Renting & Buying a Home in Italy

❓ 1. General information

📌 Renting (affitto / locazione) — an official contract between the landlord and the tenant for temporary use of a dwelling for a fee.

📌 Purchase (acquisto) — acquisition of property ownership through a notarial deed (rogito notarile) with registration in the land registry (catasto).

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2. Legal framework

• Codice Civile (Arts. 1571–1614) — rental.
• Legge 431/1998 — regulates rental contracts (4+4, 3+2, transitorio).
• D.Lgs. 23/2011 — the “cedolare secca” regime.
• Codice Civile (Arts. 1470–1500) + Legge 47/1985 — property purchase.
• T.U. Immigrazione (D.Lgs. 286/1998, art. 7) — dichiarazione di ospitalità (for living without a contract).

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🔍 3. Where to look for housing in Italy

🖥 Online platforms:

• immobiliare.it, idealista.it, casa.it, subito.it — the most popular.
• Bakeca.it, Facebook Marketplace, Telegram groups — many cheaper private listings.

📍 Offline:

• notices in bars, universities, bus stops;
• agenzie immobiliari (real estate agencies);
• churches, charities, comune.

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📄 4. Types of rental contracts in Italy

The legal basis is Legge 431/1998, which clearly defines rental formats. The choice of contract type affects:

• length of stay,
• the possibility to obtain residenza and documents (permesso, school),
• rent amount,
• the landlord’s tax regime.

🏠 A. Contratto 4+4 (canone libero)

Key features:

• Term: 4 years + automatic renewal for another 4 (unless either party objects).
• Price: freely set between the parties (market rate).
• Use: suitable for residenza, school registration, applying for permesso di soggiorno, tessera sanitaria.

Early termination by the tenant:

• Allowed in the presence of gravi motivi (serious reasons: job loss, relocation, illness).
• Written notice required 6 months in advance (raccomandata A/R or PEC).

Pros:

• Maximum stability for the tenant.
• Used to legalize residence (residenza).

Cons:

• Usually more expensive than 3+2.
• Long term: not always ideal if you plan a shorter stay.

🏠 B. Contratto 3+2 (canone concordato)

Key features:

• Term: 3 years + automatic renewal for 2.
• Price: set according to municipal schedules (accordi territoriali) negotiated between tenants’ unions and owners’ associations.
• The rate is usually 20–30% lower than the market.

Tax benefits:

• For the landlord: lower IRPEF, IMU, sometimes a flat cedolare secca rate (10%).
• For the tenant: lower rent, stability.

Pros:

• Win-win: tenant pays less; owner pays lower taxes.
• Accepted by all authorities for residenza and documentation.

Cons:

• Not available everywhere (check whether there is an accordo territoriale in your comune).
• Some owners refuse 3+2 due to the lower price (negotiation may be needed).

🏠 C. Contratto transitorio (temporary)

Key features:

• Term: from 1 to 18 months.
• Used for temporary situations: short-term work, internships, study, relocation.
• Justification is mandatory (e.g., copia contratto di lavoro a termine).

Pros:

• Legal rental even for a short term.
• Convenient for students, seasonal workers, interns.

Cons:

• Cannot be renewed automatically.
• Not suitable for residenza (the comune often refuses due to the temporary nature).
• The price may even be higher due to the short term.

🏠 Cedolare secca (landlord’s tax regime)

This is not a separate contract but a tax regime the owner can apply.

Key features:

• Rate: 21% (standard contracts) or 10% (often with canone concordato 3+2, depending on the region).
• The landlord pays taxes at a flat rate, without IRPEF.
• While cedolare secca is in force:
  • ❌ rent cannot be increased (ISTAT),
  • ❌ the tenant cannot be charged additional tax costs.

Pros for the tenant:

• Protection: the price does not increase during the contract term.
• Transparent payments.

Cons:

• The owner may opt out of this regime upon renewal.
• Not automatic: the landlord decides.

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📑 5. Documents for renting housing in Italy

To sign a contratto di locazione, the tenant must provide the owner or the agency with a set of documents. While formal requirements vary, in most Italian cities you will be asked for:

1. Identity document
   • Passport
   • Carta d’identità (if already available).
     
2. Codice Fiscale
   Mandatory for any contract.
   • Without Codice Fiscale the contract cannot be registered with Agenzia delle Entrate.
   • It is used for all official documents (payments, taxes, cauzione, utilities).
     👉 Therefore, even if you do not yet have a permesso di soggiorno, obtain Codice Fiscale before searching for housing.

3. Permesso di soggiorno
   • Not always required (depends on the owner).
   • In large cities (Rome, Milan, Bologna), landlords or agencies almost always request the permesso di soggiorno or at least the ricevuta postale (submission receipt).
   • In smaller cities and private rentals, sometimes a passport and codice fiscale suffice.
     
4. Proof of sufficient income (prova di reddito)
   Owners want to be sure you can pay the rent. Commonly requested:
   • Busta paga (pay slip),
   • Contratto di lavoro (employment contract, even fixed-term),
   • INPS certification (e.g., social benefits or pension confirmation),
   • For students — university certificate + parental financial guarantee,
   • For freelancers — Partita IVA + ultima dichiarazione dei redditi.
     
5. Contact details
   • Phone number, email.
   • Sometimes a domicilio address (even temporary).

6. Cauzione (security deposit)
   • Standard: 1–3 months’ rent.
   • Held by the owner until the contract ends.
   • Returned after apartment inspection (repair costs may be deducted).
     
7. Other possible requirements
   • Codice IBAN (to set up automatic rent payments — RID/SDD),
   • Guarantor (especially in Milan, Rome, Florence): another person with official income in Italy who undertakes to pay in case of arrears,
   • Fideiussione bancaria (bank guarantee): common for expensive rentals or when the tenant lacks steady income.

8. Registration of the contract
   The law requires the rental contract to be registered with Agenzia delle Entrate within 30 days from signing.
   • Registration is usually done by the landlord (can also be via CAF/accountant).
   • Cost: 2% of annual rent (split 50/50 between the parties) unless the cedolare secca regime is chosen.
   • After registration, the tenant receives a copy stamped by Agenzia delle Entrate — necessary for residenza, iscrizione scolastica, permesso di soggiorno.

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🧾 6. How to buy property in Italy

1) Who can buy property

• EU citizens — no restrictions.
• Non-EU citizens (extra-UE) — subject to the principle of reciprocity.
• Holders of permesso di soggiorno UE per soggiornanti di lungo periodo (former “carta di soggiorno”) — like EU residents, no restrictions.
• Other types of permesso (work, family, study, temporary protection, etc.) do not prohibit purchase; the difficulty is usually in getting a mortgage (banks often require stable income in Italy).
  

What is the “principle of reciprocity” (condizione di reciprocità)

In Italy, a foreigner can exercise certain civil rights (including buying real estate) if Italian citizens have the same right in the foreigner’s country. In other words: “you can here if ours can in your country.” This stems from Art. 16 of the preliminary provisions to the Civil Code and notarial practice.

Important exceptions/clarifications from the Italian MFA (MAECI):

• EU/EEA citizens — buy without reciprocity.
• Non-EU but legally residing in Italy with carta di soggiorno or a valid permesso (work, self-employment, family, humanitarian, study) — admitted to civil rights; in practice reciprocity is not an obstacle to purchase.

If you do not reside in Italy (non resident) and you are from a non-EU country — reciprocity is checked for your country in the MAECI database.

How to check reciprocity for your country (quick guide)

1. Open the MAECI page → “Condizioni di reciprocità” → Elenco Paesi.
2. Find your country; it states whether its citizens can buy real estate in Italy (sometimes with limits such as agricultural land, border/coastal areas, etc.).
3. If needed, the notary will perform an official check (standard due diligence before the rogito).

2) Stages of a sale-purchase transaction

Step 1. Preliminary property checks (due diligence) — do this before any deposits:

• Ownership and origin (atto di provenienza) — how the seller acquired the property (purchase, inheritance, donation).
• Visura catastale and planimetria catastale — land registry extract and plan.
• Conformità urbanistica/edilizia — compliance of the actual state with prior permits (permesso di costruire, DIA/SCIA, condono).
• Agibilità/abitabilità (habitability; not always mandatory, but desirable).
• Mortgages/liens/easements — checked by the notary; if there is a bank mortgage on the seller, agree on payoff/cancellation on rogito day.
• Condominium status — ask for liberatoria confirming no arrears, minutes of meetings, major planned works (facades, lift, etc.).
• APE (Attestato di Prestazione Energetica) — energy certificate (mandatory).
• Tenants/rental contract — if rented, check terms and duration.
• Utility/tax arrears (IMU, TARI) — ensure none outstanding.

Step 2. Offer to purchase (proposta d’acquisto)

• Written offer with price, validity term, and conditions; often accompanied by a small deposit (assegno/bonifico).
• If the seller signs, both are obliged to move to the preliminare (compromesso).

Step 3. Preliminary agreement (compromesso / preliminare di vendita)

• Fixes the price, payment schedule, rogito date, delivery conditions, list of furniture/appliances (if any), and conditions precedent (condizioni sospensive), e.g., mortgage approval, removal of abuses.
• Caparra confirmatoria (deposit) usually 10–20% — protects the parties: the breaching party loses the deposit (or returns double).
• Register the preliminare with Agenzia delle Entrate within 20 days (usually via agency/notary):
  • fixed fee €200;
  • 0.5% on the caparra;
  • 3% on acconti prezzo if not subject to VAT (when the seller is a private individual).
• Keep receipts for all payments.

Step 4. Mortgage (mutuo), if needed

• Documents: income (busta paga/tax return), credit history, permesso, codice fiscale, property file.
• Costs:
  • bank fee (istruttoria) ~ €700–1,500+;
  • appraisal (perizia) ~ €250–400;
  • imposta sostitutiva: 0.25% (if “prima casa”) or 2% (otherwise).
• LTV often limited to 70–80%; for non-EU without long-term income, stricter terms.
• The bank provides Piano di ammortamento and rate type: fisso, variabile, or misto.

Step 5. Notarial deed (rogito notarile)

• The notary is a neutral party who checks title and legal soundness; the buyer usually chooses the notary.
• Payment often via assegni circolari (bank drafts) or notary escrow (conto dedicato).
• At the rogito the seller hands over keys (unless agreed otherwise); the buyer becomes owner upon signing.
• The notary registers and records (trascrizione) in the Registry (Conservatoria) within ~20 days.

3) Taxes and costs when buying

Option A: Buying from a private seller

• Prima casa (concessionary “first home”): imposta di registro 2% of the cadastral value (valore catastale, “prezzo-valore”), plus €50 mortgage + €50 cadastral fees.
• Not prima casa: imposta di registro 9% (minimum €1,000), + €50 + €50.

Option B: Buying from a company/developer

• If the sale is with VAT (often new builds, or within 5 years of construction):
  • IVA: 4% (prima casa), 10% (standard), 22% (A/1, A/8, A/9 — “luxury”),
  • fixed registration fees: €200 (registro) + €200 (ipotecaria) + €200 (catastale).
• If the sale is without VAT (rarer) — same as private.

Other costs

• Notary: ~ €1,500–4,000+ (depends on price, documents, mortgage, city).
• Agency: 2–3% + IVA (paid by buyer/by agreement).
• Translator/interpreter (if needed): €100–300+.
• Home/mortgage insurance — per bank conditions.

4) “Prima casa” tax regime

🏡 “Prima Casa” tax benefits in Italy
Regulated by Nota II-bis all’art. 1 Tariffa, Parte I, DPR 131/1986 (Testo Unico Registro) and clarified by numerous Agenzia delle Entrate circulars.

Eligibility (all 4 key conditions):

1. Property category
   • Must not be luxury (abitazioni di lusso):
     • A/1, A/8, A/9.
   • ✅ All other residential categories allowed (A/2, A/3, A/4, A/5, A/6, A/7, A/11).
2. Residenza
   • At purchase: the property is located in the comune where the buyer has residenza;
   • If not yet: the buyer undertakes to transfer residenza to that comune within 18 months from rogito (declared in the notarial deed).
   • Special simplifications for certain public employees (military, police, transferred civil servants).
     
     
3. No other “suitable” home in the same comune
   • You cannot own another habitable residential property in that comune (i.e., not a ruin or a storage).
   • Allowed: garage (C/6), cellar (C/2), storage (C/3), etc.
4. No prior purchase with “prima casa” benefits
   • You must not own another dwelling purchased with prima casa anywhere in Italy.
   • Exception: if you sell the previous prima casa before or within 1 year after buying the new one, you can use the benefit again.

What benefits does “Prima casa” provide

A. Buying from a private seller

• Imposta di registro: 2% (instead of 9%), min €1,000.
• Imposta ipotecaria: €50 (fixed).
• Imposta catastale: €50 (fixed).
• Tax base: cadastral value (rendita catastale × coefficient), usually below market price.

B. Buying from a developer (with VAT)

• IVA: 4% (instead of 10% or 22%).
• Imposta di registro: €200 (fixed).
• Imposta ipotecaria: €200 (fixed).
• Imposta catastale: €200 (fixed).

C. Mortgage tax (mutuo)

• Imposta sostitutiva sul mutuo: 0.25% (instead of 2%).

Loss of benefits and sanctions — you lose the benefit if:

1. You do not transfer residenza to the property’s comune within 18 months.
2. It turns out you had another habitable home in that comune.
3. You owned another prima casa and did not sell it in time.
4. You sell within 5 years and do not buy another prima casa within 1 year.

Consequences:

• You must pay the difference up to the standard rate (9% or 10–22% with IVA),
  • penalty: 30% of unpaid tax,
  • legal interest (interessi legali).

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5) Particularities when buying from a developer

• All advance payments before rogito must be backed by fideiussione bancaria/assicurativa (bank/insurance guarantee in case of insolvency) — D.Lgs. 122/2005.
• After completion — polizza decennale postuma (10-year insurance against structural defects).
• Contract should state detrazione IVA and the commissioning timeline.

6) After purchase: what to do

• Voltura utenze — transfer electricity/gas/water/internet.
• Inform the amministratore condominio (to receive notices/bills).
• Register residenza (if prima casa) in ANPR/Comune within 18 months.
• Notify Agenzia delle Entrate/Comune for TARI (waste) and IMU (if second home).
• Keep all assegni/bonifici, copies of deeds, APE, plan, guarantees.

7) Taxes after purchase and on sale

• IMU:
  • not due on prima casa (except A/1, A/8, A/9);
  • due on second homes at the comune rate.
• TARI: due for all property users.
• Capital gains tax (plusvalenza):
  • on sale within 5 years — 26%, unless it was your main residence for most of the time;
  • you can opt for imposta sostitutiva 26% directly in the notarial deed.

8) Typical risks and how to avoid them

• Plan mismatch (planimetria ≠ actual state) → seller must guarantee conformità; otherwise demand rectification before rogito or a price reduction + a clause.
• Mortgage/lien → notary arranges contestuale cancellazione (same-day cancellation).
• Condominium debts → demand liberatoria from the administrator.
• “Black” deposits without a contract → pay only with written confirmation and registration.
• Unreliable intermediaries → work with registered agencies (REA number/Camera di Commercio registration).

9) Minimal document set for the buyer

• Passport/ID + codice fiscale.
• If needed — translator at rogito.
• Family status data (to define property regime: comunione/separazione).
• For mortgage — income/tax returns/contracts, permesso.

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💶 7. Mortgage (mutuo) for migrants in Italy

Who can get a mutuo (generally) — Italian banks (Intesa Sanpaolo, UniCredit, Banco BPM, BNL, BPER, etc.) do not formally discriminate against foreigners, but require:

1. Permesso di soggiorno
   • Usually a long-term one (UE per soggiornanti di lungo periodo) or a permesso lasting longer than the mutuo term.
   • With a temporary permesso (e.g., protezione temporanea, seasonal work), a mutuo is almost impossible.
2. Stable income
   • Contratto a tempo indeterminato (open-ended employment) — best case.
   • Contratto a tempo determinato — possible, but you must show a long track record and regularity.
   • Partita IVA — accepted if there are at least 2–3 years of income history (dichiarazione redditi).
3. Tax residence in Italy
   • You must be a fiscal resident (have codice fiscale, file dichiarazione dei redditi, pay taxes in Italy).

Typical documents requested by the bank

For the borrower

• Passport + codice fiscale.
• Permesso di soggiorno (valid, ideally long-term).
• Certificato di residenza (if already available).
• Busta paga (last 2–3), CUD or contratto di lavoro.
• For self-employed (Partita IVA): dichiarazione redditi (Modello Redditi PF or 730) for last 2–3 years.

For the property

• Visura catastale.
• Planimetria catastale.
• Atto di provenienza (how the seller acquired it).
• APE (energy certificate).
• Liberatoria condominiale (no condominium debt).
• For developer purchases — garanzia fideiussoria and polizza decennale postuma.

Mortgage conditions

• Loan amount: usually up to 70–80% of property value (LTV). For migrants, banks sometimes cap at 60–70%.
• Term: 10–30 years (20–25 standard).
• Rate type: tasso fisso, variabile, misto.
• Borrower’s age: mutuo typically ends by age 75.
• Monthly payment: not more than 30–35% of your net income.

Additional mutuo costs

1. Spese di istruttoria: €500–1,500.
2. Perizia: €250–400.
3. Imposta sostitutiva:
   • 0.25% of the loan (if prima casa),
   • 2% (if not).
4. Mandatory insurance (fire/catastrophes) — one-off or annual.
5. Optional insurances (life, unemployment) — often pushed, but not mandatory.

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📎 8. Useful links

• Agenzia delle Entrate (оренда, податки): https://www.agenziaentrate.gov.it
• Ministero dell’Economia e delle Finanze: https://www.mef.gov.it
• Banca d’Italia (іпотека, mutui): https://www.bancaditalia.it
• Immobiliare.it (пошук житла): https://www.immobiliare.it
• Idealista: https://www.idealista.it
• Tecnocasa: https://www.tecnocasa.it

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Frequently Asked Questions (FAQ)

1. Can a foreigner without Italian citizenship buy a home?
   Yes. EU citizens — without restrictions. For extra-UE, the condizione di reciprocità applies. If you legally live in Italy with a permesso, there are practically no obstacles.

2. Is a permesso di soggiorno mandatory to buy?
   For registering ownership — no, a passport and codice fiscale suffice. But for a mutuo (mortgage), banks usually require a valid permesso.

3. What is “prima casa” and what benefits does it provide?
   A concessionary regime for first homes: taxes are reduced (registro 2% or IVA 4%, instead of 9–22%). Conditions: residenza in the property’s comune within 18 months, no other suitable property in that comune, and no previous prima casa.

4. Can I buy without residenza in Italy?
   Yes, but it will be a seconda casa → higher taxes (registro 9% or IVA 10–22%), and you will pay IMU annually.

5. What are the stages of purchase?
   • Proposta d’acquisto (offer).
   • Preliminare/compromesso (contract with 10–20% deposit).
   • Mutuo (if needed).
   • Rogito notarile (signing with the notary, key handover).
   • Registration of the deed at Agenzia delle Entrate and Catasto.

6. What taxes does the buyer pay?
   • Privato → privato: registro 2% (prima casa) or 9% (seconda), + €50 + €50.
   • Developer (con IVA): IVA 4% / 10% / 22%, + €200 each.
   • Plus notary, agency, other costs.

7. Can a migrant get a mutuo?
   Yes, if there is stable income (indeterminato contract or Partita IVA with history), permesso, and tax residence. Banks finance 60–80% of value.

8. Is a translator required?
   Yes, if you do not sufficiently speak Italian. At the rogito the notary may require a sworn translator for legal correctness.

9. What are the most common risks when buying?
   • Planimetria not matching reality,
   • mortgages/liens,
   • condominium debts,
   • “black” deposits without a registered preliminare.
     Solution: always conduct due diligence via a notary.

10. What to do after purchase?

• Voltura utenze (electricity, gas, water, internet),
• inform amministratore condominio,
• register residenza (for prima casa),
• file TARI with the comune,
• pay IMU (if a second home),
• arrange home insurance.