The Buying Process

For whatever reason you have decided to buy a house in Italy, there are some things you need to know and to prepare, to make the buying process as smooth as possible.

At a first glance the process to buy a property in Italy may appear complicated and bureaucratic, but don’t hesitate; with a authorized estate agent by your side it will be easy and safe.

In Italy it is commonthat an estate agent doesn’t have the exclusive right to sell a property. The owner may have the house registered for sale at more than one agency.

The property is shown to one potential buyer at a time, most often by both the real estate agent and the owner. Below you can read more about the procedure. Please keep in mind; the agent and the notary will be handling most steps below to make the process easy for you. 

Remember – this is only a guideline, and it is written in general terms. Get yourself a load of patience and curiosity, and you’ll have a great opportunity to learn a lot about the place you might live in and the people who may be your future neighbours.

1. Get a codice fiscale – Tax identification number or a tax code

Once you are in Italy to search your future property, make sure to fix an appointment at the “Agenzia dell’Entrate”, the fiscal office to apply for you tax code. You need fill in a form and bring that together with your passport for identification. It’s quick and easy, and there is no charge. If you don’t have the opportunity to visit the office it is possible to delegate it another person.

You’ll need a codice fiscale to:

» Open a bank account
» Sign the purchasing agreements
» Get utility contacts
» To present in just about any kind of contact with public administration

2. Offerta d’acquisto - Written offer

The day you have found THE house, with the help of your estate agent, you’ll make an offer either in writing or verbally depending on the situation. Once you have foud an agreement with the seller it is time for next step:

3. Compromesso - Preliminay contract

When the seller has accepted your offer, it is time to sign a Compromesso – a preliminary contract. It includes all details of the property, price, closing date, etc. At this time a down payment of 10-20% of the sale price shall be paid, either from your Italian bank account or from the bank account in your home country. The compromesso doesn't have to be signed in front of a notary. If you do not speak Italian, the documents have to be translated into either English or your native language. Normally the commission to the real estate agent shall be paid once the preliminary contract is signed by both part.

4. Rogito or Atto notarile - Final deed

The final deed has to be written by and signed in front of a registered notary, and the seller and buyer should be present. If one party can’t participate he/she may delegate to another person with a proxy.

By law the notary has to read out loud the full contract and attachments, if the buyer doesn’t know Italian the contract has to be translated. You have to present you passport and your tax code, codice fiscale.

The cost for the notary and all costs for the purchase, taxes and fees, will be paid buy the buyer.

You’ll get a copy of the contract and the notary will perform all the paperwork and register the acquisition with the proper authorities.

The transfer of the ownership takes place the same say.

Additional costs when you buy a vacation house in Italy:

Purchase taxes and fees:

Depending on what kind of property you buy, if the seller is a company or a private person and if you are to become resident or not.

For example if you buy a new apartment, to be used as a vacation home, direct from the constructor, you will pay 10% IVA (VAT) on the selling price. If the seller is a private person you'll pay 9% registration tax on the taxable value* of the property. If you buy the property to become a resident the taxes are lower.

In addition, there are costs for the registration of the preliminary contract, translation cost for all the documents, the notary fee and the agents fee, the latter is minimum €3000 più IVA.

When you meet your agent and choose what kind of property you would like to buy, you may ask for more detailed information on what the additional costs will be.

*Taxable value is usually much lower than the market value. It depends on location and status of the property, but could be 50% or less of the market value.