Buying a home in Italy for those living and working abroad is not just a financial investment, but often a return to one’s roots. However, there are bureaucratic and fiscal details that are essential to understand to avoid mistakes.
1. "First Home" Tax Benefits for AIRE Members This is the most significant piece of news: Italian citizens residing abroad can take advantage of "First Home" (Prima Casa) tax benefits even if they do not hold residency in the municipality where they are purchasing.
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The Advantage: The registration tax drops to 2% (instead of 9%), and the mortgage and cadastral taxes are fixed at 50 euros each.
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The Requirement: The buyer must be an Italian citizen residing abroad (registered with AIRE), and the property must be their "first home" on Italian territory.
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No Residency Requirement: Unlike residents in Italy, AIRE members are not required to transfer their official residency to the property within 18 months.
2. The IMU and TARI Issue Attention is needed here, as the rules have changed frequently in recent years.
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Exemptions: Currently, there is no automatic total exemption for residents abroad. However, for retirees under an international convention with Italy, there is a 50% reduction in IMU and a two-thirds reduction in TARI (waste tax).
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Second Home: For non-retirees, the property is generally considered a "second home" for the purposes of annual local taxes.
3. Mortgages for Non-Residents Obtaining a mortgage in Italy while working abroad is possible, but it requires extra care.
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Currency: Italian banks prefer to issue loans to those earning in Euros. If your income is in dollars, pounds, or other currencies, the process may be more complex due to exchange rate risks.
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LTV (Loan to Value): Banks often finance a smaller percentage of the property value (around 50-60%) compared to Italian residents.
4. Special Power of Attorney: Buying from a Distance It is not always possible to return to Italy for viewings or the final deed (rogito).
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How to do it: You can grant a Special Power of Attorney (Procura Speciale) to a trusted person in Italy (or your real estate consultant). This must be done at the Italian Consulate in your country of residence or through a foreign notary (in which case an Apostille is required).
The Value of Domus Sicilia We know that for those living thousands of miles away, trust is everything. "At Domus Sicilia, we offer a dedicated 'Property Finder' service for those living abroad. We don’t just manage the search for the perfect home or land; we coordinate the entire bureaucratic process—from urban planning compliance checks to the final signature of the deed, even via power of attorney.
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