prime homes in the popular central area containing the Valle d’Itria.
By comparison, prices in Tuscany’s Chianti region rose just 6 per cent to €4,000 per square meter during the same period.
Francesco Distante of estate agency Puglia Dream said there was a significant shift in his client base.
“Americans, French and Germans dominate the €1mn-plus market; while homes for €500,000 to €800,000 are popular with Dutch, Italians and British,” he told the Financial Times.
The region’s appeal stems from its distinctive architecture, including whitewashed trulli with conical roofs and masserie (fortified stone farmhouses), alongside its dramatic coastlines and authentic Italian lifestyle.
The area between Bari and Brindisi has become particularly fashionable, featuring upscale beach clubs and boutique hotels.
Italy’s favourable tax regimes have played a crucial role in attracting foreign buyers.
These include a high net worth flat tax, a scheme offering tax discounts for qualified professionals, and a special 7 per cent tax rate on foreign income for retirees living in qualifying towns.
The region offers abundant renovation opportunities at significantly lower prices than in Tuscany.
Unrenovated properties in the Salento region cost €1,000 per square meter on average, compared to €2,500 per square meter in Chianti anthe d surrounding Tuscan hills.
Caroline Edwards of Personal Puglia warned buyers about potential planning issues, particularly with historic buildings that may have undergone illegal modifications.
“If you are buying a palazzo untouched for a century that is fine, but anything with parts built after those dates requires paperwork to prove it is legal.”
With the planned opening of a Four Seasons resort near Ostuni by 2027 and a new direct flight from New York to Bari introduced in June, Puglia’s competition with Tuscany for international property buyers is set to intensify further.
