A buyer can generally expect to pat between 3 – 5% commission on the purchase price of the property. Don’t forget to add 22% sales tax, imposed by law, to that amount. Attention: Per Italian law, property finders and other unlicensed agents are prohibited from earning commission on a property transaction. When in doubt, always ask to the your agent’s license – not the one for their boss, agency, or colleague – but their personal license. Unlicensed agents should be reported to the ‘Guardia di Finanza’ and the local chamber of commerce.

Taxes on the purchase of a property can be broken down into the following categories, which cover the majority of purchases:

• Buying from a private seller: If you are buying as a primary residence, you’ll enjoy a 2% tax with a minimum of €1,000 based on the cadastral tax base. If you’re buying as a second (vacation) home where you will not establish your residence, this jumps to 9% with the €1,000 minimum. There are also two additional €50 taxes in both situations.
• Buying from a builder, construction company, or other company: If buying as a second (vacation) home where you won’t establish your residence, there is a 10% VAT tax based on the sale price. If buying as a primary residence, this falls to 4%. There is no minimum and both instances incur two additional €200 taxes. Note: some types of companies are able to choose whether they wish to exercise this type of taxation or the taxation mentioned above. When in doubt, consult your licensed realtor.
• Luxury properties: If buying as a second (vacation) home, there is a whopping 22% VAT tax imposed based on the sale price plus three additional €200 taxes. If buying as a primary residence, the purchase tax falls to 9% based on the cadastral tax base plus two additional €50 taxes. Note: if buying from a construction company, builder, or other company, luxury properties incur 22% VAT regardless of whether they are primary or secondary homes. Some companies may be able to choose their taxation strategy, as mentioned above, so always consult you licensed real estate professional.
• Agricultural properties: If you’re a full time farmer (60%+), you’ll enjoy a 1% tax on the sale price (minimum €1,000), plus two additional €200 taxes. If you’re not a full time farmer, there is a 15% tax based on the sale price (minimum €1,000), plus two additional €50 taxes.

There is no standard price table that sets how much a notaio can charge for their service, therefore each notaio is free to set their own prices. Their fee will vary based on the complexity if the contract, value of the property, and the amount of work the notaio will have to do to complete their due diligence on the property and prepare the deed. Fees for a typical transaction can range from €2,000 to €4,000. Note: if you are not fluent in Italian, you’ll be required to have a translator present and/or have someone who is fluent in Italian be your Power of Attorney. Add €300+ for the translator and €1,000 for the Power of Attorney if you fall into this category.

If you’re planning to use a mortgage to purchase you’re property, you’ll need to include a mortgage origination fee. These fees vary depending on the bank, mortgage broker, and complexity of the purchase, but a good rule of thumb is from 3 – 5%.

Some regions require a home inspection to be performed by a licensed geometra, and a new national law seems to indicate that it will be a require throughout Italy. In cases where the inspection is mandatory, it is often paid for by the seller. A typical home inspection costs around €1,000.