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Italy's sun-drenched landscapes, historic architecture, and legendary lifestyle make it one of the most desirable places in the world to own property. From Tuscan farmhouses to Venetian apartments to Sicilian villas, the Italian property market offers options for every budget and dream.
This guide walks you through everything you need to know about buying property in Italy as a foreigner—from legal requirements and the step-by-step process to costs, taxes, and regional considerations.
Can Foreigners Buy Property in Italy?
Yes, foreigners can buy property in Italy, though the rules depend on your nationality and residency status.
EU/EEA Citizens
European Union and European Economic Area citizens have full rights to purchase property in Italy without restrictions. You can buy residential or commercial property anywhere in the country.
Non-EU Citizens
Non-EU citizens can buy property in Italy if their home country has a reciprocity agreement with Italy. This means Italian citizens must also be able to purchase property in your country.
Countries with reciprocity agreements include:
- United States
- Canada
- Australia
- United Kingdom
- Switzerland
- Most Latin American countries
- Japan
If your country doesn't have a reciprocity agreement, you can still buy property if you hold a valid Italian residence permit.
Important: Check the current status of your country's reciprocity agreement with the Italian embassy or a property lawyer before proceeding.
What You Need to Buy Property
Regardless of nationality, every buyer needs:
- Codice Fiscale (Italian tax code) — Required for all property transactions, tax payments, and utility contracts. You can obtain this at any Italian consulate or Agenzia delle Entrate office. Learn more about getting your Codice Fiscale.
- Italian bank account — Essential for property payments, mortgage applications, and ongoing bills. See our guide to opening a bank account in Italy.
- Valid passport — Plus any required visa or residence permit documentation.
The Property Buying Process: Step by Step
Italy's property buying process follows a structured legal framework. Here's what to expect at each stage.
Step 1: Find Your Property
Start your search through:
- Italian real estate agencies (agenzie immobiliari)
- Property portals like Idealista, Immobiliare.it, and Casa.it
- Local newspaper listings
- Auction houses for foreclosed properties
Consider hiring a local real estate agent (agente immobiliare). They must be licensed and registered with the local Chamber of Commerce. Agency fees typically run 3-4% of the purchase price (plus 22% VAT), usually split between buyer and seller.
Step 2: Make an Offer (Proposta d'Acquisto)
Once you find a property, you submit a written offer called the proposta d'acquisto (purchase proposal).
This document includes:
- Your details and identification
- The property description and address
- Your offered purchase price
- Proposed timeline for completion
- Any conditions (financing, survey results, etc.)
- Validity period (typically 2-4 weeks)
The deposit: You'll typically provide a deposit of €5,000-€10,000 or 1-2% of the property price with your offer. This is held in escrow.
If the seller accepts, this deposit becomes a caparra confirmatoria (binding deposit). If you withdraw without cause, you forfeit it. If the seller withdraws, they must return double the deposit.
Step 3: Due Diligence and Surveys
Before committing further, conduct thorough due diligence:
Legal checks:
- Verify the seller has clear title to the property
- Check for mortgages, liens, or debts attached to the property
- Confirm the property is properly registered in the Catasto (land registry)
- Verify Conservatoria dei Registri Immobiliari records
- Check for any planning violations or building irregularities
Technical checks:
- Commission a structural survey (perizia)
- Verify building permits and planning permissions
- Check the certificato di agibilità (habitability certificate)
- Review energy performance certificate (APE)
- Inspect for asbestos, especially in pre-1992 buildings
We strongly recommend hiring both a property lawyer (avvocato) and a geometra (surveyor) for this stage. Italy's property records can be complex, with historical issues dating back decades.
Step 4: Preliminary Contract (Compromesso)
The compromesso (or contratto preliminare) is a binding preliminary contract that commits both parties to the sale.
This contract specifies:
- Full purchase price
- Payment schedule
- Completion date
- Property inventory
- Conditions of sale
- Penalties for breach
The deposit at this stage is substantial: typically 10-30% of the purchase price. This is called the caparra confirmatoria.
Key points:
- Both parties must sign in front of witnesses
- The contract can be registered with the Agenzia delle Entrate (recommended but not required)
- Registration costs €200 plus 0.50% of the deposit amount
- Registration protects your interest if the seller tries to sell to someone else
The period between compromesso and final deed is typically 1-3 months, allowing time to arrange financing and complete due diligence.
Step 5: Final Deed (Rogito)
The rogito (also called atto di vendita or atto notarile) is the final deed of sale, signed before a notary (notaio).
The notary:
- Is a public official representing the Italian state
- Verifies both parties' identities and capacity
- Confirms the property is free of encumbrances
- Calculates and collects taxes due
- Reads the entire contract aloud (in Italian)
- Registers the transfer with the land registry
At this appointment, you:
- Pay the remaining balance of the purchase price
- Pay all taxes, notary fees, and registration costs
- Receive the keys
The rogito must be conducted in Italian. If you don't speak Italian, you can bring a qualified translator, though this adds to costs.
Step 6: Post-Purchase Steps
After completion:
- Register with the local Comune (municipality) as property owner
- Transfer utility contracts to your name
- Pay ongoing property taxes (IMU, TARI)
- Update your will to reflect Italian property ownership
- Consider contents insurance
Costs of Buying Property in Italy
Budget for 10-15% on top of the purchase price for total transaction costs.
Registration Tax (Imposta di Registro)
This is the main tax on property purchases.
Buying from a private seller:
- Primary residence (first home): 2% of cadastral value (minimum €1,000)
- Second home or non-resident: 9% of cadastral value (minimum €1,000)
Buying from a developer/company (new build):
- Primary residence: 4% VAT + €200 registration + €200 mortgage tax + €200 cadastral tax
- Second home: 10% VAT + €200 registration + €200 mortgage tax + €200 cadastral tax
- Luxury property: 22% VAT + €200 registration + €200 mortgage tax + €200 cadastral tax
Important: Registration tax is calculated on the cadastral value (valore catastale), not the purchase price. The cadastral value is typically much lower than market value—often 50-70% less—resulting in significant tax savings.
To qualify for the lower "primary residence" rate (prima casa), you must:
- Establish residency in the municipality within 18 months of purchase
- Not own other properties bought with the prima casa benefit
- Maintain the property as your primary residence for at least 5 years
Notary Fees
Notary fees are regulated but vary by property value:
- Up to €100,000: €1,500-€2,500
- €100,000-€300,000: €2,500-€3,500
- €300,000-€500,000: €3,500-€5,000
- Over €500,000: €5,000+
Fees include deed preparation, registration, and all notary services. Get quotes from multiple notaries—fees can vary.
Real Estate Agent Fees
Commission is typically 3-4% of the purchase price, plus 22% VAT. This is usually split 50/50 between buyer and seller, though terms are negotiable.
Other Costs
- Mortgage fees (if applicable): 0.25-1% of loan amount
- Property survey: €300-€1,500
- Lawyer fees: €1,000-€3,000
- Translator (if needed): €200-€500
- Bank charges: €100-€500
IMU Property Tax
IMU (Imposta Municipale Unica) is Italy's municipal property tax, paid annually.
Who Pays IMU?
- Second homes: Yes
- Primary residences: Exempt (unless classified as luxury A/1, A/8, or A/9)
- Agricultural land: Depends on location
- Rental properties: Yes
How Is IMU Calculated?
IMU = Cadastral Value × Revaluation Factor × Municipal Rate
The revaluation factor is 160 for most residential properties. Municipal rates vary between 0.4% and 1.06%, with most municipalities charging around 0.76-1.06% for second homes.
Example: A property with a cadastral income of €1,000
- Revaluation: €1,000 × 160 = €160,000 (tax base)
- At 0.86% rate: €160,000 × 0.0086 = €1,376 annual IMU
Payment Schedule
- First installment: June 16
- Second installment: December 16
You can pay via F24 form at banks, post offices, or online.
TARI (Waste Tax)
Separate from IMU, TARI is the municipal waste collection tax. Rates vary by property size and location, typically €150-€500 annually for a standard apartment.
Can You Get a Golden Visa Through Italian Property?
No—Italy does not offer a Golden Visa or residence permit based on property purchase alone.
Unlike Portugal or Greece, buying property in Italy does not automatically grant you the right to live there.
However, Italy does offer an Investor Visa (Visto per Investitori) with these minimum investment thresholds:
- Italian government bonds: €2,000,000
- Corporate bonds/shares: €500,000
- Innovative startups: €250,000
- Philanthropic donation: €1,000,000
The investor visa grants a 2-year residence permit, renewable for 3-year periods.
Property-Related Residence Options
If you want to live in Italy as a property owner, consider:
Elective Residency Visa — For financially independent individuals who can demonstrate:
- Passive income of €31,000+ annually (single) or €38,000+ (couple)
- Proof of accommodation (ownership or rental)
- Health insurance coverage
This doesn't require you to buy property, but owning a home supports your application.
Retirement in Italy: Property ownership combined with an elective residency visa is a common path for retirees. After 5 years of legal residence, you can apply for permanent residency. After 10 years, you may apply for citizenship.
The €1 House Scheme: Reality Check
You've seen the headlines: "Buy a house in Italy for €1!" While these programs are real, the reality is more complex.
How It Works
Small Italian towns, typically in rural Sicily, Sardinia, Abruzzo, and Molise, sell abandoned properties for a symbolic €1 to attract new residents and revitalize dying communities.
The Real Costs
That €1 price tag comes with significant obligations:
- Security deposit: €1,000-€5,000
- Mandatory renovation: €20,000-€150,000+
- Renovation deadline: 1-3 years
- Notary and legal fees: €2,000-€4,000
- Architect/permits: €3,000-€10,000
What to Consider
Pros:
- Very cheap property acquisition
- Large homes for minimal upfront cost
- Beautiful, authentic locations
- Community incentives and tax breaks
Cons:
- Remote locations with limited services
- Unknown structural issues until purchase
- Strict renovation timelines
- Limited resale market
- Language barriers in rural areas
- Costly to renovate to modern standards
Our verdict: €1 houses suit adventurous buyers with renovation experience, time, and a budget of €30,000-€100,000+ for restoration. They're not for anyone seeking a turnkey holiday home.
Towns with current €1 schemes include:
- Mussomeli (Sicily)
- Sambuca di Sicilia (Sicily)
- Zungoli (Campania)
- Ollolai (Sardinia)
- Various towns in Molise and Abruzzo
Research specific programs carefully—conditions and availability change frequently.
Mortgages for Foreign Buyers
Italian banks do offer mortgages to foreigners, though with stricter conditions than for residents.
What to Expect
- Maximum LTV: 80% | 50-60%
- Interest rates: 2.5-4% | 3-5%
- Term: Up to 30 years | Up to 25 years
- Maximum age at term end: 75-80 | 70-75
Requirements for Foreign Buyers
- Proof of income (employment contract, tax returns, pension statements)
- Bank statements (typically 6-12 months)
- Existing credit history
- Property valuation by the bank
- Life insurance (usually required)
- Valid passport and tax code
Tips for Approval
- Use an Italian mortgage broker — They know which banks work with foreigners
- Apply to multiple banks — Policies vary significantly
- Prepare comprehensive documentation — Translated and apostilled if necessary
- Consider your currency exposure — Borrowing in euros while earning in another currency adds risk
- Allow extra time — Foreign applications take longer, typically 2-3 months
Alternative Financing
- Home equity release in your home country
- International banks with Italian operations
- Developer financing for new builds
- Italian bank accounts with existing relationship
Due Diligence Checklist
Before signing the compromesso, verify:
Legal Checks
- [ ] Clear title with no liens or mortgages
- [ ] Seller has full right to sell
- [ ] No inheritance disputes
- [ ] Property boundaries match documentation
- [ ] No outstanding utility debts attached to property
- [ ] Check for any easements or rights of way
Building and Planning
- [ ] All building permits in order
- [ ] No building violations (abusi edilizi)
- [ ] Planning permission for any modifications
- [ ] Certificate of habitability (certificato di agibilità)
- [ ] Energy performance certificate (APE)
- [ ] Seismic compliance (in earthquake zones)
Physical Condition
- [ ] Structural survey by qualified geometra
- [ ] Roof condition and age
- [ ] Electrical system compliance
- [ ] Plumbing and drainage
- [ ] Heating system condition
- [ ] Asbestos check (pre-1992 buildings)
- [ ] Damp or water damage
Financial
- [ ] Property taxes paid up to date
- [ ] Condominium fees current (apartments)
- [ ] Any planned special assessments
Regional Considerations
Property prices, lifestyle, and regulations vary significantly across Italy's regions.
Tuscany
Best for: Classic Italian countryside, wine lovers, art and history
Popular areas: Florence, Siena, Lucca, Chianti, Val d'Orcia
Prices: €2,500-€6,000/sqm (cities), €1,500-€3,500/sqm (countryside)
Character: Rolling hills, medieval towns, world-famous cuisine and wine
Consider: High tourist season crowds, summer heat, popular with international buyers pushing prices up
Puglia
Best for: Value, beaches, authentic southern Italy
Popular areas: Ostuni, Lecce, Alberobello, Polignano a Mare
Prices: €1,000-€2,500/sqm
Character: Whitewashed towns, trulli houses, olive groves, Adriatic coast
Consider: Less infrastructure than the north, hot summers, emerging market
Sicily
Best for: Budget buyers, adventure, diverse landscapes
Popular areas: Taormina, Syracuse, Ragusa, Palermo coast
Prices: €700-€2,000/sqm
Character: Ancient history, volcanic landscapes, distinct culture
Consider: Island logistics, bureaucracy can be slower, many €1 schemes here
The Italian Lakes (Como, Garda, Maggiore)
Best for: Luxury seekers, northern European buyers
Popular areas: Bellagio, Menaggio, Sirmione, Stresa
Prices: €4,000-€15,000+/sqm (lakefront premium)
Character: Alpine scenery, glamorous towns, excellent infrastructure
Consider: Very high prices at prime locations, cooler climate, competitive market
Le Marche
Best for: Value with Tuscan-like landscapes
Popular areas: Urbino, Ascoli Piceno, San Benedetto del Tronto
Prices: €1,000-€2,000/sqm
Character: Under-the-radar region, rolling hills, Adriatic beaches
Consider: Less tourist infrastructure, good value for money
Liguria (Italian Riviera)
Best for: Mediterranean coast, French Riviera proximity
Popular areas: Portofino, Cinque Terre, San Remo
Prices: €3,000-€10,000/sqm
Character: Dramatic coastline, colorful villages, mild climate
Consider: Limited flat land, parking challenges, steep terrain
Umbria
Best for: Green heart of Italy, art and history
Popular areas: Perugia, Assisi, Spoleto, Orvieto
Prices: €1,200-€2,500/sqm
Character: Landlocked Tuscany alternative, medieval hilltop towns
Consider: No coastline, smaller expat community
Frequently Asked Questions
How long does it take to buy property in Italy?
From initial offer to completion, expect 2-4 months for a straightforward purchase. Complex cases with mortgage approval or legal issues can take 6+ months.
Do I need to be in Italy to buy property?
You can grant power of attorney (procura) to a lawyer or trusted representative to sign documents on your behalf. However, being present for viewings and the final rogito is highly recommended.
Can I buy property in Italy without a residence permit?
Yes, if your country has a reciprocity agreement with Italy. You don't need to be a resident to own property, but you'll need a Codice Fiscale.
What ongoing costs should I budget for?
Annual costs for a typical second home include:
- IMU: €500-€2,000
- TARI (waste tax): €150-€500
- Utilities (if connected): €1,000-€3,000
- Condominium fees (apartments): €1,000-€3,000
- Maintenance: 1-2% of property value
- Property management (if used): €1,000-€3,000
Is it better to buy through a company?
For most individual buyers, personal ownership is simpler and cheaper. Company structures may benefit larger portfolios or commercial properties but add complexity and costs.
Can I rent out my Italian property?
Yes, but you must:
- Register the rental with local authorities
- Declare income on Italian taxes
- Pay withholding tax (cedolare secca option available: 21% flat rate)
- Comply with short-term rental regulations (varies by municipality)
- Register tourist rentals (affittacamere or locazione turistica)
What happens to my property when I die?
Italian inheritance law applies to Italian property regardless of your nationality. This includes forced heirship rules that reserve portions for spouses and children. Consider making an Italian will or registering a choice of law under EU succession regulations.
Final Thoughts
Buying property in Italy is a rewarding but detail-intensive process. The key to success:
- Get professional help — A good lawyer and surveyor are worth every euro
- Take your time — Rushing leads to expensive mistakes
- Understand the true costs — Budget 10-15% beyond purchase price
- Learn some Italian — Even basic language skills smooth the process
- Visit multiple times — See properties in different seasons before committing
Italy's bureaucracy can be frustrating, but the reward—owning a piece of one of the world's most beautiful countries—makes the effort worthwhile.
Last updated: February 2026
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