The Complete Property Buying Process in Italy for Foreigners: Step by Step

Buying property in Italy follows a structured legal process with specific steps that cannot be skipped or reordered. The entire process typically takes 2 to 4 months from accepted offer to final deed, though it can stretch longer if due diligence reveals problems. Here is every step, in order.

Step 1: Get Your Codice Fiscale

The codice fiscale (tax identification number) is required before you can do anything in Italy: open a bank account, sign a contract, or register a property purchase. It is a 16-character alphanumeric code based on your name, date of birth, and place of birth.

Apply at any Agenzia delle Entrate office in Italy (bring your passport, takes 15 minutes, free) or at an Italian consulate in your home country. The consulate route avoids queues and lets you have the code before arriving in Italy.

The codice fiscale does not make you an Italian tax resident. It is an administrative identifier. You will use it on every document throughout the purchase process.

Step 2: Open an Italian Bank Account

While not strictly required by law, having an Italian conto corrente (current account) is practically necessary. The notaio will need to verify that purchase funds have been transferred through the banking system under Italian anti-money laundering rules (D.Lgs. 231/2007).

You can open an account as a non-resident at most major Italian banks including Intesa Sanpaolo, UniCredit, and Banca Monte dei Paschi di Siena. Bring your passport, codice fiscale, and proof of address in your home country. Some banks require an appointment, so call ahead.

Non-resident accounts have the same basic functionality as resident accounts but may have higher fees or limited online banking features. Many foreign buyers use banks with English-language support, such as UniCredit's international client divisions.

Step 3: Make an Offer (Proposta d'Acquisto)

The proposta d'acquisto (purchase offer) is a formal written offer to buy the property at a stated price and conditions. In Italy, this is a binding document with legal consequences.

When you sign a proposta d'acquisto, you typically submit a deposit check (often EUR 5,000 to EUR 10,000) as a sign of good faith. If the seller accepts the offer, both parties are bound. If you withdraw after the seller accepts, you lose the deposit. If the seller accepts and then withdraws, they must return double the deposit under Article 1385 of the Codice Civile (caparra confirmatoria rules).

Your proposta should include conditions. The most important is making it subject to satisfactory due diligence (condizionata alla verifica urbanistica e catastale). This gives you a legal exit if the property has problems. Without this condition, you are locked in.

Step 4: Sign the Preliminary Contract (Compromesso)

The compromesso, formally called the contratto preliminare di compravendita, is the binding agreement between buyer and seller. This is not the final transfer of ownership, but it obligates both parties to complete the transaction.

At the compromesso, the buyer pays a caparra confirmatoria (confirming deposit), typically 10% to 30% of the purchase price. This deposit functions as both a guarantee and a penalty mechanism. If the buyer defaults, they lose the caparra. If the seller defaults, they must pay double the caparra to the buyer.

The compromesso must be registered with the Agenzia delle Entrate within 20 days under D.P.R. 131/1986 (the Testo Unico dell'Imposta di Registro). Registration requires paying a fixed tax of EUR 200 plus 0.50% of the caparra amount (credited against the final registration tax). Registering the compromesso also protects the buyer by establishing a dated public record of the agreement. For additional protection, the compromesso can be transcribed at the Conservatoria under Article 2645-bis of the Codice Civile, which gives the buyer priority over subsequent creditors of the seller.

Step 5: Due Diligence

Between the compromesso and the rogito (final deed), you conduct thorough due diligence. If your proposta or compromesso includes a due diligence condition, this is when it matters.

Visura catastale. Obtained from the Catasto through the Agenzia delle Entrate. Shows the property's cadastral category, size, rendita catastale (cadastral income used for tax calculations), and registered floor plan (planimetria catastale).

Visura ipotecaria. Obtained from the Conservatoria dei Registri Immobiliari. Reveals all registered mortgages, liens, easements, judicial seizures, and other encumbrances against the property. This is essential. A property might look clean but have a judicial lien from a lawsuit the seller lost years ago.

Certificato di agibilita (habitability certificate). Confirms the property meets basic health and safety standards and is legally habitable. Not all older properties have one. Properties built or significantly renovated since 2001 should have this certificate under D.P.R. 380/2001, Articles 24-26.

APE (Attestato di Prestazione Energetica). The energy performance certificate is mandatory for all property sales and rentals under D.Lgs. 192/2005. The APE rates the property from A4 (most efficient) to G (least efficient). Most older Italian properties are rated F or G. The APE must be annexed to the rogito.

Conformita urbanistica e catastale. Your geometra or architetto verifies that the property's current physical state matches both the Catasto records (conformita catastale) and all building permits issued by the Comune (conformita urbanistica). This is the most critical check and the one most likely to reveal problems.

Step 6: The Final Deed (Rogito Notarile)

The rogito notarile (notarial deed), also called the atto di compravendita, is the final transfer of ownership. It takes place at the office of the notaio chosen by the buyer.

On the day of the rogito, the buyer pays the remaining balance of the purchase price (the total price minus the caparra already paid). Payment must be made by assegno circolare (bank draft) or bonifico bancario (bank wire), never cash, under anti-money laundering rules. The notaio records the means of payment in the deed.

The notaio reads the entire deed aloud to both parties (yes, the whole thing, in Italian). If the buyer does not speak Italian, a sworn translator must be present and an Italian-language version must accompany any translated deed. This requirement is established under Legge notarile (L. 89/1913).

After signing, the notaio registers the deed with both the Agenzia delle Entrate (for tax purposes) and the Conservatoria dei Registri Immobiliari (for ownership records). At this point, you are the legal owner.

Step 7: Pay the Taxes

Taxes are calculated by the notaio and paid at the time of the rogito. The tax structure depends on whether you are buying from a private individual or a developer, and whether the property qualifies as your prima casa (primary residence) or seconda casa (second home).

Buying from a private seller (seconda casa, which applies to most foreign buyers): Imposta di registro (registry tax) at 9% of the cadastral value (valore catastale), not the actual purchase price. The valore catastale is calculated by multiplying the rendita catastale by a coefficient (currently 126 for residential properties). This typically results in a tax base well below the purchase price. Plus EUR 50 each for imposta ipotecaria and imposta catastale (fixed amounts).

Buying from a private seller (prima casa): Imposta di registro at 2% of the valore catastale (minimum EUR 1,000). Plus EUR 50 each for imposta ipotecaria and imposta catastale. Prima casa benefits require you to establish residency in the Comune within 18 months of purchase.

Buying from a developer (subject to IVA/VAT): IVA at 4% of the purchase price for prima casa or 10% for seconda casa (22% for luxury properties in cadastral category A/1, A/8, or A/9). Plus EUR 200 each for imposta di registro, imposta ipotecaria, and imposta catastale.

Note the critical difference: when buying from a developer, the tax is calculated on the actual purchase price, not the lower valore catastale. This makes developer purchases significantly more expensive tax-wise.

Typical Timeline

The full process from first viewing to rogito typically takes 2 to 4 months.

Week 1 to 2: Property viewings and proposta d'acquisto. Week 3 to 4: Seller accepts offer, due diligence begins. Week 4 to 8: Compromesso signed, detailed due diligence, bank account setup if not already done. Week 8 to 16: Final checks, rogito scheduled, funds transferred. This timeline assumes no problems emerge during due diligence. If the property has urbanistic or cadastral irregularities, add weeks or months for regularization.

Agent Commissions

Italian real estate agents (mediatori immobiliari) typically charge commission to both buyer and seller. The standard rate is 3% to 4% plus IVA (22%) from each party, though rates are negotiable. Commission is due upon signing the compromesso, not the rogito. Make sure the commission agreement is in writing and that the agent is registered with the Camera di Commercio under Legge 39/1989.

Bektu helps foreign buyers understand and compare the real costs of property purchases globally, including Italy's multi-layered tax and fee structure.