Sunset in Burano | Buying a house in Italy: things to consider

Buying a house in Italy: What to be careful about

Buying a house in Italy may start as a dream but quickly turns into a quest of things to consider before buying a house Italy. Navigating legal requirements, picking the perfect location, and selecting the ideal type of property are just the beginning. Here’s your essential checklist for turning that Italian home into a reality while steering clear of potential pitfalls.

1. Understanding Legal Requirements

First things first, Italy has its own set of rules when it comes to buying property. It’s different from what you might be used to, so pay attention!

Check the Papers

Ensure the seller owns the property and it’s free of debts or legal issues. In Italy, this involves a “visura catastale” and “visura ipotecaria.” Verify the cadastral registration matches the buyer and seller’s details, and check there are no mortgages or encumbrances.

Tip: Be wary if the seller is reluctant to provide these documents or delays in furnishing them. It could be a red flag.

Get an Expert Advice

Hire a lawyer who knows Italian real estate law inside and out. They’ll be your guide through the legal processes, making sure everything’s legit and protecting your interests. This is called a “notaio” (notary) in Italy, and they’re essential for the final contract. Don’t skip this step, even if it seems like an added expense. A good notary can save you from costly mistakes and potential scams.

The “Almost-There” Contract

Once you move to Italy and snag a property, you’ll sign a crucial preliminary agreement called a “compromesso.” It’s a major step! You put down a 10-20% deposit, and if you back out, you lose it. If the seller bails, they owe you double. Make sure ALL details are in the “compromesso,” including the price, payment schedule, and any contingencies. Don’t rush into signing; have your lawyer review it thoroughly.

2. Show Me the Money: Budgeting for Your Italian Adventure

Let’s talk numbers. Buying a house in Italy isn’t just about the purchase price. It’s about extra money, financing, and avoiding scams. Here are 3 tips you’ll need for sure!

Tip 1: Factor in the ‘Hidden’ Costs

Taxes, notary fees, legal fees – these can add up. Make sure you’ve budgeted for them before buying a home. For instance, the registration tax alone can range from 2% to 9% of the property’s value, depending on whether it’s your primary residence. Notary fees, which are mandatory in Italy, can be up to 2.5% of the purchase price. Legal fees may vary, but it’s crucial to have a lawyer scrutinize all documents to avoid any hidden pitfalls.

Be suspicious of unusually low prices. Scammers often lure buyers in with bargain deals that hide extra costs or legal complications.

Financing Options

Italian banks offer mortgages, and you might be able to get financing from international lenders too. Explore your options! Italian mortgages typically cover up to 80% of the property’s value, with variable or fixed interest rates. Some banks offer special mortgage deals for non-residents, providing flexibility in terms of repayment.

Be cautious of any unsolicited loan offers or pressure to use a specific lender. Always compare offers and terms from multiple sources before making a decision.

The Long Haul

After you have agreed to the purchase price, don’t forget about ongoing costs like property taxes, utilities, and maintenance. These are part of the deal while owning an Italian property, no matter where you are. 

Don’t underestimate the costs of renovations or repairs, especially in older properties. Get quotes from several contractors before committing to any work.

Beach in Italy | Buying a house in Italy

3. Property Inspection and Evaluation

Next, is the most important part: inspection and evaluation. First impressions can be quite deceiving. Thus, before signing an agreement, it is advised to forego the inspection test. Thus, let’s go onto the most crucial things to pay attention to: 

Structural Condition

When evaluating the structural condition, pay close attention to any cracks in walls or ceilings, signs of water damage or dampness, and uneven floors or doors that don’t close properly. These can be red flags for underlying structural issues. If possible, bring a trusted builder or architect along for the inspection. They can spot potential problems that a layperson might miss.

Utilities and Services

Ensure that the property you want to buy has reliable access to essential utilities and services such as water, electricity, and internet. Investigate the age and condition of the plumbing and electrical systems, as well as the availability of high-speed internet, which is increasingly vital for both work and leisure.

If you’re buying a rural property, check the water source and sewage system. Make sure they’re in good working order and comply with local regulations.

Local Regulations

Check for any local regulations or restrictions that may affect your use of the property. Research zoning laws, building codes, and any community guidelines that could impact renovation plans or future developments. Understanding these regulations will help you make informed decisions and prevent legal complications down the road.

Talk to neighbors or residents to get insights into the community and any potential issues with the property or its surroundings.

4. Common Mistakes to Avoid

Alright, we’ve covered a lot of ground, but before you start house hunting, let’s talk about some common mistakes you’ll want to avoid. These are the kinds of things that can turn your Italian dream into a bit of a nightmare if you’re not careful.

  • Skipping Legal Advice

Skipping legal advice in Italy? Big mistake. You need a lawyer to navigate the maze of legal jargon and protect your interests. It’s worth it.

  • Overlooking Hidden Costs

Don’t be distracted by Italy’s charm. Hidden costs like taxes, notary fees, and maintenance can add up. Take into account all these factors to avoid surprises.

  • Rushing the Process

Buying property is a big deal. Don’t let excitement cloud your judgment. Take your time, research, and ask questions to avoid regretting a hasty decision.

Finally, trust your gut. If something feels off about a deal or a seller, walk away. There are plenty of other properties out there.

Checklist for Buying a house in Italy:

  • Find reputable professionals.
  • Prepare documents.
  • Evaluate property integrity.
  • Check for outstanding debts.
  • Talk to neighbors.
  • Research climate and risks.
  • Document property condition.
  • Visit the property twice.
  • Stick to your budget.
  • Check utilities.
  • Learn about essential services.

The Italian Dream: It’s Within Reach

Buying property in Italy can be a rewarding experience if done correctly. By understanding the legal requirements, choosing the right location, budgeting wisely, thoroughly inspecting the property, and navigating the buying process carefully, you can make your dream of owning an Italian home a reality.Whether you’re looking for short-term rentals or a long-term residence, being well-prepared will help you avoid common pitfalls and ensure a smooth and successful purchase. The process of buying a residency in Italy can be an adventure in itself.

Consider reading our articles as well about all the costs for buying a house in Italy, Property taxes in Italy, Tax deductions for house renovation in Italy, the benefits for a main house in Italy.

40 thoughts on “Buying a house in Italy: What to be careful about”

  1. I’m so grateful for this guide. It made the daunting process of buying a house in Italy much easier to navigate.

  2. The section on property inspection and evaluation was incredibly thorough. Thanks for helping me make an informed decision!

  3. The breakdown of local regulations was incredibly useful. Thanks for helping me understand what I’m getting into!

  4. Congratulations on creating such an informative article. It’s a game-changer for anyone looking to buy in Italy!

  5. Thanks for highlighting the importance of utilities and services. It’s something I might have missed without your help!

  6. Congratulations on putting together such a helpful article. It made a real difference in my house-hunting journey!

  7. The advice on getting expert help was exactly what I needed to hear. Thanks for steering me in the right direction!

  8. This article is a treasure trove of information. I’m so glad I found it before starting my Italian adventure!

  9. Congratulations on creating such a detailed and helpful article. It’s been a real asset to my house-hunting journey!

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