Buying a house in Italy: tips to avoid mistakes
Every year, thousands of foreign citizens choose to buy a house in Italy: to live there, to have a second home by the sea or in the countryside, or as an investment.
The charm of our country is undeniable.
But the path to becoming an owner involves some steps that it is helpful to know before signing any document. Here is a clear overview, designed for those who are not experts.
Who can buy a house in Italy?
The first question many clients ask us is whether, as non-Italian citizens, they can buy a property in our country. The answer, in most cases, is yes.
- Citizens of the European Union and the European Economic Area can buy freely on the same terms as Italian citizens.
- Non-EU citizens residing in Italy also enjoy full freedom of purchase.
- Non-EU non-resident citizens can still buy a house, but this depends on the principle of reciprocity: the purchase of real estate in Italy is permitted only if the buyer’s country of origin grants the same right to Italian citizens. This is usually the case, but it is always advisable to check this on a case-by-case basis.
The first practical step (applicable to all foreigners, regardless of origin) is to obtain an Italian tax code: a 16-character alphanumeric code that uniquely identifies each person and is required for any formal act in Italy, from opening a current account to signing before a notary. It can be requested easily from the Tax Authority, or, for those still abroad, from the competent Italian Consulate. Alternatively, the tax code can be obtained through an accountant or the notary who draws up the purchase deeds.
Preliminary checks on the property
Before committing in any way, it’s crucial to make sure that the property is exactly as it seems. This phase, often underestimated, is the one that really protects the buyer from nasty surprises in future.
- The technical appraisal: a technician (architect, surveyor or engineer) verifies the property’s condition, its compliance with urban planning and building regulations, and the possible presence of irregularities with respect to the projects filed with the Municipality.
- The inspection: a physical visit to the property, essential for assessing its actual condition, not just the “on paper” condition.
- The cadastral and mortgage verification is used to confirm that the seller is the legitimate owner and that the property is free from mortgages, foreclosures or other constraints that could complicate or block the sale (if any, they must be taken into account during negotiations with the seller).
These checks require specific technical and legal expertise: relying on a professional at this stage avoids costly litigation in the future.
The purchase procedure, step by step
Once the property has been identified and the checks have been completed, the path to the deed is usually divided into four phases.
- The purchase proposal. The prospective buyer formalises their offer in writing, often accompanied by a deposit. If the seller accepts, the proposal becomes binding on both parties.
- The preliminary contract (the so-called “compromise”). This document sets out in detail the terms of the sale: price, timing, payment methods, and any conditions precedent. It must be registered with the Italian tax authority and, for greater protection (to make it enforceable against third parties), transcribed in the land registers. In this case, the preliminary contract must be signed before a notary.
- The deed is the document that definitively transfers ownership. It must be signed in front of a notary, a third party and impartial figure who verifies the regularity of the entire transaction and guarantees its legal validity. From this moment on, the buyer becomes the owner of the property to all intents and purposes.
- The payment of taxes and expenses. At the same time as the deed, the taxes due for the transfer (registration tax, VAT if purchased from a construction company, mortgage and cadastral taxes) are paid, in addition to the notary’s fee.
What happens after the purchase?
Becoming an owner in Italy also involves certain obligations that recur over time, and it is wise to take them into account from the outset.
- The IMU (Municipal Tax): it is the annual wealth tax due on real estate, with exemptions for the non-luxury main residence when certain requirements are met.
- The TARI: municipal waste tax, calculated on the basis of the property’s surface area and intended use.
- The tax return: if the property produces income (e.g. through renting) or, in any case, falls within the declaration obligations, it will be necessary to submit the (annual) tax return in Italy, even for non-resident owners.
It is worth remembering that the Italian tax framework is subject to periodic regulatory updates; therefore, it is always advisable to check the most up-to-date information at the time of purchase, rather than relying on generic information.
A final tip
Buying a house in Italy can be a simple and pleasant experience, provided you are well prepared. Surrounding yourself with trusted professionals — a lawyer who oversees the entire process, a technician to carry out checks on the property, and, of course, the notary for the deed — is the best way to turn a dream into a safe property, without surprises along the way.
And above all, avoid resorting to such professionals at the last moment, when much of the “path” has already been covered: an intervention from the beginning avoids wasting time and money.
