Cost of Living in Italy

Depending on whether you live in the North or South of Italy, the cost of living in Italy will fluctuate greatly with the south being much poorer than its northern counterpart. Whilst you can live quite inexpensively in the rural areas, the cost of living in the cities is high, with Italy ranked as one of the most expensive countries in the EU.

 

Much is dependent on your lifestyle too, so that your cost of living will be much higher if you often purchase items of luxury or frequently eat out. You may for example pay between €50 and €100 for a medium range restaurant and up to €300 on a three-course meal at a top-end establishment. As an indication, monthly expenses for an average single person paying for housing, food, utilities, leisure, transport, insurance and clothing can cost anything upwards of €975. A family of four will have to pay approximately €1,995 for the same expenses. For example, if you use city gas the average monthly cost will be €29 and electricity is on average €48 per month (or for a household of four, €110 per month).

 

Around 25% of an average Italian’s family budget will be spent on accommodation. Depending on where you live in Italy property prices and rentals will vary considerably. To rent an apartment in Naples may cost you €550 per month, but double that for the same apartment in Milan or Rome.  A small 50m² rental apartment in Rome can cost around €1000 per month, which is three times what you would pay in a rural area for an apartment of the same size.

 

Increasingly there has been a demand for retirement and second homes from both Italians and foreigners as there are still many rural properties offering good value for a good lifestyle. The cost of living in these remoter parts is much lower too than it is in the city centres, and one can in fact live quite frugally here compared to other parts of Europe.

See Word Travels for currency exchange rates