Buying property in Florence as an investment: renovated or to renovate?
Florence remains one of the most attractive Italian cities for those looking to purchase property as an investment. Demand for rentals, especially short-term and mid-term stays, continues to be strong and consistent throughout the year. As a result, many investors face the same key question: is it better to buy a property that is already renovated, or to invest in one that needs renovation?
The answer depends on several factors, including budget, available time and overall investment strategy. Understanding the pros and cons of both options is essential in order to make an informed decision and build a solid, long-term investment in the Florentine real estate market.
Buying a renovated property
Purchasing a property that is ready to use offers an immediate advantage: it reduces time and uncertainty. The apartment can be put on the rental market almost straight away, avoiding renovation work and the technical and bureaucratic complexities that often come with it. This option is often preferred by investors seeking a more straightforward and predictable investment.
A renovated property is particularly suitable for those who want to start generating income quickly, prefer a simpler management process or do not have the time to oversee renovation projects. In a city like Florence, where the rental market is highly competitive, this can be a significant benefit.
On the downside, the purchase price is usually higher. In addition, the property may not be fully optimised for rentals, especially short-term stays. Layout, systems and amenities may not perfectly match the expectations of guests, potentially limiting overall returns compared to the initial investment.
Buying a property to renovate
Buying a property in need of renovation requires more planning, but it can offer greater opportunities for value creation. It is often possible to purchase at a more competitive price and design the property from the ground up with profitability in mind.
This option is particularly suitable for investors with a medium- to long-term vision who aim to maximise rental potential. A well-planned renovation allows for better use of space, improved layouts and enhanced comfort, all key factors in achieving higher occupancy rates and better guest reviews.
Of course, there are challenges to consider, such as longer timeframes before generating income, careful cost estimation and more complex project management. However, with the right professional support, renovation can become a highly strategic investment choice.
The importance of rental-focused design
Regardless of the starting point, what truly makes the difference is how the property is designed. A visually appealing apartment that lacks functionality may perform worse than a simpler space designed with guests’ needs in mind.
Space distribution, number of beds, comfort, systems and amenities all have a direct impact on reviews and profitability. This applies both to properties in the historic centre and to well-connected areas such as Santa Maria Novella, where rental demand remains high year-round.
A strategy that goes beyond the purchase
Buying property in Florence as an investment is not just about purchasing square metres, but about creating a project. Whether the property is already renovated or requires work, having a clear vision helps avoid impulsive decisions and ensures the investment is properly enhanced.
Relying on professionals who understand the rental market and the real dynamics of the city can make a significant difference. Experience in managing both properties and guests allows investors to turn a property into a high-performing asset built to last over time.
Property management and long-term value
Beyond acquisition and design, management plays a crucial role. A well-planned property is easier to manage, requires fewer extraordinary interventions and delivers a better guest experience. This is especially important for short-term and mid-term rentals.
Investors may benefit from working with dedicated services designed for owners, which can provide support at every stage, from renovation planning to day-to-day management.
Ultimately, the choice between a renovated property and one to renovate depends on individual strategy. What truly matters is having clear objectives, a coherent vision and the right support to turn a purchase into a successful and sustainable investment.