Real Estate in Italy

How to Reduce the Risks of Investing


Investing in real estate in Italy is capable of delivering some nasty financial surprises that can potentially ruin your investment if you do not put some forethought and do your homework right. 



The most common place where unwary property buyers get caught out is in miscalculating their finances and getting their sums wrong. It cannot be stressed enough the need for calculating the true cost of purchasing and owning Italian property, including taxes and restoration costs before you start your property search in order to avoid any nasty surprises later on.


Did you know that in Italy, it is the buyer as well as the seller that is expected to pay the estate agent for selling them the property?


Real Estate in Italy: Making a Budget at the Start


Icon Bank Money

As mentioned earlier, it is essential for you to start asking yourself some key questions before you start your search for a suitable property, to ensure that you do not end up overstretching yourself financially at the end.


Here are some of the questions you should get clarity on in advance as well as work out whether you are able to make provision for them in your budget:


  • How long am I prepared to take to pay off a second mortgage?

  • How much can I realistically afford?

  • Can I afford the property purchase price and a comfortable margin for unexpected costs ? These can include exchange rate fluctuations, unforeseen restoration costs, or, indeed, changes in your own earning circumstances.

  • What are my other financial commitments apart from the real estate in Italy purchase?

  • How much holiday accommodation money will I save by purchasing my holiday home? And how big a mortgage will that get me?


What you should be aiming for at this stage of the buying process is to establish a budget with a comfortable margin for error and/or unforeseen costs as there always be some especially if you are buying an old property. Do not rely too heavily in your initial budget on rental income to offset ongoing costs either.


Real Estate in Italy: Do Not Buy a Property You Cannot Resell

It is essential that you look out for things that can ruin the resale value of the property you are interested in so that you can avoid purchasing a property that you will have difficulties selling on later. We are not talking here about avoiding purchasing a property above the market rate , rather wising up to sport major flaws that can impair your ability to sell the property at all.


  • Do not let new construction surprise you - It is worth having all plans pertaining to the property and those around it checked professionally to avoid a situation where your view for example is obstructed by new development you did not anticipate.

  • Check for major structural weaknesses - Even though the property you are interested in might not immediately look like it suffers from major structural weaknesses, at the slightest suspicion of serous faults it is wise to have it professionally investigated.

  • Do not let new construction surprise you - It is worth having all plans pertaining to the property and those around it checked professionally to avoid a situation where your view for example is obstructed by new development you did not anticipate.

  • Check for unexpected rights of way - Be careful to check that your property, especially if it is in a rural area, is not lying in the middle of some ancient lien that gives others unwelcome access or rights of way. These are checks that, once again, need to be carried out by a professional.

  • Try avoiding nasty neighbours - The same rules about getting on with the neighbours apply in Italy too. Make a point to meet them and make sure they are not going to be the neighbours from hell.




How to Reduce the Risks of Investing


Thank you for visiting our guide… we look forward to welcoming you to Liguria and hope you will love it as much as we do !

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