Le Marche Real Estate Buying Guide
Once you have found your new home and have made an offer which has been accepted the normal buying process is as follows:
As in the UK it is always advisable to have a surveyor or structural engineer carry out a survey on the property. Often buyers in Italy will be paying cash for the purchase and so are not obliged by a mortgage lender to carry out a survey, so they simply fail to have one carried out.
In fact it is usually much more important to have a survey carried out on foreign properties because most buyers tend to purchase older properties which require a lot of restoration work. So as well as looking for structural problems a surveyor/geometra or structual engineer can also prepare a quotation/preventivo for the cost of work that needs to be carried out and indeed for the complete restoration of the property.
Even if the property is newly built or recently renovated a surveyor/geometra can check whether all the necessary legal paperwork with regard to building registration is in order.
Once the purchaser is satisfied with the survey and still wants to go ahead then the next step is paying the deposit to the owner. A holding deposit can be paid, "Proposta irrevocabile d'acquisto" if there will be a time delay in getting the full Compromesso document drawn up. The deposit is normally then held by the agent or a lawyer if one is involved. The deposit can be anything from 1,000 euros to 10% of the total purchase price. If the buyer changes his or her mind and pulls out of the sale then they will forfeit the deposit otherwise this deposit will be either returned on signing the Compromesso or deducted from the final monies paid on completion.
A Compromesso/Compromise Document is drawn up and signed by the vendor and purchaser. This is a legal document under Italian law and once signed binds both parties to go through with the sale. At the signing of the document a deposit is paid by the purchaser, usually 10% to 20% of the purchase price. If the purchaser withdraws from the sale, they normally forfeit the deposit and if the vendor withdraws then they have to pay twice the deposit amount to the prospective purchaser. There are normally special clauses in the Compromesso document allowing the purchaser to withdraw without penalty if a mortgage application is refused or because of misinformation about the property from the vendor.
A completion date is fixed when the Compromesso is drawn up, and it is usually not possible to change the final date.
In the intervening time between the Compromesso and the final Completion, a Notary/Notaio then checks the vendors title and any outstanding loans or mortgages on the property. Also rights of way and all other legal matters that might affect the ownership or rights affecting the land and buildings.
The Notary when satisfied with the searches, draws up the Deed/Rogito Notarile which is the final contract of purchase. This deed places the new particulars on the property register and the Notary informs the Land registry about the change in ownership. The purchaser and vendor sign the document in front of the Notary and in cases where a property is being purchased by someone who cannot speak Italian a translator is provided and the several copies of the deed are made in English as well as Italian. Also the balance of the purchase price is now paid and checked by the Notary.
A Proxy/Procura can be used in cases where the purchaser is unable to attend the final signing.
For further information please look at our sister website www.marchetownhouses.com for a full range on properties in the region we have for sale. Also at our website Montelparo.com for the range of Le Marche based restoration and building services we can offer.
Also see Dermott's latest blog explaining why now is a great time for buying houses in Le Marche.
