Costs to consider

The buying process in Italy is more expensive than the UK and costs can vary significantly. As a guide, we'd advise you to budget for at least 15% on top of the purchase price, and 20% for a new property. Here are a few of the costs you should allow for:

• Estate agent's fees - usually between 1% and 3% of the purchase price, but they are negotiable and may be split between the buyer and seller. Properties are sometimes advertised with fees and VAT included. Don't assume anything - always check with the agent and be prepared to barter.
• Land Registry taxes ('imposta di registro', 'imposta ipotecaria' and 'imposta catastale') vary from 3% to 7% depending on the declared value and the reason for purchase (residential, second home etc). Most non-residents pay 7%.
• Notaio fees - these also vary according to the declared value.
• Mortgage registration fee - this is 0.25% of the loan amount if the property is your main residence, or 2% if it's your second home.
• VAT or 'Imposta sul Valora Aggiunto' (IVA) - this is only payable for new homes and varies from 10% up to 20% for luxury homes. It is usually included in the price, but always check.