The buying process for luxury properties in Italy

Italy is renowned for its captivating landscapes, rich cultural heritage, and luxurious lifestyle. If you’re considering purchasing a luxury property in this stunning country, the process may seem daunting, but with the right knowledge and guidance, it can be a smooth and exciting journey. In this article, we will walk you through the essential steps of the buying process for luxury properties in Italy, from understanding the market to finalising the deal.

Why buy luxury property in Italy?

There are countless reasons why purchasing a luxury property in Italy is an attractive investment. Here are some of the key benefits:

• Stunning locations: Italy offers some of the world’s most breathtaking locations, from the rolling hills of Tuscany to the shimmering coastline of the Amalfi Coast. Whether you desire the tranquillity of the countryside or the vibrancy of a cosmopolitan city, there’s a property to match every lifestyle.
• Rich cultural heritage: Owning property in Italy means immersing yourself in its rich history, art, and culture. Italian cities and towns are steeped in centuries of history, with many luxury homes located near world-renowned landmarks and cultural attractions.
• Investment potential: Luxury properties in Italy tend to retain and even increase in value over time, particularly in sought-after locations. Italy’s strong property market, combined with demand from international buyers, makes it a stable investment.
• Lifestyle and amenities: Italy is known for its high quality of life, from fine dining and exceptional wine to excellent healthcare and a mild climate. Luxury properties often come with premium amenities, such as private pools, panoramic views, and expansive grounds.

The buying process for luxury properties in Italy

Purchasing a luxury property in Italy involves several key steps:

1. Understanding the market: Italy offers a variety of luxury properties, from historic villas in Tuscany to sleek modern apartments in Milan. Each region has its own appeal and price range, so it’s important to first identify the area that suits your lifestyle and investment goals. Conducting market research or working with a local property expert can help you understand pricing trends and which areas are the best investments.
2. Engage a local real estate agent: While it is possible to navigate the Italian property market on your own, hiring a reputable real estate agent who specialises in luxury properties is highly recommended. A local agent will have in-depth knowledge of the market, help you find properties that match your criteria, and negotiate on your behalf. They will also assist you in ensuring the property is legally sound, which is crucial in Italy.
3. Legal considerations: Italy’s legal framework for property transactions is distinct, and it’s vital to have an experienced lawyer to guide you through the process. As a foreign buyer, you will need to obtain a Tax Identification Number (Codice Fiscale) before purchasing property in Italy, a process your lawyer or real estate agent can assist with. Additionally, a notary (notaro) is required to formalise the sale, ensuring that the transaction complies with Italian law and overseeing the registration of the property in the land registry. Your lawyer will also conduct due diligence checks to ensure that the property is free from any debts or legal disputes, safeguarding your investment.
4. Making an offer: Once you’ve found your dream property, your real estate agent will help you submit an offer. In Italy, property offers are often made verbally and followed up with a written offer, which may include a deposit. If the seller accepts your offer, a preliminary contract (compromesso) is signed
5. The preliminary contract (Compromesso): The "compromesso" is a legally binding agreement that outlines the terms of the sale, including the purchase price, payment schedule, and any conditions that must be met before the final contract is signed. Typically, the buyer will pay a deposit of 10-30% of the purchase price upon signing the compromesso.
6. Final contract (Rogito): The "rogito" is the final contract that transfers the ownership of the property to the buyer. This contract must be signed in the presence of a notary, who will register the property in the land registry. The balance of the purchase price, minus the deposit, is paid at this stage.
7. Closing the deal: Once all legal and financial steps have been completed, and the payment has been made, the deal is finalised. The notary will officially register the property in your name, and you will receive the keys to your new luxury home in Italy.

For more tips on buying luxury property in Italy, check out our guide. 

Common pitfalls to Avoid

When buying a luxury property in Italy, there are several potential pitfalls to be aware of. Avoiding these mistakes can save you time, money, and stress. One key mistake is failing to conduct due diligence. Always verify that the property is free from legal disputes or debts, as skipping this crucial step can lead to unexpected complications. Another is ignoring local market trends. Property prices can vary significantly depending on the region, and understanding these trends is essential to ensuring you're making a wise investment. 

Additionally, many buyers overlook the additional costs involved in the purchase. Beyond the price of the property, there are taxes, notary fees, and renovation expenses to consider. It’s important to budget accordingly to avoid financial surprises. Lastly, neglecting maintenance requirements can be costly. Many luxury properties, especially older ones, may require extensive upkeep, so be sure to factor the cost of maintenance into your total cost of ownership.

Find luxury property for sale in Italy

There are numerous resources to help you find luxury properties for sale in Italy as a foreigner. Real estate agencies, both local and international, specialising in luxury homes, offer an extensive selection of properties, including off-market deals. Here at idealista, we're here to help, with a large selection of listings of luxury properties across Italy, making it easy to browse options. 

Find luxury homes for sale in Italy