What it costs to buy in Italy
On Italy’s median asking price of €180,000, that is €13k – €29k on top.
Budget 7–16% on top of the asking price. The headline 9% second-home registration tax is charged on cadastral value, which is usually well below what you actually pay — so the effective rate is often much lower than it looks.
Last checked 11 September 2026 against the sources listed at the foot of this page.
Buying property in Italy involves several costs beyond just the asking price. Understanding these expenses is crucial for prospective buyers.
This guide outlines the one-off and ongoing costs related to property ownership in Italy, offering general estimates that can vary by region.
The lines that dominate the bill
- Registration tax, resale second home
- 9% of cadastral value
- Minimum €1,000. A non-resident cannot use the 2% first-home rate without taking residency within 18 months.
- Taxed on cadastral value, not price
- rendita × 1.05 × 120
- Private-seller residential sales are taxed on cadastral value, usually far below market — this cuts the effective rate sharply.
- Estate agent fee
- 2–4% + 22% VAT, from each side
- Due when the offer is accepted, not at the deed — a trap for buyers who pull out late.
Every cost, in full
| Cost | Amount | What it is |
|---|---|---|
| Registration tax, resale second home | 9% of cadastral value | Minimum €1,000. A non-resident cannot use the 2% first-home rate without taking residency within 18 months. |
| Taxed on cadastral value, not price | rendita × 1.05 × 120 | Private-seller residential sales are taxed on cadastral value, usually far below market — this cuts the effective rate sharply. |
| Registration tax, first home (prima casa) | 2% | Requires residence in the municipality within 18 months and no other Italian home. |
| Mortgage and cadastral taxes, resale | €50 + €50 | Flat amounts where registration tax applies, unrelated to price. |
| VAT, new-build from a developer | 10% | 4% for a first home, 22% for luxury categories. Charged on the actual price, not cadastral value. |
| Fixed taxes on a VAT purchase | €200 × 3 | Registration, mortgage and cadastral taxes, replacing the €50/€50 pair when the sale carries VAT. |
| Notary fee | ≈€1,500–3,000 + 22% VAT | A free-market fee scaling with price. The notary also collects and remits all purchase taxes. |
| Estate agent fee | 2–4% + 22% VAT, from each side | Due when the offer is accepted, not at the deed — a trap for buyers who pull out late. |
| Mortgage costs | 2% of the loan (0.25% first home) | A substitute tax replacing other loan taxes. Non-resident lending is typically capped near 50–60% LTV. |
| Annual property tax (IMU) | ≈0.46–1.06% | On revalued cadastral value, rate set by the municipality. Always due on a second home. |
Who pays the estate agent
Yes. Italian custom charges both sides — buyer and seller each typically pay 2–4% plus 22% VAT.
The number you need before you can complete
Codice fiscale — free, required before signing, issued same-day by the Agenzia delle Entrate or an Italian consulate abroad.
Recently changed, or about to
Non-EU buyers may only purchase where their country grants Italians the same right (reciprocity). The US, UK and most OECD states qualify.
Sources
Tax authorities, registries and notarial bodies first. Check the figure you care about before you rely on it.
- Agenzia delle Entrate — buying a home: the taxesprimaryOfficial landing page for purchase taxes.
- Property purchase taxes 2026: first home, VAT, notary costs2%/9% registration tax, €1,000 minimum, fixed tax sets, 4/10/22% VAT, notary fee range.
- Calculating taxes on private property salesThe prezzo-valore mechanism and the 110/120 cadastral multipliers.
- Italy property tax in 2026: a guide for non-residentsNon-resident treatment, IMU rates, codice fiscale requirement.
- Buying property in Italy 2026: legal guide and taxesAgent commission charged to both sides; non-EU reciprocity condition.
This is general information for a non-resident buyer of a residential property, not tax or legal advice. Rates change, reliefs depend on your circumstances, and regional variation is the rule rather than the exception — take local professional advice before you commit to anything.
Cite this page
Habio, “Cost of buying property in Italy”. https://habio.ai/guides/cost-of-buying-property-in-italy
https://habio.ai/guides/cost-of-buying-property-in-italy
Free to quote with attribution to Habio. Every figure links to its source.
What you would actually be paying for
See what property in Italy is actually asking, by region.
The process in more detail
One-off Purchase Costs
When purchasing property in Italy, buyers should expect one-off costs, which include transfer tax, notary fees, and legal fees.
Typically, these costs can add an additional 7% to 10% on top of the property price.
Transfer Tax
The transfer tax, or imposta di registro, ranges from 2% to 9% of the property's value. This depends on various factors such as residency status and whether the buyer is purchasing their first home.
Essentially, non-residents often pay around 9%, while residents might benefit from lower rates.
Notary and Registration Fees
In Italy, a notary is essential for property transactions. Fees for their services generally range from 1% to 2% of the purchase price.
Registration fees for the transaction must also be factored in; these vary but often add a small additional cost.
Legal and Conveyancing Fees
Hiring a lawyer or conveyancer is advisable to navigate Italian property law. Fees usually range from 1% to 2% of the property price.
These professionals can assist with due diligence and ensuring all paperwork is correctly handled.
Ongoing Ownership Costs
Annual property taxes generally range from 0.4% to 1% of the property's value, varying by municipality.
Other ongoing costs may include community fees, utilities, and property insurance.
- Community fees (if applicable) can vary widely based on amenities.
- Utility costs (water, electricity, gas) typically average a few hundred euros monthly depending on usage.
- Property insurance is usually around 0.3% to 0.5% of the property value annually.
Example Calculation
For a median asking price of €350,000, here's an example of estimated one-off costs:
Transfer tax (9% for non-residents): €31,500, Notary fees (1.5%): €5,250, Legal fees (1%): €3,500. Total: approximately €40,250.
Mortgage Costs for Non-Residents
Obtaining a mortgage in Italy as a non-resident can be challenging, with many banks requiring larger deposits, often up to 30%.
Always consult a local mortgage adviser to understand the options and requirements applicable to your situation.
Frequently asked questions
What are the total purchase costs to budget for in Italy?
You should budget around 7% to 10% of the purchase price for one-off buying costs.
Are there different tax rates for residents and non-residents?
Yes, non-residents usually pay higher transfer taxes, typically around 9%.
How much is the annual property tax in Italy?
Annual property taxes typically range from 0.4% to 1% of the property's value.
Do I need a lawyer when buying property in Italy?
Yes, it is advisable to hire a lawyer to handle the legal aspects of the property purchase.
What mortgage options are available for non-residents?
Non-residents may face stricter requirements, often needing a larger deposit, and should consult a local adviser for details.
This guide is general information, not legal, tax or immigration advice. Rules change — verify the current position with official sources and a qualified professional before acting. Last reviewed July 2026.