How to Buy a Home in Italy

Italy, with its rich history, diverse landscapes, and world-renowned cuisine, is a dream destination for many. For those considering a more permanent stay, buying a home in Italy can be an exciting prospect. However, navigating the Italian real estate market as a foreigner can be complex. This guide aims to provide expats with key information on how to find and purchase a home in Italy, including understanding the legal requirements, the role of real estate agents, and potential pitfalls to avoid.

How Do I Find Houses for Sale in Italy?

There are several ways to find houses for sale in Italy. Online property portals and websites are a popular starting point, offering a wide range of properties across the country. Local newspapers and real estate agencies can also provide listings. Additionally, attending property fairs and expos can provide opportunities to meet agents and developers. It's important to note that property descriptions may be in Italian, so having a translator or a basic understanding of the language can be beneficial.

Are There Restrictions on Foreigners Owning Property in Italy?

Italy does not impose major restrictions on foreigners buying property. However, the buyer's home country must allow Italians to buy property there (reciprocity principle). This is generally not an issue for EU citizens, but non-EU citizens should check their country's treaty with Italy. If there are restrictions, one legal workaround is to establish an Italian company to purchase the property.

Does Italy Have an MLS Type System?

Italy does not have a Multiple Listing Service (MLS) like in the U.S. Instead, real estate agents often have exclusive rights to sell certain properties. Therefore, it's common to work with multiple agents when searching for a property. It's also important to note that agents may not share listings with each other, so it's worth exploring different agencies.

Do Brokers Have Licenses and How Do I Know if They are Licensed?

Yes, real estate agents in Italy must be registered with the local Chamber of Commerce and hold a valid license. You can verify an agent's license by asking for their registration number and checking it with the Chamber of Commerce. It's crucial to work with a licensed agent to ensure a legal and transparent transaction.

What Documents are Required When Buying a Home in Italy?

Key documents required when buying a home in Italy include a valid passport, tax code (Codice Fiscale), and a Codice Fiscale certificate. You'll also need a sales contract (Contratto Preliminare di Vendita), which outlines the terms of the sale, and a notarized deed of sale (Rogito Notarile), which transfers ownership. It's advisable to have these documents translated into your native language.

Do I Need a Lawyer When Buying a Home in Italy?

While not mandatory, hiring a lawyer when buying a home in Italy is highly recommended. A lawyer can help navigate the legal process, ensure all documents are correct, and protect your interests. Legal fees can vary, but typically range from 1% to 2% of the property's purchase price.

Do People Typically Buy a Property with All Cash or Take Out a Mortgage?

Both options are common in Italy. While some buyers choose to pay in cash, others opt for a mortgage. Non-residents can apply for an Italian mortgage, but the process can be complex and typically requires a substantial down payment. It's advisable to consult with a financial advisor or mortgage broker to understand the best option for your situation.

Are There Inspections That Take Place, and If So What is That Process Like?

Yes, property inspections are a standard part of the buying process in Italy. A surveyor (Geometra) will assess the property's condition and ensure it complies with local building regulations. The surveyor will also check for any outstanding debts or liens on the property. This process can take several weeks and costs vary depending on the property's size and location.

What are Some of the Pitfalls to Avoid When Buying Property in Italy?

Common pitfalls when buying property in Italy include not fully understanding the buying process, failing to budget for all costs (including taxes and fees), and not thoroughly inspecting the property. It's also crucial to ensure all legal documents are correct and complete. Working with a reputable real estate agent and lawyer can help avoid these issues and ensure a smooth buying process.

Expats Talk about Real Estate in Italy

"I would say to find someone of your same socio-economical level in the area and ask them. We all have diverse expectations but this way you would know what is considered 'good' and what is considered 'bad' areas, prices, etc. by someone with whom you can relate. Remember, your expectations have no bearing. People native to a place often see foreigners as walking idiots (rightfully so as it took the natives years to sort it all out and they live there). They might try to take you for a ride so to speak. So making yourself more informed will only help you. Then, I recommend renting a place near where you would like to buy or live for a few months (without signing a year's contract) while you look and get used to the place and the diversity of the areas. The things to watch out for: cracks, mold, humidity, neighbours, graffitti. Be sure that your assesor is not related to your seller or anyone that your seller might know. They could be helping out a friend and they will do that before giving you a fair assessment. Here, omission is not considered dishonest and nepotism is a way of life-seriously. Check the roads and their conditions in all seasons...ask the local cafe people about stuff if you can...ask a lot of questions..ask the local planning counsel about future projects in your area (expropriation still goes on frequently)they will understand why you are asking, don't worry. They know the games better than you do. If you live near a school, your place will have or will soon get graffitti on it before any others. If you live near a place without street parking, be warned, people double or triple park thus blocking-in your car with no care at all. And..you must not honk or yell, you must wait patiently for them to come to move their cars. So if you live in the city, sort that out right away. Invasiveness is relative. Neighbours wanting to spend time with you could come by for hours a day and not feel invasive at all. You will have to ask their permission for most things you do to your home (on the outside and the property) and if they do not give it to you, don't do it. They will call the police and report you and you will have huge problems getting permits and these things. If building, pay a 'local and recommended' project manager. Keep him motivated though. Go onsite frequently and sporatically. If you do any restructuring or work on a property, we advise going with one 'dita' or company. If you choose to save a bit here and there hiring others, you will lose in the end as when a problem arises, you will be in the middle of the blame game. We always asked for three estimates for all jobs to be done (restorations, doors, windows, plowing land, everything) and informed those wanting to do the job of our policy. That way, they gave us more honest bids and did not cut themselves out of the running. Get it in writing as well and NEVER, EVER, EVER, pay everything upfront. Take care and be nice when you turn away a person if you live in a small area (they all know each other). Always pay in pieces....leaving an incentive to finish the work. Many people where we live, did not really care about the price of the job as much as they cared about how much they were looking to make that month. Doing so at times they reason that the job should pay 1000 Euro for the day because he needs it-not that the cost of the job was that, but the worker needed that money. So you want to be sure of the cost ahead of time...and not give the money until you are happy and in agreement. Add 6 to 9 months on top of the dates they give you. If you do not get what you want, ask nicely for what you do want. If that does not work, whine, call, complain until you do...and then pay. The build time speeds up when someone wants money. That is why you do not ever, ever pay before the job-be careful even when asked to buy loads of materials paying up front. If you have a countryside property, it is probably zoned as 'agricola', if that is the case, the owner first had to offer it to the bordering neighbours. ASK THE NEIGHBOURS THE OFFERING PRICE. If they did not know it was for sale, it probably is not. If it is different from that being offered to you, you will possibly need to consult a lawyer as someone is not dealing completely within legal limits. Although dealing outside legal limits is often happening in Italy, being complacent to this makes you an accomplice and it will not end there...as you were once an accomplice, you will be seen as one who will be expected to always be one and keep quiet and be obliging-always. You will live in fear of the law and of threats if you accept this deal. Better to be totally legal and let them know you are and that you expect them to be as well. If you buy a piece of land and inside its boundaries there is another owner's land, be aware. That internal owner must have access at all times to his property-even at YOUR expense. There will be a whole separate agreement and legal document for that 'diritto di passaggio'. Again be honest and straightforward in your dealings. Don't think of ruining it for others. An Italian would choose to support his worst enemy from his local area over a foregner any day. Everything done here is done through a local NOTARY (Notaio). You will pay this person no small fees so try to negotiate these fees with the seller BEFORE going to the Notaio's office. It is his job to read over everything (after your lawyer did) and make sure it is all on the up and up. Don't be sacred off...once you are there and they know you are intelligent, and honest, they will value you and trust you. You will be welcomed. You will soon find yourself living happily ever after, attending dinners, bbq's giving a hand to your neighbour, lending tools to each other and sharing recipes too... Be a good guest (or newcomer), give first, then ask. In everything you can! Even when stating your name and from where you came. Give information, then ask. Then people do not see you as a risk but as an asset," said one expat living in Catanzaro.