How to Buy Property in Italy: Legal Guide for Foreign Buyers 2026

How the Italian property buying process works

Step 1: Obtain Codice Fiscale and search for the property you want

As a first step you need to find the property you like or need.
If you are serious about buying, you better start asking your “Codice fiscale” (tax payer number). It is not difficult to do so. Just go with your passport to one of the local tax authorities “Agenzia delle Entrate”. Once you have this (and the money...) you are ready to buy.

Unless you already know the property and its owner, you usually go to a real estate agency. They must be licensed, and can be a great help in finding what you really want. But they cost money. There isn't a rule about their fee. Usually they charge a small percentage of the final price of the estate both to the seller and to the buyer. Just ask it before proceeding... It may be up to 2-6% each, but it may vary from place to place.
The real estate agency fee is due when an agreement is made between seller and buyer, whatever it may later happen. You owe nothing if no deal with their contacts is made. Be aware of what you sign if they present you a written contract for their services.

Step 2: Preliminary contract (Contratto Preliminare)

Perfect, an agreement! You both say ok, the price is right. Hands shaken.
But still you have nothing under the Italian law, since any agreement/contract regarding real estate is void if not written and signed.
So, the use is to sign just after agreeing on every aspect of the purchase a preliminary contract, called in the legal jargon exactly "preliminare". Tipically, the seller wants a deposit, at that point.

The “preliminare” must be filed to the local tax authorities, and has to pay a tax on the amount of the deposit, but it is just an anticipation of the total taxes that you will have to pay later (see below), so we can skip the detail.
Anyway, this is not the final step of your purchase (read below), but it is very important. You won't easily (if at all) change what you signed at this point.

It is EXTREMELY important that you understand what you are going to sign, and since it will be in Italian, unless you master our language, you really need some serious help from someone that speaks your language. But not any interpreter may be the best for you, since the "preliminare" that the seller or the agency is going to draft will be quite long, and filled with technical legal expressions. Most of them will be "regular" and usual paragraphs, but a few of them will be vital.
A legal help from an Italian Lawyer may be the best BEFORE signing this contract, since only a lawyer will have the skills and experience to understand not only what was put in the draft of the contract, but more important, if something that should be there is not. And maybe to run a first check on the public registry to see if the seller really owns what you want to buy or if the property is charged by undeclared mortgages (This expecially if you are requested to pay something at this point).

Step 3: Notary (Notaio) and final deed

The “preliminary” contact, as the word itself suggests, is not the final step, the one that will transfer the property to you. It usually is just a (legally enforceable) promise to transfer the property once all the formalities are set.
The final step is to go to a notary ("notaio": in Italy they are self-employed professionals, but at the same time public officers, that have the power to give public faith to a contract).
Your chosen “notaio” will be charged to verify and report to you that the promised real estate is free and in the full property of the seller. He is also charged by the state to verify that the property is regular under a lot of profiles (building permits, taxes, etc.).
He will finally collect the taxes on behalf of the State (usually 11% of the declared price, that should decrease to a 9-10% since 2014) and his fees, and will record the sale to the public real estates registry, giving effectiveness to the sale in front of anyone.
You are now safely owner of a real estate, and you will have a copy of the contract with the proof of taxes payed and of the record at the public registry in about 30 days.
The "notaio" is usually chosen locally (they can work only in their region) by the buyer, and payed by him.
There is a logic in this: since his role in the final public contract is vital, he must be trusted by the buyer. When you buy, it is important that you choose him by yourself, not necessarily accepting the name suggested by the seller, as it may happen if you are new to the area. He works mainly in your interest, as a buyer. You choose him!

4 Taxes and fees when buying property in Italy

I mentioned the taxes, generally 11% (for houses, or less if you will transfer in the house as your permanent home, once again expected to lower a little since the news starting in 2014) of the price declared for taxation purposes. It may sometimes be a little lower than the real price, but of course you have the right to declare the full real price. Those taxes are usually on the buyer, so it is very important, when you compare the price of a real estate with your budget, that you consider that your final cost may be some 15/20% higher than the price.

In any of these steps, we can assist you. All over Italy. For preliminary information and fee estimates, please email segreteria at tregnaghi dot it with the subject line “Information on real estate assistence”.

Avv. Francesco Tregnaghi

Disclaimer: this is only a general explanation, touching just the main issues of the problems, not intended to be itself a guide to a real purchase.

Frequently Asked Questions – Buying Property in Italy as a Foreigner

1) Can foreigners buy property in Italy?

Yes. Foreigners can generally buy real estate in Italy. EU/EEA citizens can purchase without restrictions. Non-EU citizens may be subject to the “reciprocity” principle.

2) Do I need to live in Italy to buy a house?

No. You can buy property in Italy even if you are not an Italian resident. However, you will still need a Codice Fiscale and valid identification.

3) Are there any restrictions for non-EU citizens buying property in Italy?

In some cases, yes. Italy may require that your country allows Italian citizens to buy property under similar conditions (reciprocity rule).

4) What is the “reciprocity rule” and how does it affect foreign buyers?

It is a legal principle that may limit property purchases for certain non-EU citizens. If reciprocity applies, the purchase may be allowed only if Italian citizens can buy property in your country.

5) Do I need an Italian tax code (Codice Fiscale) to buy property?

Yes. The Codice Fiscale is mandatory for any property purchase in Italy, and also for signing contracts, paying taxes, and registering utilities.

6) How can I obtain a Codice Fiscale if I am not in Italy?

You can apply through an Italian consulate abroad or in Italy through the Italian Revenue Agency (Agenzia delle Entrate), often with the help of a professional.

7) Can I buy property in Italy without speaking Italian?

Yes. However, all legal documents must be fully understood. If you do not speak Italian, it is strongly recommended to use a translator and/or legal assistance.

8) Do I need an Italian bank account to purchase a property?

Not always, but in practice it is often recommended. An Italian bank account can make payments, taxes, and utility contracts much easier.

9) Can I get a mortgage in Italy as a foreigner?

Yes, many Italian banks offer mortgages to foreign buyers. Conditions may vary depending on nationality, residency, income, and the property’s value.

10) What documents are required to buy property in Italy as a foreigner?

Typically: a valid passport or ID, Codice Fiscale, proof of address, and (if required) documents related to the source of funds and anti-money-laundering compliance.

11) What are the main steps of the Italian property buying process?

Usually: property search, negotiation, written offer, preliminary contract (Contratto Preliminare), due diligence, and final deed (Rogito) before a notary.

12) What is an offer to purchase and is it legally binding in Italy?

A written offer can be legally binding depending on how it is drafted and accepted. It should always be reviewed carefully before signing.

13) What is the preliminary contract (Contratto Preliminare)?

It is a legally binding agreement where buyer and seller commit to completing the sale under agreed conditions, before signing the final deed.

14) How much is the deposit at the preliminary contract stage?

It depends on the deal. In many transactions it is around 10%–30% of the purchase price, but it can vary.

15) What happens if the buyer withdraws after signing the preliminary contract?

In most cases, the buyer may lose the deposit (caparra confirmatoria), unless withdrawal is justified by contractual conditions.

16) What happens if the seller withdraws after signing the preliminary contract?

In many cases, the seller may be required to return double the deposit, and the buyer may also pursue legal remedies.

17) What is the final deed (Rogito) and when is it signed?

The Rogito is the final public deed signed before a notary. Ownership transfers at this stage, and the buyer pays the balance of the price.

18) Who is the notary (Notaio) and what is their role in the transaction?

The notary is a public official who verifies the legality of the transaction, prepares the deed, collects taxes, and registers the sale.

19) Is the notary chosen by the buyer or the seller?

In Italy, the notary is usually chosen by the buyer, because the buyer pays the notary’s fees and related taxes.

20) What checks should be done before signing the final deed?

Key checks include ownership, mortgages or liens, cadastral compliance, building permits, zoning issues, and any pending legal disputes.

21) How can I verify that the seller is the legal owner of the property?

This is verified through official land registry searches and documentation checks, usually performed by professionals.

22) How can I check if there are mortgages, liens, or debts on the property?

This is done through searches at the land registry and related public records, which reveal mortgages, liens, and other encumbrances.

23) What is the difference between cadastral records and land registry records?

Cadastral records describe the property for tax purposes. Land registry records show legal ownership and registered rights (mortgages, liens, etc.).

24) What taxes do I pay when buying property in Italy?

Taxes vary depending on whether you buy from a private seller or a company, and whether you qualify for “first home” benefits.

25) What is the difference between buying from a private seller and from a company?

Buying from a private seller usually involves registration tax. Buying from a company may involve VAT, depending on the circumstances.

26) Do I pay VAT when buying property in Italy?

VAT may apply mainly when purchasing from a company (especially for new builds). Private sales usually do not involve VAT.

27) What are the typical notary fees in Italy?

Notary fees depend on the purchase price, complexity, and location. They are usually calculated based on legal tariffs and the work required.

28) What are the typical real estate agency fees in Italy?

Agency fees vary by region and contract. A common range is around 3%–5% plus VAT, but it depends on the agreement.

29) What are the total extra costs to expect on top of the purchase price?

A common estimate is around 14%–20% of the purchase price, but it can be higher depending on taxes, VAT, and professional fees.

30) Are there tax benefits for first-home purchases in Italy?

Yes. Italy provides reduced taxes for buyers who meet the legal requirements for “prima casa” (first home) benefits.

31) Can a foreign buyer qualify for “first home” tax benefits?

Yes, in many cases. Requirements must be met (including rules about residence and not owning another qualifying property in Italy).

32) Does buying a property in Italy automatically give me residency or a visa?

No. Property ownership does not automatically grant residency or citizenship. Immigration rules are separate.

33) Can I sign the purchase deed from abroad using a power of attorney (Procura)?

Yes. A buyer can appoint a representative through a properly executed power of attorney, allowing the purchase to be completed remotely.

34) Is it safe to buy an off-plan or newly built property in Italy?

It can be safe, but it requires additional checks, including permits, guarantees, and compliance with consumer protection rules.

35) What is due diligence and why is it important for foreign buyers?

Due diligence is the process of verifying that the property is legally compliant and free of issues. It helps prevent costly problems after purchase.

36) How long does the buying process usually take in Italy?

It varies. Many transactions take from a few weeks to a few months, depending on negotiations, financing, and document checks.

37) What ongoing taxes and costs do I pay after buying a property in Italy?

Owners may pay annual municipal taxes (IMU), waste tax (TARI, only if they occupy the house: if rented it's on the tenant), utilities, condominium fees (if applicable), and insurance. Also, IRPEF (Income tax) must be payd. If you rent out the property, you pay tax on the actual rental income. But even if the property is not rented out, Italian law may tax a deemed (notional) income connected to property ownership.

38) Can I rent out my Italian property as a foreign owner?

Yes. Foreign owners can rent out property, but must comply with Italian tax rules and local regulations (including short-term rental rules).

39) Do I need to register the lease contract if I rent out the property?

Yes. Long-term leases must be registered. Short-term rentals also have reporting and tax obligations.

40) Should I hire an Italian lawyer when buying property in Italy?

It is not mandatory, but strongly recommended, especially for foreign buyers. A lawyer can handle due diligence, contracts, and legal risk.

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