1. Buying a Resale Property from a Private Seller
If you, as a private individual (including a foreign buyer), purchase from another private seller, the main tax is Imposta di Registro (registration tax).
The rate depends on whether the property qualifies as your prima casa (first home in Italy) or seconda casa (holiday home or investment).
If It’s Your Prima Casa
- Registration tax: 2% of the cadastral value (usually lower than market price).
- Mortgage and cadastral fees: €50 each.
To qualify for the “prima casa” benefit:
- You must register your residenza in the same municipality within 18 months after purchase.
- You cannot own another prima casa in Italy. If you do, you must sell it within 18 months.
- Non-EU citizens need a valid Italian residence permit (permesso di soggiorno) to register residence. Our immigration lawyer can help you get it, if needed.
- EU citizens can register directly without needing a residence permit.
- The property cannot belong to luxury categories (A1, A8, A9).
If It’s Your Seconda Casa
- Registration tax: 9% of the cadastral value.
- Mortgage and cadastral fees: €50 each.
This option applies to most foreign buyers who do not plan to live in Italy full-time.
2. Buying from a Developer or Company (New-Build Properties)
If the seller is a company or developer, the main tax is IVA (VAT) instead of Imposta di Registro.
For Prima Casa
- VAT rate: 4% of the contract price.
- Mortgage and cadastral fees: €200 each.
For Seconda Casa
- VAT rate: 10% (standard housing) or 22% (luxury category).
- Additional utilities connection costs: typically €4,000–5,000 per property.
If the property is more than five years old, the tax regime may vary:
- In most cases, VAT still applies (4%, 10%, or 22%).
- Sometimes, the registration tax scheme (2% or 9%) can apply instead — depending on whether the developer rents or elects VAT for the sale.
Each case must be checked individually with the notary.
3. Example Calculation
You buy a resale property in Italy from a private seller:
- Purchase price: €200,000
- Cadastral value: €100,000
If it’s your second home:
- 9% × €100,000 = €9,000, plus €100 in fixed fees.
If it’s your first home (prima casa):
- 2% × €100,000 = €2,000, plus €100 in fixed fees.
(available only if you have residency or are an EU citizen who can register locally)
4. Key Considerations for Foreign Buyers
- The prima casa benefit is meaningful only for those who plan to live in Italy or obtain residency.
- If you fail to meet the residence conditions within 18 months, the tax benefit is cancelled — and you’ll need to pay the difference up to the seconda casa rate, plus penalties.
- A cadastral reform is expected in 2026, which may increase the taxable base.
- Apart from residence and documentation, the purchase process for foreigners is identical to that for Italian citizens.
5. Notary and Agent Fees
A notary (notaio) is mandatory for property transfers in Italy.
- Fees usually range from 1%–2% of the purchase price, depending on region and deal complexity.
- For buyers who don’t speak Italian, the presence of a sworn translator is required (average cost €700–1,300).
If you prefer, the transaction can also be completed by power of attorney, without your physical presence — learn more here.
6. Real Estate Agency Fees
Our standard service fee is 4% (minimum €5,000) for full buyer representation, covering every step of the process — and often even post-closing support.Fees may vary depending on your budget and the complexity of your case.
Buying property in Italy as a foreigner is perfectly achievable — but understanding taxes from the start helps you make informed decisions, save money, and stay compliant with Italian law.
If you’d like personalized guidance or want to estimate your tax scenario before buying, get in touch. Start your Italian property journey with expert help today.
© ITALTY — Your Italian Realty
We write about buying real estate in Italy with maximum benefit for you, without risks and stress.
The information contained in this guide is general in nature and does not replace the advice of a qualified professional ( notary, accountant, lawyer, etc.).