Process for buying real estate in Liguria

Buying a holiday home or holiday apartment abroad can sometimes be complex - after all, real estate contracts in Italy are subject to Italian law. Without knowledge of the market, the legal situation, the national language and the usual processes, nasty surprises are almost inevitable. In the following we explain what you need to know about the process of buying a property in Liguria.

Step by step - real estate purchase process
Additional costs when buying a house in Liguria
Why do you need a real estate agent?
Financing the property in Liguria
Checklist property purchase Liguria
This is how the notary appointment works

This is how buying a property in Liguria works at casariviera

By making an appointment in advance, you can view one or more properties with the broker.

Once you have found a property that meets your requirements, we will clarify basic financial questions. This includes, for example, whether you would like financing.

If financing is an option for you, a reservation is necessary. This usually corresponds to about 1 percent of the purchase price. So we can take the object off the market. If financing is out of the question for you, you need to submit a written purchase offer to the seller including a down payment of around 2 percent of the purchase price.
This deposit confirms the prospect's intention to purchase the property and prevents the seller from entering into further negotiations with a second party. By signing this document, both parties undertake to sign a preliminary contract or contract of sale ("contratto preliminare or contratto notarile").

In the next step, you conclude a preliminary contract with the seller, the so-called contratto preliminare - usually with the notary. The preliminary contract is a private or notarial document and represents a contractual obligation between seller and buyer and is registered in the land register and real estate register.

When signing the preliminary contract, you usually pay 20% - 30% of the purchase price in the form of a bank-certified check or a bank transfer. The seller guarantees in the preliminary contract that the property is free of financial and legal obligations. The preliminary contract does not necessarily have to be signed by a notary, although we always recommend using a notary. The notary verifies that the property is not encumbered with any loans, liens, etc. and also that it is actually the property for sale. The property is also checked for all necessary building permits.

The down payment is to be considered as security for the compliance of the contract of both parties. If you refrain from your intention to buy, the seller has the right to keep your deposit as a penalty. If the seller wishes to withdraw from his intention to sell, he must reimburse the buyer again for the same amount in addition to the down payment.

From January 1, 2007, each preliminary contract must be registered with the tax office within 20 days. The costs are around €180 plus around €50-80 for revenue stamps.
The broker has fulfilled his task as soon as the preliminary contract is signed. The broker's commission is due when the preliminary contract is signed.

Within 2-4 months after signing the preliminary contract, the final contract is usually signed between buyer and seller. A notary will be consulted for this purpose. Upon signing the final contract, ownership is officially transferred to the buyer and the remaining purchase price is paid. The notary fees are paid, the real estate transfer tax and the registration fee. This contract will be deposited with the residents' registration office.

As a buyer, you should of course be informed about the costs associated with buying a house. When the notarial contract is concluded, the entire purchase price – minus the down payment already made – is due immediately. With the signing of the contract by both contracting parties and payment, the direct acquisition of ownership takes place, in contrast to Germany. In addition to the purchase price that you as the buyer have to pay to the seller, there are also "additional costs".

Additional costs when buying a house in Liguria

Notary costs about 1-2% of the purchase price
Costs for the sworn translator (if necessary - approx. EUR 1.000)
Real estate transfer tax on buildings (purchase as a second home):
when buying from a private individual: 9% of the cadastral value plus administrative costs and fees
when buying from a company: 10% on the agreed purchase price

Real estate transfer tax on buildings (purchase as primary residence):
when buying from a private person: 2% of the cadastral value plus administrative costs and fees
when buying from a company: 4% on the agreed purchase price

Real estate transfer tax on agricultural land: 15% on the declared value
Commission of the real estate agent in Italy (already upon conclusion of the preliminary contract): 3% plus 22% VAT.

The cadastral value is calculated from the cadastral income. You can find this in the extract from the register. The cadastral value of a property is usually significantly lower than the market value. Approximately 4 weeks after signing the notary contract, the new owner can apply for/pick up a certified copy of the notary contract from the notary.
The above information is not legal advice. No liability can be assumed for their correctness.

Why you should hire a real estate agent when buying a property in Liguria

A broker must not only have an Italian license, but also be able to give a guarantee for the object of purchase. This means that a reputable broker, with the support of a geometer and a notary, checked whether all building regulations on the property were complied with and verified that there are no third-party charges and open tax debts. Bad surprises such as building sins, rights of way, rights of use and conversions of magazines that have been converted into living space but have never been entered in the cadastre can be avoided by hiring a reputable broker.

A real estate internet portal cannot provide you with such guarantees. And in the case of a private seller or broker, it cannot be ruled out that he will withhold such details from you and that the basic overwriting will not occur.

Why you should hire an agency for financing

If you want to use finance to buy your property in Liguria, an agency like casariviera can help you save hard cash. Such agencies are professionals who use their expertise and experience to negotiate optimal conditions for you at the local banks. These include, for example, interest, duration or a variable repayment. In the end, you will have offers from several banks and you can decide on the optimal solution for you.
More about financing

Buying property in Liguria checklist: This is what you need from the notary

Valid identification paper: identity card, passport
Tax identification number
for financing: Land charge form from the financing bank

Buying property in Liguria: the expiry of the notary appointment

First of all, both parties receive a copy of the sales contract. The notary verifies the identity papers of the buyer and seller and checks their documents. On the seller's side, the documents of the creditors to be replaced, on the buyer's side, if necessary, the documents on financing. Then, if any, open questions from both parties are clarified and potential final discrepancies such as the amount of the purchase price or material defects in the property are resolved.

If one or both parties have questions about the draft of the sales contract or want to discuss possible changes, this will also be done before the notarization. This appointment is there to answer questions or to clear up possible ambiguities - at best, of course, to the satisfaction of all those involved. However, if serious problems arise between the buyer and the seller, which could jeopardize the notarization, these discrepancies should in any case be resolved or an agreement should be found before reading the deed.

The notary then reads out the sales contract. If there are requests for changes, these will be handwritten on the original document. Even years after the conclusion of the purchase contract, there is the possibility of inspection of files in the event of any legal disputes. Following the notary appointment, the buyer and seller will receive a possibly revised version of the purchase contract.