Purchasing a property in Italy
When looking for a property in Italy we recommend using an estate agent fully licensed by the Chamber of Commerce. Il Casolare is registered at the local Chamber of Commerce with no. 1235.
If you have found a property you fell in love with and you are considering “yours” it is time to make an offer. The offer is made through a Proposta irrevocabile d’acquisto – irrevocable purchase porposal – wich will be signed by you and by the estate agent. The porposal identifies the parties, the property, the amount af money porposed, the expiring date for the signing, the date within you want to sign the sale deed.
Real estate agent will present the porposal to the buyer. In case he will be agreed all clauses and conditions he will countersign and he will be in right to cash a deposit you indicated in the porposal (normally 10%, buti t can vary) and i twill be used as part of the payment on the property
In case you will change your mind, after the sign of the poprposal, you will loose the deposit, as the owner will have taken the property off the market. If the sale does not go ahead fault of the seller, then your deposit will be returned doubled to you.
Preliminary Contract (Compromesso)
The preliminary contract (Compromesso) commits both parties to the sale. The porposal itself can be consider a preliminary contract with the signature of both parties .
So, Compromesso, as we reported above, establishes the terms and conditions of the final contract (Rogito) ,price, date for completion, the nature of the property and guarantees from the seller. It may also include any other relevant legal details.
Public deed (Rogito)
Final stage of the process is called Rogito and it transfers ownership of the property from the seller to the buyer.
The document is drawn up by the Notary (Notaio), who represents both parties. The buyer and seller are required to be present for the signing of the contract at the Notary’s office. It can be possible for both the buyer and seller to empower a third person thanks to a power of attorney*.
You will be expected to transfer funds to the vendor, the Notary and the real estate agent (if you did not make it before) at this stage – best way to transfer funds to your Italian account in time for the Rogito is either via Swift from your own bank in the UK or by using a specialist currency dealer, which may be able to offer you better rate of exchange.
* If you can’t be present at the Rogito – Special Power of Attorney
Power of attorney will empower another person (possibly one of the person of the estate agency) to sign the contract on your behalf it will be draw by the notary and sent to you. It needs to be signed by you in presence of a solicitor in order to ratify it with an “Apostille” and send back to Italy.
As well as paying the balance for the property, the buyer must also pay:
Purchase tax –2% purchasing a property as first residential home in Italy with the commitment to move his residency there within one year. 9% if the buyer does not wish to apply for residency. Please note that the tax is calculated on the cadastral value* of the property and not the purchase price .
In case vendor is a building company the tax will be calculated on the price (much higher) instead on the cadastral value
Notary fee depends on the value of the deed;
*Cadastral value is calculate on the cadastral revenue, thus the revenue the State is expecting from each property and on which the owners is called to pay taxes and that is reported in the Catasto (Cadastre – Public Register)