This is the most comprehensive reporting on fees for purchasing property in Italy thank you so much. It's good to know what other costs to factor in upfront.
BlueSuedeShoesDance thank you, I’m pleased to hear that the informations are clear and valuable. I have done many acquisitions here in Italy and other parts of the world, happy to share my knowhow.
Thank you so much Davide! You’re information and positive air have made beginning this process of purchasing in Salento more enjoyable and exciting :-)
Thank you Davide, you explained the discussed fee processes very well>>>>>>! Is there also an agency fee or commission when sales are transacted? each buyers agent & sellers agent and agencies all get a cut as you probably know here in the us.
Hi Jojo, thanks for following the channel! When purchasing in italy the buyers pays 3% of the purchasing price or a minimum of 3k common practice all over italy.
In Canada it’s called a Land Transfer tax. It’s a percentage of the purchase price, not the value registered with the land registry. The percentage is determined by the municipality the property is situated in. Lol In Canada, it hasn’t been anywhere close to 2% in decades! Excellent video. Thank you for making this information available to us!
just another gov't money grab in Canada, this and property tax which is around 1.5% of the MPAC assessed value, paid annually. It is a family income killer !
Thank you for the explanation - very informative. Two questions: 1. Is this a one-time tax at purchase, or is this a periodic (yearly?) tax? 2. Does a home of a retired expat on an Elective Residents Visa (non-EU citizen) qualify as primary residence, regardless of properties owned elsewhere (e.g., USA)?
Hi there, thank you for reaching out to us with your additional questions. 1st question: this is a one-time tax that you pay at the time of purchase ‘’Imposta di registro’’. 2nd question: Yes, you do qualify. Plus, you have 18 months from the moment of purchase to register your residency.
Hi, i am planning to buy a villa in Puglia (Ostuni Coast) as mainly a summer residence. I am working (mainly from home) in Germany and pay my income taxes there. Is it still possible to pay the 2 % and have both residence in Italy and Germany or not? Also i would like to know, do you know how high is the annual taxation for a property? Thanks very informative video.
Automatically is a big word here in Italy 😊 If you’re not a resident you would automatically pay 9% even if you have double citizenship. You have 18 months to register your residence in Italy and benefit from a lower property tax percentage. But don’t be put off by the big percentage number, in majority of the cases the cadastral value is extremely low in comparison to the sell price.
I would also be interested to hear more about the taxes applicable to rental income on buy-to-let properties in Italy and any other relevant information for buyers who are looking at this aspect of investing in Italian property.
To buy a first house in Italy without being a resident (as a foreigner living in Asia) under personal name .and pay 9% tax of cadastral value of property not selling price To buy a first car in Italy 🇮🇹 as a foreigner.. would be best to set up a company to acquire the vehicle Would that be correct to save most on taxes? Thanks Davide!
Hi Ed, you need access to the ‘’ Scheda Catastale’’ from there you need two details in order to calculate your property tax. Categoria and Rendita, with these two pieces of information, you can simply use one of the free online portals to calculate the amount payable. This link should be useful to calculate the right amount: www.catastoinrete.it/calcolo-valore-catastale.asp?gclid=EAIaIQobChMIh6-ExrG26wIVCd-yCh3m3gEzEAAYASAAEgLBZfD_BwE
In the USA we also pay 1.03% property tax each year based on the value of the house to our local county government. Is a similar annual property tax charged in Italy?
In Italy is called IMU. If you’re a resident and that represents your dwelling, you do not pay anything. If you’re not, then a calculation is made and you pay between 0.2 to 0.5 % of the value. I will explain in more details in weeks to come through a video.
What is the tax yearlybto pay? How mucu cost property as investment kept? Dows it cost nothing? Also are there agencys who can rent out my propeety without me being in country and take care of all hassles with tentant and how much would i need oay agency or how many would i need pay tax from monthlybincome from rent?
When you talk about a first house purchase does this mean a first house purchased in Italy only or does it include a house already owned in your country of origin say Britain or Canada?
Prima Casa, in italy referees to the house you reside in, if you are not a resident this would not apply. In order to be able to apply the Prima Casa rule, you need to be a resident or become one within the Italian law timeframe, which is 18 months from purchasing
Hi, The market value in the US that the taxes are based on is much lower than what the house would sell for. They may tax you on say $16,000 and you may sell it for $60,000 is Italy the same? What do they base it on? What if you buy a one euro house? How would that work? Caio Grazie Francesca Marino
Hi Francesca, In Italy the valore catastale or cadastral value is what counts. The valore catastale varies according to the category and size of the property. Once you find a property that you’re potentially interested in, you should get this two pieces of information in order to calculate the tax. Clearly explained in the q&a The links included in the description can be helpful. Stay safe
Hi Francesca, This latest q&a maybe a little clearer th-cam.com/video/AnG-dfnTnuE/w-d-xo.html In regards to the one euro, I don’t know. I guess they have some special rates. Not my line of expertise.
I have done a video recently, you can find it, in the playlist called, Remote Purchasing, infos there will be a little more up to date Commission in italy can vary between 3/6% plus Iva (22%) Worth taking into account, minimum commission charges, between 3 to 5 K plus Iva (22%)
Hi Chris, thank you for your kind comment! Everything is negotiable, but should be agreed prior to start the search or making an offer. Happy New Year D
This is the most comprehensive reporting on fees for purchasing property in Italy thank you so much. It's good to know what other costs to factor in upfront.
BlueSuedeShoesDance thank you, I’m pleased to hear that the informations are clear and valuable. I have done many acquisitions here in Italy and other parts of the world, happy to share my knowhow.
Thank you so much Davide, very clear and important info.
Hi Vania, many thanks! I often re-listen to myself and I think, what was that about!
Very good info Davide!
Thank you Momma. Are you familiar with Salento?
Grazie mr mentoli , informazioni molto interessanti. a fine ottobre scendo giù in Sicilia a comprare una propieta. Di sicuro mi servirà il suo aiuto.
Sono a completa disposizione, sia io che la nostra squadra legale specializzata in acquisizioni 🙏
Thank you for the details. That is very helpful. How about the yearly property taxes . Is the 2% or 10% one time deal as long as you own the property?
Very interesting. Always good to know the facts first
So many people venture into buying a property abroad without consulting an expert.
Thank you so much Davide! You’re information and positive air have made beginning this process of purchasing in Salento more enjoyable and exciting :-)
Hi Timothy, I’m so pleased to hear that!!
Please don’t hesitate to reach out to us if you need any help or advise in regards to your future plans.
Thank you Davide, you explained the discussed fee processes very well>>>>>>! Is there also an agency fee or commission when sales are transacted? each buyers agent & sellers agent and agencies all get a cut as you probably know here in the us.
Hi Jojo, thanks for following the channel! When purchasing in italy the buyers pays 3% of the purchasing price or a minimum of 3k common practice all over italy.
In Canada it’s called a Land Transfer tax. It’s a percentage of the purchase price, not the value registered with the land registry. The percentage is determined by the municipality the property is situated in. Lol In Canada, it hasn’t been anywhere close to 2% in decades! Excellent video. Thank you for making this information available to us!
Please don’t hesitate to reach out to me personally if you need any additional info.
just another gov't money grab in Canada, this and property tax which is around 1.5% of the MPAC assessed value, paid annually. It is a family income killer !
Thank you for the explanation - very informative. Two questions:
1. Is this a one-time tax at purchase, or is this a periodic (yearly?) tax?
2. Does a home of a retired expat on an Elective Residents Visa (non-EU citizen) qualify as primary residence, regardless of properties owned elsewhere (e.g., USA)?
Hi there, thank you for reaching out to us with your additional questions.
1st question: this is a one-time tax that you pay at the time of purchase ‘’Imposta di registro’’.
2nd question: Yes, you do qualify. Plus, you have 18 months from the moment of purchase to register your residency.
very informative, thank you Davide
Thank you Emma, happy to answer any question you may have.
very interesting thank you for this information
My pleasure 🙏💫
Hi, i am planning to buy a villa in Puglia (Ostuni Coast) as mainly a summer residence. I am working (mainly from home) in Germany and pay my income taxes there. Is it still possible to pay the 2 % and have both residence in Italy and Germany or not? Also i would like to know, do you know how high is the annual taxation for a property? Thanks very informative video.
Excellent video! Very clearly explained. If you have dual Italian/American citizenship with a home in America, do you automatically pay the 9%?
Automatically is a big word here in Italy 😊
If you’re not a resident you would automatically pay 9% even if you have double citizenship.
You have 18 months to register your residence in Italy and benefit from a lower property tax percentage.
But don’t be put off by the big percentage number, in majority of the cases the cadastral value is extremely low in comparison to the sell price.
I would also be interested to hear more about the taxes applicable to rental income on buy-to-let properties in Italy and any other relevant information for buyers who are looking at this aspect of investing in Italian property.
Hi Emma,
I will cover this aspect very soon. I will probably do this Q&A together with a tax expert.
Coming soon!
Hi Emma, let me know if my latest Q&A answered your question.
To buy a first house in Italy without being a resident (as a foreigner living in Asia) under personal name .and pay 9% tax of cadastral value of property not selling price
To buy a first car in Italy 🇮🇹 as a foreigner.. would be best to set up a company to acquire the vehicle
Would that be correct to save most on taxes?
Thanks Davide!
I don’t really understand your question 🙏
Thanks, very informative. Can you say how would you find out what the land registry value (valore catastale) is for a particular property address?
Hi Ed, you need access to the ‘’ Scheda Catastale’’ from there you need two details in order to calculate your property tax. Categoria and Rendita, with these two pieces of information, you can simply use one of the free online portals to calculate the amount payable.
This link should be useful to calculate the right amount:
www.catastoinrete.it/calcolo-valore-catastale.asp?gclid=EAIaIQobChMIh6-ExrG26wIVCd-yCh3m3gEzEAAYASAAEgLBZfD_BwE
In the USA we also pay 1.03% property tax each year based on the value of the house to our local county government. Is a similar annual property tax charged in Italy?
In Italy is called IMU. If you’re a resident and that represents your dwelling, you do not pay anything. If you’re not, then a calculation is made and you pay between 0.2 to 0.5 % of the value. I will explain in more details in weeks to come through a video.
What is the tax yearlybto pay? How mucu cost property as investment kept? Dows it cost nothing?
Also are there agencys who can rent out my propeety without me being in country and take care of all hassles with tentant and how much would i need oay agency or how many would i need pay tax from monthlybincome from rent?
Hi Santa, difficult to answer your questions. If you would like to know mor e it would better tk arrange a consultation call
When you talk about a first house purchase does this mean a first house purchased in Italy only or does it include a house already owned in your country of origin say Britain or Canada?
Prima Casa, in italy referees to the house you reside in, if you are not a resident this would not apply.
In order to be able to apply the Prima Casa rule, you need to be a resident or become one within the Italian law timeframe, which is 18 months from purchasing
Hi,
The market value in the US that the taxes are based on is much lower than what the house would sell for. They may tax you on say $16,000 and you may sell it for $60,000 is Italy the same? What do they base it on? What if you buy a one euro house? How would that work?
Caio
Grazie
Francesca Marino
Hi Francesca, In Italy the valore catastale or cadastral value is what counts. The valore catastale varies according to the category and size of the property.
Once you find a property that you’re potentially interested in, you should get this two pieces of information in order to calculate the tax.
Clearly explained in the q&a
The links included in the description can be helpful.
Stay safe
Hi Francesca,
This latest q&a maybe a little clearer
th-cam.com/video/AnG-dfnTnuE/w-d-xo.html
In regards to the one euro, I don’t know. I guess they have some special rates. Not my line of expertise.
Very useful information how much comession reale state agency in italy.
I have done a video recently, you can find it, in the playlist called, Remote Purchasing, infos there will be a little more up to date
Commission in italy can vary between 3/6% plus Iva (22%)
Worth taking into account, minimum commission charges, between 3 to 5 K plus Iva (22%)
Are estate agent commissions negotiable? I am a realtor in the US and our commissions are negotiable. Thx. Love your videos.
Hi Chris, thank you for your kind comment!
Everything is negotiable, but should be agreed prior to start the search or making an offer.
Happy New Year
D
Mi scusi mr mengoli, ho messo il cognome sbagliato
If I paid the 2%, but never became a resident. Will I get a bill for the other 7%?
You’ll get more than a bill for the difference, better if you get some legal advice
Or 7% in areas under 20k?
Yes, the program still available
I'm in Switzerland and looking at nice summer houses in Stresa 😅 maybe I'll just rent 🤣🤣
Real estate remains a very good long term investment
Nice Panerai 👌🏻
Glad you recognize nice things PAM156
lol i thought he was in prison at first