The Nomag Pulse #3 - After the Buzz: Rethinking the Digital Nomad Dream in 2025
The digital nomad dream isn’t over. It’s simply growing up.
Just a few days ago, Knight Frank —one of the world’s leading global real estate players—published its 2025 Wealth Report, a much-anticipated annual publication packed with data and insights on global wealth trends. This year, for the first time, the report includes a dedicated section on the impact of digital nomadism on the property market. A clear signal that what was once considered a niche lifestyle choice has now become a key factor in shaping real estate, urban planning, and global mobility.
Once hailed as the golden age of freedom and flexibility, the digital nomad lifestyle is now under fresh scrutiny. The Wealth Report lifts the veil on a post-pandemic phenomenon that has reshaped some of the world’s most iconic cities—but not always for the better. As the glow fades, a more nuanced picture emerges, inviting both travelers and policymakers to reconsider what the future of remote work mobility should look like.
From Boom to Backlash
During the pandemic, as borders closed and offices emptied, remote workers—many of them from wealthier countries—took flight to sun-soaked locales with solid Wi-Fi and charming views. From Lisbon to Bali, from Mexico City to Bangkok, this new wave of “laptop lifestylers” injected local economies with spending power but also inadvertently disrupted housing markets and intensified inequalities.
According to the Wealth Report, cities like Lisbon have become a cautionary tale. Over just a few years, remote workers helped drive up rents by more than 40%. At the same time, the local population declined as more than 20,000 residents were priced out of the city center. Complaints soared, and municipal leaders were forced to re-evaluate how foreign residency schemes were impacting their communities.
“We’ve reached a tipping point,” explains Joao Guerreiro, a Lisbon-based housing policy analyst cited in the report. “People romanticize the idea of working from anywhere, but for locals, it can mean being pushed out of the neighborhoods they’ve lived in for generations.”
The Blurred Line Between Tourism and Nomadism
Yet there’s an important distinction that is often lost in public debate—and that the Wealth Report only hints at, but deserves closer attention. The figure of the digital nomad has too often been conflated with that of the tourist, especially in discussions around short-term rentals.
In the rush to regulate Airbnb and curb over-tourism, many governments have extended restrictions to all forms of transient living. But digital nomads are not holidaymakers. They often stay for weeks or months, work full-time jobs, and seek out housing solutions that differ substantially from a tourist’s needs. They look for furnished apartments with workspaces, good internet, proximity to local life—not hotels or high-turnover rentals.
This confusion has fueled a distorted narrative, one where all short-term rentals are treated as speculative, extractive, and inherently harmful. Property owners who offer medium-term stays—contributing to neighborhood economies and enabling global talent to connect with local communities—are often painted with the same brush as those responsible for excessive touristification.
It’s a narrative that, while popular, oversimplifies reality.
The Real Picture: Not All Rentals Are the Same
In fact, the cases where digital nomads or short-term rentals have had strongly negative impacts tend to be the exception, not the rule. There are certainly neighborhoods where housing supply has been distorted, but there are many others where flexible rentals have brought investment, revitalization, and a much-needed economic boost.
By lumping all forms of remote mobility into the same category, cities risk missing out on opportunities to harness global talent in a way that benefits both sides. As one housing consultant interviewed in the report puts it: “We need to stop talking about ‘the tourist problem’ and start building a serious strategy for digital residency.”
Regulation, Not Rejection
Thankfully, some governments are catching on. Portugal, Spain, and Thailand are among those that have introduced tailored digital nomad visas, designed to attract remote professionals who earn abroad but spend locally. Other countries—from the UAE to Costa Rica—are refining these models to better align with local realities, and with the economic potential of responsible, mid- to long-term residency.
The Wealth Report lists a variety of these evolving schemes, many of which include income thresholds, renewable terms, and tax considerations. The message is clear: the goal isn’t to block remote workers, but to manage them in a way that benefits both host countries and the professionals they attract.
Why Italy Still Has Time—And A Unique Opportunity
And here’s where Italy comes in. While major digital nomad hotspots like Lisbon or Barcelona are now facing saturation—and even fatigue—Italy has remained relatively under the radar. That may be about to change.
Italy has its Digital Nomad Visa (it's there, but it's far from practical as it is), but it already offers the kind of lifestyle and infrastructure many remote workers crave: a slower pace, beautiful landscapes, rich culture, and affordable housing in lesser-known areas.
What’s missing is strategic coordination. With hundreds of towns suffering from depopulation and a housing stock in need of revival, Italy could position itself as a global leader in sustainable remote work migration—if it moves now.
Toward a More Mature Era of Mobility
The digital nomad dream isn’t over. It’s simply growing up.
What began as a lifestyle experiment for a privileged few has now become a mainstream movement that’s reshaping cities, economies, and demographics. But that means it’s also time to treat it with the nuance and structure it deserves.
We must stop reducing the phenomenon to a problem of “Airbnb vs locals.” A better framing is “mobility vs planning.” With the right rules, the right infrastructure, and the right mindset, digital nomads can be more than just visitors—they can be contributors. When we launched ITS ITALY® we picked a motto: "Don't just visit, Belong!"
And for countries like Italy, the real opportunity is not to follow the well-trodden path of over-exposed capitals, but to chart a new one—one that invites people to stay, to integrate, and to enrich the communities they touch.
About the author
Matteo Cerri is an entrepreneur, investor, publisher, and author. He is one of the co-founders of Nomag and also the publisher of several business, travel, and lifestyle media brands in Italy and across Europe. Matteo’s expertise spans the world of expats, real estate, hospitality, and new models of work. Although based in London, he spends much of his time in Italy following the urban regeneration initiative he co-founded, ITS ITALY® , which focuses on reviving historic Italian villages. On LinkedIn, he shares stories of entrepreneurship, Italians abroad, and the regeneration of small Italian towns.