Italian mortage | Clock and money scale


Italian Morgage: everything you need to know

If there’s any product worth investing in, it’s real estate. You don’t have to be Italian to apply for a mortgage on an Italian property though rules became more strict in the wake of the 2008 Financial Crisis.
​More recent changes have made it so that those, even non-residents, who wish to purchase real estate in Italy can borrow between 50-60% of the property’s value; if you happen to be an Italian resident you can borrow up to an maximum of 80% as no mortgage can cover 100% of a property’s value. This decision is ultimately up to the bank and is decided on a case by case basis.

Mortgage rates on Italian properties are extremely low, around 1%, nearly one-third of those in the United States.

On the downside, you’ll likely need a lawyer to assist you in the process acting on your behalf as many Italian processes require your physical presence.

The standards: mortages for non residents and residents in Italy

Be aware that all documents in the process are required to be certified and drafted in Italian. Mortgages to non-residents can also be governed on the principle of reciprocity which means that if conditions in the country of origin are favorable to Italians then those same conditions can be applied to the foreigner (as is the case with US-Italian relations). These are examined, again, case by case through the Foreign Ministry.

When applying for a mortgage you should consider other applicable fees for the: mortgage application, broker, notary and home insurance as well as mortgage taxes and appraisal.

It’s also worth noting that both residents and non-residents are eligible for heavy tax breaks when purchasing their first property in Italy.

Additionally, chances of mortgage approval success, loan amount, timing and cost depend on several factors: personal conditions and property conditions, domicile, and even the applicant’s nationality.

Italian mortage | Clock and money scale

The Process

​It takes eight to ten weeks to complete the mortgage application process and receive the loan amount if approved. There are generally six steps in the Italian mortgage process:

  1. Solvency check: the bank reviews your personal financial status and property information within 1 or 2 days;
  2. Pre-approval: this can take 3-14 days;
  3. Compliance check: a bank-appointed surveyor inspects the property, issuing a compliance and evaluation certificate in 14-21 days;
  4. Title check: a borrower-appointed notary reviews the property title, issuing a title check report for the bank in 7-14 days;
  5. Final approval: after a satisfactory solvency check, compliance check and title check by the notary, the bank issues a formal mortgage approval  within 7-14 days;
  6. Funds release: after approval, the bank and borrower set a signing date. The documents are signed in front of the same notary. Depending on the bank’s policy this can take from 14-28 days.

Steps 3 and 4 ensure that the property is adequately inspected by all parties.

Italian banks may insist that you open an account with them to set up automatic mortgage payments although this is not legally required, so it can be negotiated.

As a side note, if the current owner already has a mortgage on the property and you are happy with the terms of the existing mortgage, you might be able to undertake it with no cost or fee. This can work out well for everyone involved.

Check also our video about buying a house in Italy.
​Want to read more? Check out also our articles about filing your taxes in Italy, or airbnb taxes in Italy, or our guide for retiring in Italy.


  1. I’m in the process of buying a home in Lucca Italy. I’m a dual citizen US/Italian. I’m working with a local mortgage broker and bank. Is there a problem if I use my US home equity as cash for the down payment?

  2. Anthony Vaccaro

    Im an Italian citizen, residing in Verona. I retired at 62 from a job I had in the US and I would like to get a mortgage rather than cash out on some of my investments. First bank I went to said no because my money is all in the US. Should I keep looking or is it futile for someone in my situation?

    1. The main issue is that you earn in USD instead of EUR, therefore you shall have a financial product to cover against the currency risk. You can get in touch with us as and we can refer you to a trusted mortgage broker

  3. We are US citizens and have a contract to purchase an apartment in Verona. Please provide a list of mortgage companies that will write a mortgage for a Non-Italian.


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