Interesting.. Sicily is a gem. Messy and very Italian but it is going to benefit from a recovery of southern Italy economy and from an increasing development of Africa
Grazzie a tutti for your video. I like Southern Italy a lot ,Pulgia, Sicily.. and could spend a lot of time there. One reason for basket cases like France (where I live) and Italy to remain nice places to live in is the Euro. The Euro is very stable . The Lira and the Franc would have been under attack for quite some times. I am thinking this over and may get in touch.
It seems the 2% transfer tax applies only if the property is your primary residence in Italy, meaning you'd need to live there for at least six months of the year. Otherwise, the tax rate increases to 9%.
@@max_orefice technically yes. What many people do is claim they’ll move to Italy but they don’t, and kf they don’t get audited they get away with it. If they get caught they must pay the difference. This is not tax advice, just sharing what many people do but that they shouldn’t do.
@@TheWanderingInvestor I know this first hand :-) Yes you have still to apply for residency within 18 months of buying , provide evidence, suggestion is to keep it for some time at least... and only after, you can (re)move the residency somewhere else (this doesn't really get audited)
FYI The tax percentage discount is only if you make the property your primary residence, where you become a resident for tax purposes and have to pay tax on global income. Also you can't sell it for 5 years. In regards to Siricusa, tourists only go to Ortigia, and property is much more expensive and scarce there. I am a Canadian also and I bought in Sicily with my Canadian bias that you can't go wrong with real estate but this is not true in Italy. Value for retirement or holiday property sure, but not for investment. Also it seems like there are 3+ homes for every person in Italy so it's definitely a supply issue and population is 3rd most declining in the world. You can buy a property for dirt cheap as non-resident and use it as a holiday home for your family, without any tax complications and enjoy la dolce vita, but I wouldnt try to make money here (unless you are buying businesses or factories like the Germans).
@@AlessandroS-v8g I hear you. Capital gains will be limited I don’t disagree. As for the discount on the first property, yes, you are right. This being said, the enforcement of it is very weak.
@ all that negativity being said, Sicily tourism is increasing quite steadily and the new generation of locals are learning conversational English and tourist infrastructure is improving (not necessarily for budget travel though).. Compared to many other countries with affordable real estate, Italy is a top tourism destination so there are many successful investment cases in that regard. Particularly in high-end luxury accommodations. You can buy/build a luxury villa with the right connections for 500k or so and host guests for a week at like €4-5k.. So I don't want to say there is no opportunity at all, but just want to warn that the cheap homes are often too good to be true for ROI (like the 1€ homes scheme). Another unsolicited warning for wealthy "americanos" or estranierei is that it is assumed that you are wealthy so you pay higher rates for things like construction work, etc without good connections and/or language. But I think this is probably the case in most countries dealing with foreign investment. Anyway thanks for reading and hope to see future videos from you on Sicily!
@@ad281995 unfortunately not. These are the ways: thewanderinginvestor.com/services/residency-and-citizenship-by-investment/how-to-obtain-residency-in-italy/
I heard the same from a long time local about a small town on Vancouver Island about 5 years ago. It is usually the locals who are negative to the investment opportunities seen by outsiders. Sideways markets that have a higher probability of vertical price rise. In my example prices rose up to 3x. Be open to having an in depth look at it before automatically dismissing without objective investigation.
@@donb9999 You are missing the point here. The south of Italy, and particularly Sicily, is unattractive for the locals, leave alone foreigners. The State there doesn't work, the Mafia at the contrary, works perfectly. Do you want to invest in an activity? Corruption of the Public Administration and the Mafia's 'pizzo' should make you think twice. Do you want to move there? Nothing works, and if you have a daughter, take into consideration a mentality that is way closer to North Africa than to Europe. Unemployment is over 50%, and the young generations are leaving the place in mass. If you are a foreigner, the locals see you as a milk cow, and anything you want to do hire anyone will cost much more than it should be Properties are cheap for a reason....
@@Mark-ej3oi"A mentality that is way closer to [them savages] North Africa than to [us civilized] Europe". Of course any form of barbarism present in Europe is never truly European.
Interesting.. Sicily is a gem. Messy and very Italian but it is going to benefit from a recovery of southern Italy economy and from an increasing development of Africa
Very informative! Would you mind including your cash flow analysis that you usually do?
As always a great video and interesting information
Excellent channel, always real info....no fluff
Is it just me or there is no single green area on these drone footages? Maybe I stayed in Bali too long idk
@@erdemulubas Very different vibe in Syracusa. It’s about European town living.
Great content 🦾⚡️
Grazzie a tutti for your video. I like Southern Italy a lot ,Pulgia, Sicily.. and could spend a lot of time there. One reason for basket cases like France (where I live) and Italy to remain nice places to live in is the Euro. The Euro is very stable . The Lira and the Franc would have been under attack for quite some times. I am thinking this over and may get in touch.
Don't worry, euro will get attack in few years.
Does your net yield number include having dedicated management in place?
@@thegreatestpursuit Yes
excellent
Nice video. Italy is not popular, when it comes to buying properties. Houses are rather cheap, not many buyers. So your point of view is interesting
how much do you think on estimate price of a vacant lot in rome just walking distance to Vatican if there is available?
@@micomarinas2753 I don’t think this even exists
It seems the 2% transfer tax applies only if the property is your primary residence in Italy, meaning you'd need to live there for at least six months of the year. Otherwise, the tax rate increases to 9%.
@@sokol2004 Yes. The enforcement of it is weak *not tax advice
Just a clarification: the 2% registry fee is only if you move residency there and it's your first real estate you buy in Italy, otherwise is 9%
@@max_orefice technically yes. What many people do is claim they’ll move to Italy but they don’t, and kf they don’t get audited they get away with it. If they get caught they must pay the difference. This is not tax advice, just sharing what many people do but that they shouldn’t do.
@@TheWanderingInvestor I know this first hand :-) Yes you have still to apply for residency within 18 months of buying , provide evidence, suggestion is to keep it for some time at least... and only after, you can (re)move the residency somewhere else (this doesn't really get audited)
Interesting, do you include a property management fee in your net yield calculations?
@@leRom124 Absolutely. 20%
FYI The tax percentage discount is only if you make the property your primary residence, where you become a resident for tax purposes and have to pay tax on global income. Also you can't sell it for 5 years.
In regards to Siricusa, tourists only go to Ortigia, and property is much more expensive and scarce there. I am a Canadian also and I bought in Sicily with my Canadian bias that you can't go wrong with real estate but this is not true in Italy. Value for retirement or holiday property sure, but not for investment. Also it seems like there are 3+ homes for every person in Italy so it's definitely a supply issue and population is 3rd most declining in the world. You can buy a property for dirt cheap as non-resident and use it as a holiday home for your family, without any tax complications and enjoy la dolce vita, but I wouldnt try to make money here (unless you are buying businesses or factories like the Germans).
@@AlessandroS-v8g I hear you. Capital gains will be limited I don’t disagree.
As for the discount on the first property, yes, you are right. This being said, the enforcement of it is very weak.
@ all that negativity being said, Sicily tourism is increasing quite steadily and the new generation of locals are learning conversational English and tourist infrastructure is improving (not necessarily for budget travel though).. Compared to many other countries with affordable real estate, Italy is a top tourism destination so there are many successful investment cases in that regard. Particularly in high-end luxury accommodations. You can buy/build a luxury villa with the right connections for 500k or so and host guests for a week at like €4-5k.. So I don't want to say there is no opportunity at all, but just want to warn that the cheap homes are often too good to be true for ROI (like the 1€ homes scheme).
Another unsolicited warning for wealthy "americanos" or estranierei is that it is assumed that you are wealthy so you pay higher rates for things like construction work, etc without good connections and/or language. But I think this is probably the case in most countries dealing with foreign investment. Anyway thanks for reading and hope to see future videos from you on Sicily!
Thanks for the video, what are the off-season months in Syracuse?
December-February, but even then there is a good flow of tourists
@@TheWanderingInvestor Thank you.
Syracuse is cool!
Wait, I thought this man’s playground was turkey, what’s he doing in Italy now?
Internationalizing and diversifying 😉
Do you get an Italian residency or a visa for owning property in Sicily?
@@ad281995 unfortunately not. These are the ways: thewanderinginvestor.com/services/residency-and-citizenship-by-investment/how-to-obtain-residency-in-italy/
No just a knock on the door from local mafias
With a 5% yield you are just one repair or a problem away from zilch.
Are you serious??? I lived in Italy for nearly 20 years, and I wouldn't invest a penny in Sicily and Syracuse in particular.
Y
I heard the same from a long time local about a small town on Vancouver Island about 5 years ago. It is usually the locals who are negative to the investment opportunities seen by outsiders. Sideways markets that have a higher probability of vertical price rise. In my example prices rose up to 3x. Be open to having an in depth look at it before automatically dismissing without objective investigation.
@@donb9999 You are missing the point here.
The south of Italy, and particularly Sicily, is unattractive for the locals, leave alone foreigners.
The State there doesn't work, the Mafia at the contrary, works perfectly.
Do you want to invest in an activity? Corruption of the Public Administration and the Mafia's 'pizzo' should make you think twice.
Do you want to move there? Nothing works, and if you have a daughter, take into consideration a mentality that is way closer to North Africa than to Europe.
Unemployment is over 50%, and the young generations are leaving the place in mass.
If you are a foreigner, the locals see you as a milk cow, and anything you want to do hire anyone will cost much more than it should be
Properties are cheap for a reason....
@@Mark-ej3oi"A mentality that is way closer to [them savages] North Africa than to [us civilized] Europe". Of course any form of barbarism present in Europe is never truly European.
Do it again without that nerv killing guest and find real gems.