In the last years Sicily, and Italy in general, has become an increasingly popular destination for foreigners as a place to buy a new home, either as a first home or as a holiday home. Clearly, each country has its own laws and procedures and this also applies to the purchase of a property. As a result, foreigners who wish to buy a property in Italy must take into account these differences, which they may often not be aware of.
Below, you will find a short guide that will help potential foreign buyers to orient themselves in the decision to buy a home in our country.
Let's start from the requirements that a non-Italian citizen needs when he/she wants to buy a house in Italy:
- If the person already lives in Italy, he/she must have a residence permit, as well as his family members.
- If the buyer does not live regularly in Italy, it is necessary that the country of origin adheres to the international treaty that allows the purchase of real estate in Italy, with the principle of reciprocity, which means that an Italian must be able to buy a property in the country in question.
- In the case of foreign CITIZENS living in the EU or who are part of an EEA country (European Economic Area) or a stateless person living for more than three years in Italy, there are no limits regarding the purchase of real estate in Italy.
- Both for foreigners living in Italy and not, it is necessary to be in possession of an Italian tax code.
- Lastly, a bank account, necessary for the transfer of money for the payment of the sum agreed for the purchase of the property, as well as the expenses related to the transaction and taxes.
As for the procedure to follow for the purchase of a property in Italy, these are the same for both Italians and foreigners. The procedure is generally divided into three phases:
- The purchase proposal, i.e., an offer that contains the main terms of the transaction, such as the details of the parties, the details of the property subject to the transaction and the agreed sum.
- The preliminary contract of sale, a written agreement drawn up once the proposal is accepted, during which is expected to pay a deposit in addition to the other conditions for the purchase.
- The transcription of the deed, i.e., the transcription in the notarial registers of the document with which the transfer of ownership is certified.
There are also some factors to consider, which could potentially be problematic when a foreigner wants to buy a house in Italy, but which are still easily solved, such as:
- The knowledge of the language, in fact, if the foreigner does not know the Italian language, it must be communicated to the Notary and in this case an interpreter will be used who will be present during the deeds related to the sale and the notarial deed and who will perform an official translation into the language of origin of the buyer.
- Another problem could arise in the event that the buyer is not in Italy. If the buyer is not physically in Italy at the time of purchase, the sale can still be concluded by proxy, a document that delegates a third person to perform the act in place of the buyer.
There are also some advantages, which even if the buyer is a foreigner, can still access the concessions for the purchase of a house if he/she has the requirements required by Italian law. Especially:
- In the case of a purchase of a first home from a private individual, a non-construction company or a construction company after more than 4 years from the end of the works, a registration tax of 2 % is applied on the cadastral value of the house and mortgage and cadastral taxes in a fixed amount equal to € 50 each;
- In the case of purchase from a construction company, before 4 years from the end of the work, VAT of 4 % is applied, registration, mortgage and fixed cadastral taxes for € 200 each.
If you wish to know more and you wish to consult with one of our real estate agents, click here https://www.millevaniimmobiliare.it/it/contatti-agenzia-immobiliare-pozzallo-ragusa.html