Buying a Property in Italy
Buying a house in Italy can be a complex area. Before you get in contact with local real estate agents or realtors who have property for sale try to get to grips with what’s involved in purchasing property in Italy.
Non-Italian residents are able to purchase property in Italy but in order to do this, you will need to have a tax code number (codice fiscale) and a bank account which your real estate agent is legally registered and is therefore able to mediate on your behalf.
Under Italian law, both seller and buyer are represented by the same estate agent, who will mediate between both parties.
In addition, both buyer and seller use the same public notary, whose responsibility is to oversee the final sale process and check that all documentary details are correct and that the property has no mortgages or any similar legal or financial encumbrances on it. The buyer has the right of to chose the notary.
The Buying Process
1. If you wish to purchase a property, it is possible to draw up a Proposta Irrevocabile d'Acquisto - basically a promise to buy, and a promise to sell which is signed by both would-be purchaser and the seller. In this document are stated details regarding the property for sale, names of the parties concerned, the purchase price, and the planned date for signing the preliminary contract of purchase (c0~ni{1r1Jrrmi.v0). A cheque deposit for a nominal sum from the purchaser will then be held by the notary or your estate agent. This sum will be returned when the compromewo is signed. You will lose this deposit if you back out of the sale once this agreement has been made. However, the deposit will be returned to you if the sale falls through for any other season.
2. The compromesso is a document to be signed by both parties, which shows all relexant details of the purchase, including a full description of the property as it appears in the local land registry, the sale price, the date of completion, and the deposit that is to be paid (usually in the region of 30% of the purchase price).
3. The final contract, (rogito) is usually signed wi thin three months from the compromesso. The rogi to takes place at the office of a local notaio, who will have checked all details regarding the property and the purchase in advance. All parties are required to be present for the signing of the Final contract, though if this is not possible (or if the purchaser does not speak Italian well enough to follow the entire process) then you can arrange for your agent to represent you with a power of attorney.
The balance of the purchase price, purchase taxes and notary fees are due at this point. Present regulations set the purchase tax on first residences in Italy at 4%, but for this to apply the purchaser must establish residence in Italy. lf it is not your first residence here, or if you do not wish to establish residency here, then the cost will be 11% for the house and 17% for any land. Please note that it is normal practise for these taxes to be calculated based on the declared value of the property. The buyer will also pay approximately 2% of the properly value as the notary fee.
