Affordable Italian properties see increased availability on the market.
Some towns have had a hard time selling abandoned buildings, while others have enjoyed successful sales.
Sicily's Sambuca di Sicilia is preparing to sell a third batch of its abandoned structures, starting at just 3 euros (about $3.30).
Past Success
After witnessing high demand in 2019 and 2021 for their previous home sales, the town's newly-elected mayor, Giuseppe Cacioppo, tells CNN they anticipate more sales in the future.
Foreigners have shown a great interest in Sambuca's properties, making the auctions a hit so far. Mayer Cacioppo urges potential buyers to visit the town and check out the over a dozen homes up for grabs this time.
He notes that "the timing is perfect," as tourists and interested buyers traveling to Italy can come and check out the properties. These houses are structurally stable but in need of renovation.
In 2019, the town gained international attention when it announced it was selling 16 homes for one euro. In 2021, it offered a second batch for two euros. The auctions attracted buyers from as far as the Middle East.
These fire sales boosted Sambuca's local economy with a 20-million-euro (roughly $22.5 million) investment in the region. This included money spent in new B&Bs, shops, contracts with builders, architects, surveyors, and interior designers.
The two batches of houses, owned by the town hall, also revitalized the private real estate sector. People who didn't manage to purchase a home during the auctions bought other cheaper properties instead, resulting in 250 homes being sold.
The town's success in selling its abandoned buildings is largely attributed to the local authorities owning the properties they want to sell.
Other depopulated Italian towns, like the medieval village of Patrica, south of Rome, tried to launch similar schemes but struggled to find the original owners to gain permission to sell their empty homes.
Revival Plans
The local authorities took ownership of the town's abandoned houses after an earthquake hit the surrounding Belice Valley in 1969. The disaster forced many local residents to flee, leaving their houses behind.
The Italian government allowed Sambuca to take ownership of the abandoned houses, allowing the town hall to sell them off as they pleased, and without involving any middle agencies.
This streamlined process has helped to expedite the sales process.
The properties up for sale this time include single, two to three-bedroom houses spread over 50 to 80 square meters and are either one or three floors. They have beautiful iron-wrought balconies, panoramic terraces, original wooden doors, and decorated windows. The best conditioned properties even have tiny internal courtyards with lemon trees and ancient tiled floors.
However, most of the houses need significant repairs, and their interiors are filled with forgotten items and broken furniture.
The cost of renovations starts at €30,000 (about $32,500) for a basic update, but can go up to €200,000 (approximately $217,000) for those planning to turn the houses into luxury retreats.
One American couple bought a cheap home and later added an internal elevator.
Many of the previous winners of the auctions later purchased additional properties, often connected options that could be turned into bigger houses.
High Demand Continues
To capitalize on this high demand, locals have been selling off their own abandoned garages and attics.
Most of the people who've been drawn to Sambuca, away from the touristy crowds, are from the US. This has created a "Little America," with many residents now speaking English with a Sicilian accent.
Encouraging remote workers, last year the town hall opened co-working spaces to attract global remote workers, offering free stays and strengthening its Wi-Fi connection.
"Our town is now definitely on the map," says Cacioppo.
The homes being auctioned in this new round of sales will be sold to the highest bidder, as the winning bid is placed in a sealed envelope and opened in front of a judge after the application deadline.
Buyers need to pay a deposit guarantee of 5,000 euros (approximately $5,430) for participation in the auction.
If they don't get the contract, the amount will return to them right away. On the other hand, if they succeed, the 5,000 euros will serve as their security deposit.
The guidelines for this plan state that homeowners must have finished renovating their houses within three years, otherwise they could lose their security deposit.
Nonetheless, the town hall has been flexible regarding deadlines, enabling more time to finish the projects due to the pandemic.
In the previous sales, houses were ultimately sold for prices ranging from 1 to 25,000 euros (approximately $27,133), with the majority selling for between 5,000 euros (approximately $5,426) and 10,000 euros.
Interested applicants can check out pictures and descriptions of the available homes, as well as application forms, on the town hall's official website.
Read also:
Travelers interested in renovation projects might find opportunities in Sambuca di Sicilia, where affordable homes are up for sale again.In the past, these fire sales have led to significant investments in the local economy, attracting foreign buyers from various parts of the world.
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