The legal process to buy real estate property in Italy
Numerous foreigners choose to relocate to Italy because of its breathtaking scenery, world-class cuisine, and one of Europe’s most fascinating cultural histories. The climate, speed of life, and favourable economic environment of Italy make it one of the top places in Europe to invest in real estate.
Buying a home in Italy can have a dual purpose, first as a vacation home that can provide a considerable income during the summer months and then as a retirement home in later years.
Brief summary of the process to buy a house in Italy: proposal to acquire
Once due diligence has been performed and it has been determined that the property is in good condition, a purchase proposal can be issued. A deposit, which is part of the purchase price, must accompany the purchase proposal.
The preliminary contract (in Italian, “contratto preliminare“) is then drafted to outline the transaction’s terms and conditions, including the purchase price, the date of the sale, and the type of building. The preliminary contract guarantees the transaction and binds the parties involved. Real estate brokers are required to register the preliminary contract with the Internal Revenue Service.
If either party breaches the preliminary contract, there will be financial implications for both parties. According to article 1382 of the Italian Civil Code, if the seller does not complete the transaction, he is responsible for paying you double the deposit amount. If the buyer does not complete the transaction, the deposit is forfeited and retained by the seller.
Deed of Sale
The formal deed of sale is signed by both parties in the presence of a notary public and an independent witness. The notary then registers it with the Internal Revenue Service. The cadastral transfer, also known as the transfer of title, can then occur and will be documented at the Land Agency corresponding to the property’s location.
There are a number of charges, fees, and taxes associated with the purchase of a property in Italy, depending on the personal circumstances of the buyer. The only acceptable method for paying taxes is through an Italian bank account.
Relocation to Italy
Besides buying real estate property, it’s essential to obtain the correct visa so that you can visit and reside in Italy for as long as you choose.
A variety of visas permit individuals to live, work, study, or retire in Italy.
The optional resident visa (in Italian, “residenza elettiva“) is the ideal option for those intending to reside in Italy. This particular visa allows you to live in Italy but not to work; all income must come from outside the country. It is not required to have Italian ancestry.