Housing and competitiveness: study and work increasingly shaped by where people live

The impact of housing on individual choices

The first key finding is the impact of housing on individual choices: 47% of respondents say that housing has influenced their study or career choices.

Housing costs, availability and location are becoming concrete factors in how under-45s assess educational and career opportunities.

Not one single market, but many different markets

We are operating in an increasingly differentiated housing market.
The analysis shows that there is no single residential market across the area under consideration, but rather a plurality of markets shaped by different needs depending on location and stage of life.

Milan and Pavia show greater demand for rental housing and smaller homes, while areas outside the provincial capitals see stronger demand for homeownership and larger properties.

The pandemic also accelerated a redistribution of housing demand towards areas outside the main urban centres, without changing Milan’s central role as a hub for work, education and services. Property transactions have in fact grown more rapidly across the rest of the Metropolitan City and in the Province of Monza and Brianza than in the city itself: in 2025, transactions were 46.5% higher than ten years earlier, compared with a 14.8% increase in the Municipality of Milan.

Prices also confirm strong territorial differentiation. In 2025, the average value of homes in the Municipality of Milan reached €5,458 per square metre, compared with €1,810 per square metre in the rest of the Metropolitan City.

Housing costs impact incomes and opportunities

Housing pressure is particularly evident in the survey: housing costs account for an average of 38% of monthly income, while 42% of respondents say they have struggled to cover them over the past year. The issue is particularly significant among younger people, renters and Milan residents.

Among renters, in fact, two out of three have experienced difficulties covering housing costs at least once over the past year.

At the same time, homeownership remains the preferred goal: among those planning to move within the next two years, 72% would opt to buy a home.

Housing pressure is particularly evident in Milan. According to Patrigest’s analysis, a household needs a net annual income of around €48,000 to afford housing costs at the lower end of the rental market. In central areas, this threshold rises to €64,000, while 88.6% of households are above the affordability threshold identified by the analysis.

Almost 9 in 10 households in Milan exceed this threshold.

The housing-mobility trade-off

Greater housing affordability in areas outside Milan, however, comes with the need to commute longer distances.

54% of respondents travel outside their municipality of residence, while 37% perceive daily commuting as a significant burden on their quality of life.

The link between housing and mobility becomes even more evident when looking at career opportunities: 39% say they have turned down at least one job opportunity over the past 2–3 years due to distance, commuting difficulties or the challenges of relocating.

This figure rises to 52% among those who have experienced difficulties covering housing costs.

This points to a system in which housing and mobility costs influence each other: moving away from major employment hubs can make housing more affordable, but may increase the cost in terms of commuting time and travel, while affecting people’s ability to access work and educational opportunities.

Saving on housing by moving away from Milan comes with “hidden costs”: commuting time and effort.

A potential role for companies: housing-related corporate welfare

This scenario also highlights a growing demand for new forms of employee welfare.
41% of respondents say they would consider a temporary housing solution offered or facilitated by their employer. This figure rises to 56% among residents of the Municipality of Milan, where housing pressure is particularly pronounced.

Among the solutions considered, a private apartment is preferred by 67% of those open to such arrangements, followed by serviced residences and partner facilities, selected by 35%.

The Observatory’s findings therefore point to a landscape in which housing, mobility and work are increasingly interconnected dimensions of territorial competitiveness.

For businesses, the availability of affordable housing solutions and tools that can reduce the cost and complexity of commuting may represent an additional factor to consider in strategies aimed at attracting and retaining talent.

Explore the full research

Discover the full findings of the Housing Observatory for Business Competitiveness, with data, analysis and insights from the complete research.