The cost of buying a property in Italy
can typically be between 15-17% of the purchase price. In
particular you will need to pay:
- Purchase Tax: 10% of the declared price if the property is
urban and you are non-resident in Italy, or 19% on agricultural
property. This tax comes down to 3% if you are resident or say that
you will become resident within 18 months of signing the final
- Notary's Fees: Typically 1 to 2.5% of the declared price
- Bolli (stamp duty): 1% of the declared price
- Estate Agents Fee 3% of the purchase price plus VAT of 21%
- Legal or Surveyors Fees
- Translation and Interpreter Fees if you are not an Italian
speaker: around €1,000
We can help save you money on the
translation and interpreters fee and recommend various trusted
professionals and Notaries. Our fees are part of the local Agent's
Financing Your Purchase
If you are not financing your purchase
wholly from cash reserves or from the sale of a property at home
then we can help you to get the best mortgage for your purchase.
You have a number of choices available to you:
You can either get a mortgage in your
Country of origin. In the United Kingdom many High Street banks are
offering mortgages for property in various European countries.
Or you can get a mortgage based in
Italy. The maximum loan to value for lending in Italy is 70% for
non residents. The maximum term is 30 years with rates typically
around 4.9% for variable rate mortgages and slightly higher for
fixed rate mortgages.
Call us now if you would like us to
recommend a mortgage broker to help ensure that you get the best
Telephone: +44 (0)1202 478665
Get An Italian Mortgage
If you have been led to believe that the Italian banks are no
longer lending to non-resident customers here is some good news -
Italian banks are still lending to financially sound non-resident
Turmoil in the financial world since 2008 has led to many
Italian mortgage providers to radically change their lending
criteria and tighten their conditions for eligibility, but Italian
mortgages are still available to financially sound applicants.
So, to get an Italian mortgage just follow the six quick and
easy steps below and you'll be in your Italian dream home faster
than you thought possible:
1. Use a mortgage broker
As with all Italian administration the paperwork can be complex
and time consuming. You can save yourself time, frustration and
money by using a good Italian mortgage broker.
2. Remember the cultural difference
Italian banks are Italian and work differently to UK, US and
Australian banks. Their lending criteria are different, their
processes are very much more thorough and they play by different
rules based on the standard Italian financial profiles. In short,
to get an Italian mortgage you need to think Italian.
3. Find out how much you can borrow before you start
your property search
It's better to know your maximum mortgage potential and aim to
achieve a mortgage within that limit - Italian banks will not lend
to people who overstretch their finances.
4. Be realistic when you complete your Italian mortgage
Italian banks don't use credit scoring but instead the audit the
finances of every mortgage applicant in detail. Don't omit any
loan, credit card and hire purchase payments from your application
and make sure you can substantiate every penny of income.
5. Make sure you can provide all the supporting
documents listed on the mortgage application
Supplying all the documents listed by the bank looks like a
daunting task and it's why we suggest you enlist the help of a
mortgage broker. A complete and well-presented mortgage application
will speed up the process and will help the bank view your
application most favourably.
6. Remember to adhere exactly to your mortgage offer
Italian mortgage offers are valid for a limited period of time
after issue date and the acceptance process is governed by Italian
law. If you fail to comply with the mortgage acceptance terms to
the letter you could find yourself having to start the mortgage
application process over again.
We recommend Best French
Mortgage who have a team dedicated to Italian mortgages and are
a family run business with Italian roots.