The purchase procedure of real estate properties in Italy
Trevi Elite srl is an international real estate agency dealing with luxury properties throughout all of Italy. We currently have offices in Rome and Moscow and would like to expand into other territories as well.
Needless to say, Rome is an extraordinary city, it is truly one of the world’s most amazing destinations, making it an excellent market to invest in.
Regarding the choice of areas, there is a variety of neighborhoods for everyone’s specific taste and requirements. While the average cost per square meter is about €1,500 per m2 in the outskirts of Rome, it can reach up to € 12.000 in Rome’s most prestigious locations such as the Spanish Steps and Piazza Navona.
The center of Rome has plenty to choose from – Aventino, which is a beautiful green suburb near a glorious ancient park. Monti, one of Rome’s most historical neighborhoods with medieval streets, wine bars nestled in the beautiful palazzos, and romantic rustic views. In short, this is where the Gladiators found their entertainment and modern Romans still do. Trastevere is the cultural beating heart of Rome, where artists and musicians find their inspiration and English is commonly heard. These are just a few of Rome’s lesser-known but equally great neighborhoods. Of course, you are all well aware of Piazza Navona, the Pantheon, the Colosseum, Campo di Fiori, the Spanish Steps, Prati, Parioli, St. Peter’s…needless to say, the list is endless.
Rome
Obviously, the real estate prices in Rome are lower compared to central London or Paris. In fact, you can find a neighborhood located a stone’s throw from all major attractions but be in a tranquil environment near lush green parks. At the top of this list are two of Rome’s most prestigious residential areas, Parioli and Villa Borghese (Pinciano). This is where most embassies have found their homes and both areas are full of exclusive country clubs, excellent restaurants, luxury hotels, international schools, and luxury amenities.
Buying in Rome’s historical center can be advantageous in an entirely different way. You can enjoy the eternal city and its splendor during your vacations but earn a 4-6% return per year on your investment by renting your property on a short- or long-term basis.
Rome may be a dream location but what makes it even more alluring is the short time it takes to get to Italy’s most beautiful coasts. Buying a home on the coast itself offers you a variety of attractions. In the coastal regions of Anzio, San Felice Circeo, Sabaudia, and Santa Marinella, you could spend your days on the beach and then drive less than an hour and enjoy Rome’s nightlife. The gorgeous islands of Ponza, Palmarola and Ventotene are superb and a short sail away. While Rome offers historical landmark palazzos, homes along the coastal regions are newly constructed, with modern architecture and can be made to your most specific requests. Prices here vary from €1,500-€2,000 per m2.
We understand that the English have had a long-standing love affair with Tuscany, and it is still growing strong. Tuscany is world-famous for its variety of rustic villas, seaside complexes, and romantic wine estates. For the most secluded hilltops, properties vary from €1,500-€5,000 per m2.
Rome
The purchase procedure of real estate properties in Italy
Italian Legal Requirements:
- Irrevocable Purchase Proposal (usually 5%-10%): This is a non-refundable deposit (caparra confirmatoria) that serves as insurance to both the buyer and the seller. Once paid, the buyer and seller are committing to the purchase. If the buyer decides against the acquisition of the property, this sum will be forfeited to the seller. However, if the seller decides not to sell, he must pay twice the amount of the deposit to the buyer.
- Preliminary Contract: This is necessary for the buyer to receive a fiscal code (Codice Fiscale), which is subsequently used to open a bank account. This contract adds 20%-25% of the property price to the deposit.
- Final Act of Sale: (Rogito) This is signed in the presence of an Italian notary, who represents the Italian government. He regulates all the taxes on that property. The original contract is held by the notary, he is only authorized to give out certified copies of this act. On the day of the final contract, both the buyer and the seller receive a certified copy which serves as an ownership certificate to the buyer.
Upon signing the final contract, you will officially be the new owner of the property and therefore receive the keys to your new dream home. You will then receive the official ownership papers within three weeks’ time.
It is also common to purchase property that is not yet constructed. This is a completely secure endeavor, due to the law that every construction firm is obliged to fulfill its work to the government.
Taxes
Seller-Private Individual Owner:
- Non-resident buyer:
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- Registry tax 7%
- Mortgage tax 2%
- Cadastral tax 1% on cadastral price
- Resident buyer:
- Registry tax 2%
- Mortgage tax -€ 100
- Cadastral tax – €100
Seller-Company
- Non-resident:
-
- VAT 10%/20% depending on property type
- Mortgage tax – €100
- Cadastral tax – €100
- Resident
- Registry tax 4%
- Mortgage tax – €100
- Cadastral tax – €100
- Notary Services can vary upwards of €3,000.
- Agency fee varies from 3% to 6% (+VAT) depending on property type and the fee payable in stages. The Trevi Elite Real Estate Agency is completely responsible for the ethics concerning the act of sale and acquisition and has an insurance policy in accordance with the law.
- We provide after-sale services to our clients.