This complete guide aims to provide a clear and detailed overview for international buyers interested in real estate in Sardinia, ensuring a safe, informed, and transparent purchasing process.

Buying property in Italy, particularly in Sardinia, requires careful attention to legal, fiscal, and bureaucratic details, especially for foreign clients. This detailed guide outlines the essential steps, required documentation, and updated regulations to ensure a transparent and hassle-free purchase.

1. Eligibility for Foreign Buyers

A foreign citizen’s ability to purchase property in Italy depends on their status and nationality:

•EU Citizens: Can purchase property in Italy without restrictions.

•Non-EU Citizens: Must meet one of the following conditions:

•Regular Residency in Italy: Possession of a valid residence permit.

•Reciprocity Condition: If an international agreement allows an Italian citizen to purchase property in the buyer’s home country.

It is advisable to verify the reciprocity condition by consulting the website of the Italian Ministry of Foreign Affairs.

2. Required Documentation

To proceed with the purchase, foreign buyers must provide:

•Italian Tax Code (Codice Fiscale): Essential for any financial transaction in Italy. It can be obtained from the Revenue Agency (Agenzia delle Entrate) or through the Italian consulate in the buyer’s country of residence.

•Valid Identification Document: Passport or identity card.

•Residence Permit: For non-EU citizens residing in Italy.

•Financial Details: Proof of sufficient funds for the purchase and, ideally, a bank account in an Italian bank to facilitate transactions.

3. The Purchase Process

The property purchase process in Italy generally follows these steps:

•Purchase Proposal (Proposta di Acquisto): A document where the buyer expresses their intention to purchase the property under specific conditions.

•Preliminary Sale Agreement (Compromesso): A formal agreement between the buyer and seller outlining the terms of the sale, accompanied by a deposit payment.

•Deed of Sale (Rogito): The final document that transfers ownership from the seller to the buyer, drafted and authenticated by a notary.

4. Language Considerations

If the buyer does not understand Italian, the following are mandatory:

•Translation of the Notarial Deed: The deed must be translated into the buyer’s native language by an official translator.

•Presence of an Interpreter: During the signing of the deed, a qualified interpreter must ensure that the buyer fully understands the terms of the contract.

5. Taxes and Fees

Purchasing property in Italy involves several taxes:

•Registration Tax: Typically 9% of the cadastral value of the property, reduced to 2% if the buyer qualifies for “first home” benefits.

•Mortgage and Land Registry Taxes: €50 each for non-luxury properties.

•VAT: Applicable only when purchasing from a construction company; rates range from 4% to 22% depending on the type of property and applicable benefits.

6. Tax Benefits for Foreign Buyers

Foreign buyers can benefit from “first home” tax reductions if:

•They Transfer Their Residence: To the municipality where the property is located within 18 months of purchase.

•They Do Not Own Other Properties: In Italy purchased with the same benefits.

Recent legislative changes (June 14, 2023) introduced restrictions for Italian citizens residing abroad seeking “first home” benefits. To qualify, the purchased property must be located in the buyer’s birthplace municipality or where they had residency or worked before moving abroad.

7. Financing the Purchase

Foreign buyers can:

•Obtain a Mortgage in Italy: Many Italian banks offer mortgages to foreign citizens, subject to creditworthiness evaluation.

•Transfer Funds from Abroad: Ensuring compliance with Italian and European anti-money laundering regulations.

8. Post-Purchase Obligations

After the purchase, the buyer must:

•Register the Deed of Sale: The notary handles the registration with the Revenue Agency and updates the land registry records.

•Pay Annual Taxes: Such as IMU (Municipal Property Tax) and TARI (Waste Tax).

•Insure the Property: Not mandatory but highly recommended to protect the property against damage from fires, floods, and other natural risks. Italian insurance companies offer specific policies for properties.

9. Pre-Purchase Checks

Before proceeding with the purchase, it is crucial to conduct certain checks on the property:

•Land Registry and Urban Planning Records: Ensure the property is correctly registered and free of building violations or discrepancies with the original plans.

•Urban Destination Certificate: Indicates the property’s intended use according to municipal planning regulations (mandatory for land exceeding 5,000 sqm).

•Mortgage and Legal Liens Checks: Ensure the property is free from mortgages, legal disputes, or other encumbrances.

•Energy Compliance: Verification of the property’s energy efficiency rating is mandatory. Every property must have an Energy Performance Certificate (APE).

10. Considerations for the Sale Agreement

•Applicable Law: Italian law governs the sale, but if both parties are foreign, a contract in a foreign language can be drafted while maintaining the deed’s validity in Italy. However, it is essential that the buyer fully understands all legal and fiscal details, so translation is always recommended.

•Legal and Notarial Assistance: It is crucial for the buyer to rely on experienced professionals, such as real estate agents, lawyers, or notaries, to ensure that all procedures are correctly followed. A skilled notary will draft and register the deed of sale, while an agent or lawyer can advise on specific clauses or legal issues.

11. Recent Legal and Regulatory Changes

Legal and fiscal regulations for foreign buyers are constantly evolving. For example:

•Civil Code Reform and Budget Law: Changes in tax regulations can affect property taxes, transfer rules, and deductions for investments, such as the reduced rate for “first home” purchases, which may vary based on location and property category.

•Investment Property Regulations: Foreign investors must be aware of specific rules for commercial properties, such as hotels and hospitality structures. This sector is subject to stricter laws, especially concerning licenses, permits, and property management regulations.

•Regional Laws in Sardinia: Like other Italian regions, Sardinia may have regional laws affecting purchase procedures, especially in rural, coastal, or environmentally protected areas. Buyers must be informed about restrictions related to construction, renovation, and property use.

12. Practical Tips for Foreign Buyers

•Explore the Area: Before purchasing, it is crucial to visit the property and its surroundings in person or virtually, especially if planning to relocate or live permanently in Sardinia. Additionally, consider exploring different neighborhoods and evaluating proximity to schools, hospitals, transportation, and local services.

•Factor in Additional Costs: Beyond the purchase price, the buyer should account for additional expenses such as taxes, notary fees, registration fees, insurance, and potential renovation costs. Careful budget planning is essential.

•Evaluate Investment Returns: For investors, understanding the potential returns of the purchase is key, particularly if the property will be rented out or used as a hospitality structure. Sardinia, with its stunning coastline and high tourist demand, offers great opportunities, but analyzing the local market before committing is always advisable.

Why Choose ANEDDA. Immobiliare for Your Property Purchase in Sardinia

Buying property in Sardinia is a unique experience, but it can also be a complex process, especially for international buyers navigating regulations, paperwork, and bureaucratic steps. That’s why choosing Anedda Immobiliare makes all the difference.

With years of experience in the real estate market and an in-depth knowledge of the local area, Anedda Immobiliare is the perfect partner to guide you through every stage of your purchase. We are not just real estate experts; we specialize in making the process clear and stress-free for our international clients.

What are the benefits of working with us?

•In-depth knowledge of the local market: Whether you’re looking for a villa by the coast, land in the countryside, or an investment property, we offer tailored solutions to meet your needs.

•Comprehensive and personalized support: We guide you every step of the way, from selecting properties to signing the contract, ensuring maximum transparency and attention to detail.

•Expertise in international transactions: We understand the specific regulations and requirements for foreign buyers and work with qualified professionals to provide a seamless and secure experience.

•A trusted network of professionals: We collaborate with reliable notaries, lawyers, and technical experts to offer you a complete and professional service.

Choosing an experienced agent like Anedda Immobiliare doesn’t just mean finding the property of your dreams; it also means having the peace of mind that every detail will be handled with expertise and professionalism.

Don’t leave anything to chance: contact us today and discover how we can help turn your dream of owning property in Sardinia into a reality. With Anedda Immobiliare, you’re in safe hands.

discover your ideal home here ❤️

Personalized Purchase Assistance for International Buyers in Sardinia

If you don’t find the property that fits your needs in our portfolio, don’t worry! As experts in international real estate, we are ready to assist you at every step of the purchase process, even for a property you have found yourself on the island. Whether it’s a residential property or an investment opportunity, our team is here to support you with the highest level of professionalism, from the search to the completion of the transaction.

Contact us for personalized advice, and discover how we can help you make your dream of owning property in Sardinia come true.