The following excerpt appears in the September/October issue of Dot Property Magazine
Singaporean investors do not need to worry about restrictions or stamp duty taxes when buying Italian real estate. The process can beÂ complicated though, especially if you do not speak Italian or understand the legal requirements.
âThe purchase process in Italy can be challenging for an international buyer if they donât know the language and the bureaucratic procedures. The first and most important step in the process is to find a trustworthy, licensed real estate agent who will lead the buyer through the entire process,â Carolyn Delli Santi, a bilingual real estate broker atÂ Rome-based Nexu Real Estate,Â notes.
She continues, âIt is important that the buyerâs agent and, if necessary, a building technician do a thorough check of all of the documents pertaining to the building, title and cadastral documents. Many properties have decades oldÂ unpermittedÂ construction, inheritance and title issues that must be resolved by the seller before the property can be sold.â
Before proceeding with a real estate purchase in Italy, a buyer will need to obtain a fiscal code (Codice Fiscale) and open an Italian bank account. A decision also needs to be made on if the property will be used as a primary residence or notÂ sinceÂ this fact determines taxes.
âIf the international buyer chooses to purchase the property as their primary residence (primaÂ casa) and requests their residency at the address of the property, the registration tax is two percent of the cadastral value of the property,â Delli Santi says. âOtherwise, if the property is purchased as a non-primary residence (secondaÂ casa) the registration tax is nine percent of the cadastral value.â
Buyers who opt to purchase a home and declare their residency in Italy for tax purposes can also take advantage of the new Flat Tax introduced by the government early this year. International investors who live in the country for at least 183 days per year will be entitled to pay a fixed tax of only EUR 100,000 (USD 118,780) on their worldwide income.
AboutÂ NexuÂ Real Estate
Nexu Real EstateÂ is an international, luxury real estate agency specialising inÂ Italian real estate. Carolyn Delli Santi is a Certified International Property Specialist with the National Association of Realtors and is trained to assist foreign buyers in complex international transactions.
For more information, please visit:Â www.nexurealestate.com