Italy attracts wealthy Chinese property buyers with food, fashion – and flat tax

Italy is becoming a magnet for wealthy property investors thanks to its high quality of life and flat tax regime, and interest is also on the rise among mainland Chinese and Hong Kong buyers, according to property agents.

Rome introduced a flat tax regime nine years ago to attract high-net-worth individuals, with foreign residents allowed to make a flat annual tax payment of €300,000 (US$342,000) on all their overseas income under the scheme’s latest rules.

The tax incentive has become a draw for wealthy investors. The number of participants in the scheme has risen from about 3,000 in 2024 to roughly 5,000 currently, according to Knight Frank.

The property consultancy has also seen a surge in the number of prime residential properties sold in Italy, with deals in the first eight months of the year up by about 140 per cent compared with the same period in 2025.