ITALY - What should you consider before buying property in Italy?
There's a lot to work out when you start thinking about buying in Italy, so it's worth sitting down and working out the smaller details, as well as big picture topics like where you will live and what type of property you should buy.
Things to consider
To kick things off, there are five key questions that are worth asking yourself as they will help you to direct your property search.
Putting your thoughts into words can help crystallise what you want out of your move, so think about your motivation for buying in Italy. Is it enjoying better weather? Somewhere to have the family for holidays? A sound rental investment? Perhaps you want to ditch the 9-5 life and open a guest house? Or, maybe you just don't want to regret not having tried moving abroad later in life?
Think about what you want and need from your home as it could impact where and what type of property you opt for in Italy. Do you want to be able to pop over on the weekends? If so, you'll want a nearby airport. Would you like somewhere for investment, then holidays and eventually retirement? You'll need somewhere that's easy to maintain and in an area with strong yields. Should you like the idea of staying a while yourself then letting out your property, you will need a region that has appeal for tourists. On the other hand, if you're relocating for a new life, you don't need to be pushed into 'investment' areas – try unspoilt gems like Le Marche or Basilicata.
What are your absolute must-haves? Think about what features or practicalities your new Italian home absolutely needs to meet your needs, as this will immediately help you narrow down your property search — they'll also help your estate agent.
For instance:
- How many bedrooms or bathrooms do you need?
- Would you rather a local beach or a pool? Or both?
- What about the style – traditional or bright and modern?
- Do you need outdoor space, like a terrace or garden?
It can be quite liberating to write up what you don't want! Similar to the "must haves", listing the no-noes for any potential property an help you to avoid wasted time in research and viewings. Again, they'll help out any estate agent a whole lot, too.
Think about things like:
- Do you not want to deal with the maintenance of a garden?
- Are you not interested in being in a busy tourist resort?
- Do you want to live somewhere without an expat community nearby?
- Can you live somewhere remote with no public transport links?
You can't plan without knowing how much you can afford. Right from the off, make sure you have a realistic idea of your budget. Doing so will ensure you do not begin searching for a property in Italy, find one you love, then realise you can't actually afford it at a crucial later stage.
Additionally, remember that you won't get the interbank rate you see on the news, but a percentage point above or below that, so you need to make room for adjustments in your budget. You can also usually knock a little off any property price by knowing the market — read our Italy finance guides and Smart's Property Buyer's Guide to Currency for more insight.
Getting your codice fiscale and opening a bank account
If you are planning to purchase a property in Italy or want to open an Italian bank account, you will need a codice fiscale. The codice fiscale is a number issued by the Agenzia della Entrate (the Italian Revenue Agency) of the Ministry of Economy and Finance of Italy. You will need to fill in a form and show your passport to complete the application.
You may need an Italian bank account to transfer money for your property purchase, as the notary may insist on a banker's draft from an Italian bank — read our guidance on opening a bank account in Italy to get this underway.
https://www.propertyguides.com/italy/buying/