Buying Property in Italy as a Foreigner: The BARNES Guide

Italy is one of the world’s most attractive destinations for property investment. Its legal framework is open to foreign buyers, its tax incentives are among the most competitive in Europe, and the quality of life it offers is second to none. However, purchasing property in Milan, Florence or Rome requires an understanding of a specific process. BARNES guides you through it step by step.

Who Can Buy?

Citizens of the European Union may purchase property in Italy without restriction. Non-EU citizens generally benefit from the principle of reciprocity, which must be verified on a nationality-by-nationality basis. In the vast majority of cases, purchasing property is possible and the process is clearly structured.

The Main Stages

The process begins with the purchase offer, a contractual document signed by the buyer and accompanied by a deposit of 1–3% of the purchase price.

This is followed by the preliminary agreement, or compromesso, which formally binds both parties and usually requires a deposit of 10–30%.

Finally, the deed of sale, or rogito notarile, is signed before a notary and officially transfers ownership of the property.

Costs to Consider

A non-resident purchasing a second home should budget for registration tax equal to 9% of the cadastral value, a mortgage registration tax of €50, a cadastral tax of €50, notary fees amounting to approximately 1–2% of the purchase price, and estate agency fees.

The Tax Regime for New Residents

For several years, Italy has offered a highly attractive flat-tax regime for new tax residents. By paying a fixed annual tax of €100,000 on foreign income, high-net-worth individuals who transfer their tax residence to Italy benefit from a full exemption on foreign-source income for up to 15 years.

This regime partly explains the growing number of international buyers choosing Milan.

The BARNES Approach

BARNES Milan coordinates the entire purchasing process for its international clients, from property selection and introductions to trusted lawyers and notaries to tax advice and administrative support.

Our network of more than 150 offices worldwide ensures continuity of service, wherever you are.

For an initial consultation, contact the BARNES Milan team.