In Italy Property Is Favourite For Foreign Investment
- By Dominic Donaldson
- Published 06/15/2009
- Buying
- Unrated
In Italy property is highly regarded and as such the country boasts some of the most beautiful buildings in scenic settings. Italian properties are highly desirable to foreign investors but the purchase system is more complicated than in the UK. In fact, the majority of properties in Italy are long term rentals. This is a brief guide to finding an Italian property avoiding legal pitfalls.
It is common in Europe for properties to be let on a long term lease. In some places this means that a property can be rented for a lifetime. During this time it is common for tenants to sub let for a time and return to the property at a later date. In Italy property is very rarely acquired through a mortgage as rental agreements are so favourable. However, should you wish to purchase a property, there are a number of steps that must be taken to ensure that a legally binding contract is obtained.
It is increasingly difficult to build new properties in Italy; instead existing buildings are modified and renovated. This is to preserve the famously stunning surroundings of the Italian countryside. To purchase a property it is possible to either go through a real estate agent who will work on your behalf, or to approach an owner who will have an agent that all arrangements must
be made through.
The initial phase upon finding a suitable property is to make an irrevocable purchase offer. This is a formal offer on a property and usually requires a deposit to be paid. If the buyer decides that he or she wishes to withdraw the offer, the deposit is usually lost as the owner is obliged to consider the property as being off the market. On the other hand, if the offer and deposit is not accepted within an agreed period, the buyer will be fully reimbursed.
The preliminary agreement is a contract that commits both parties to the sale. This part of the buying process includes the handing over of legal documents regarding the physical state of the building and any guarantees that are being made by the owner. Another payment will be required at this point, which would also be non refundable should the buyer withdraw purchase offer.
Finally, the handover of ownership will be legally finalised. It is usually required that all payments to have been made by this point, or for due payments to be finalised. This contract is official notification of legal ownership and evidence of ownership being transferred. In Italy property purchase can be a complicated business, with extra costs for certain services. It is recommended that anyone interested in Italian property investment consult a qualified property consultant for more information.
It is common in Europe for properties to be let on a long term lease. In some places this means that a property can be rented for a lifetime. During this time it is common for tenants to sub let for a time and return to the property at a later date. In Italy property is very rarely acquired through a mortgage as rental agreements are so favourable. However, should you wish to purchase a property, there are a number of steps that must be taken to ensure that a legally binding contract is obtained.
It is increasingly difficult to build new properties in Italy; instead existing buildings are modified and renovated. This is to preserve the famously stunning surroundings of the Italian countryside. To purchase a property it is possible to either go through a real estate agent who will work on your behalf, or to approach an owner who will have an agent that all arrangements must
The initial phase upon finding a suitable property is to make an irrevocable purchase offer. This is a formal offer on a property and usually requires a deposit to be paid. If the buyer decides that he or she wishes to withdraw the offer, the deposit is usually lost as the owner is obliged to consider the property as being off the market. On the other hand, if the offer and deposit is not accepted within an agreed period, the buyer will be fully reimbursed.
The preliminary agreement is a contract that commits both parties to the sale. This part of the buying process includes the handing over of legal documents regarding the physical state of the building and any guarantees that are being made by the owner. Another payment will be required at this point, which would also be non refundable should the buyer withdraw purchase offer.
Finally, the handover of ownership will be legally finalised. It is usually required that all payments to have been made by this point, or for due payments to be finalised. This contract is official notification of legal ownership and evidence of ownership being transferred. In Italy property purchase can be a complicated business, with extra costs for certain services. It is recommended that anyone interested in Italian property investment consult a qualified property consultant for more information.
Dominic Donaldson
Dom Donaldson is a property expert. Find out more about Italy Property markets and how to purchase a home abroad at Real Italia.
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