15 July, 2025

Buying property: key concepts and necessary checks

From the preliminary agreement to the sales deed, including the real estate agent’s commission, the notary’s duties, and buyer’s expenses

Purchasing real estate is a major decision. It is essential to understand important elements such as the role of the real estate agent and when they are entitled to a commission, the responsibilities of the notary, and the costs the buyer must bear. Additionally, if the property is part of a condominium, one must review any approved expenses, their classification (ordinary or extraordinary), and any condominium rules that may override legal cost-sharing rules or impose restrictions on property use.

This guide offers a general overview and answers common questions about real estate transactions.

Parties involved in a property purchase: beyond seller and buyer

To ensure a smooth purchase, it is advisable to rely on professionals:

Legally, the notary is fundamental, and it may be necessary to engage a lawyer—especially if the property is under foreclosure, has a registered mortgage, or pending legal claims;
Technically, while the real estate agency performs some checks, a surveyor or architect should verify cadastral and planning compliance;
For tax matters, a tax advisor should be consulted to explore potential fiscal benefits.

The sales contract: overview, rights, and obligations

A sale contract (art. 1470 c.c.) transfers ownership of a property in exchange for payment.

The seller must:

Deliver the property;
Transfer ownership or the relevant right;
Guarantee the buyer against eviction and defects (art. 1476 c.c.).

The buyer must pay the price (art. 1498 c.c.).

This consensual contract is perfected by mutual agreement (offer and acceptance), even if possession transfers later. It differs from real contracts, which require delivery for validity. Sale contracts are real contracts with immediate or deferred transfer effects depending on conditions, such as in sales of future goods (art. 1472 c.c.).

The real estate agent: mediation contract

The agent is an independent third party who connects buyer and seller without employment ties (art. 1754 c.c.). They facilitate the deal and may conduct initial checks like verifying mortgages.

The agent earns a commission only if the deal concludes due to their intervention (art. 1755 c.c.). Courts require a binding agreement between parties for commission entitlement; mere preliminary proposals or options do not suffice (Cass. 13590/2004, Cass. 39377/2021).

If no agreement on commission exists, courts decide the amount fairly.

Registration is mandatory: companies must register in the Companies Register, individuals in the Economic and Administrative Index (R.E.A.). Lack of registration bars commission claims and triggers penalties (Law 39/1989). Insurance coverage is also required.

Irrevocable offer and option agreement

An irrevocable offer (art. 1329 c.c.) is a unilateral commitment by the seller to keep the offer open and not revoke it for a set time, binding once accepted.

An option (art. 1331 c.c.) is a bilateral agreement granting the option holder the right to conclude the contract within a deadline, with the other party bound to accept.

The option differs from a preliminary contract, which obliges both parties to conclude the sale, while the option leaves the choice to the option holder.

Agent’s role and notarized deed

When a sale involves an agent, the deed must disclose:

Whether an agent was used;
The agent’s identification details, tax info, and registration numbers;
The commission amount or invoice number and payment details (art. 35, DL 223/2006).

Notary’s role

Real estate sales must be formalized by public deed or authenticated private agreement to be registered in public land registers (art. 2657 c.c.).

The notary, a public official, certifies the act’s authenticity, verifies legal formalities, and performs searches on encumbrances (mortgages, seizures, legal claims) and rights (servitudes, pre-emptions). However, the notary does not inspect the property physically or verify technical permits—buyers should engage a technical expert.

Under art. 29, Law 52/1985, the notary checks cadastral data match land registry records and receives the buyer’s declaration confirming conformity of cadastral details with reality.

Usually, the buyer chooses the notary, who must:

Identify parties;
Conduct legal and cadastral checks;
Draft and register the deed;
Transcribe the deed at land registers (art. 2671 c.c.);
Notify cadastral offices of ownership changes (“voltura”).

If requested, the notary holds the purchase price in escrow and pays applicable taxes and fees.

Transcription: brief explanation

Transcription is the registration of the deed in public land registers, ensuring the act’s opposability to third parties and resolving conflicts over ownership priority (C. M. BIANCA, Manual of Civil Law).

Priority is granted to the first registered deed, regardless of contract date (art. 2644 c.c.). Transcription is declaratory, not constitutive—the contract is valid without it, but transcription makes it enforceable against third parties.

The notary files the deed and a transcription note containing essential information (art. 2659 c.c.), stored in the general register (art. 2678 c.c.).

Preliminary contract (the “compromesso”)

When a property is identified, either through private negotiation or a real estate agent, it is common to sign a preliminary sale contract known as a “compromesso.”

This contract serves various purposes, such as allowing the seller to prepare documents or the buyer to arrange financing.

The preliminary contract binds the parties to finalize a future definitive contract with agreed essential terms, postponing its effects. The parties are called promising seller and promising buyer.

The preliminary contract creates an obligation to conclude the final sale within a set deadline but does not transfer ownership or require payment yet. Sometimes, anticipatory effects are agreed, such as immediate delivery or payment, but ownership only transfers with the final contract.

Benefits of registering the preliminary contract

Preliminary contracts can be private (without a notary), often chosen to reduce costs. However, only those notarized or authenticated can be registered (transcribed), gaining full legal protection against third parties.

Registration safeguards the buyer against adverse registrations, such as mortgages, made between the preliminary and definitive contracts.

If the seller illegally sells the property to a third party, a prior registration of the preliminary contract protects the buyer against the third party’s later registration, even if that registration is before the final contract’s registration (Art. 2645-bis Civil Code).

This provision overrides the usual rule that the first registration prevails, allowing the definitive contract’s registration to backdate effects to the preliminary’s registration date.

Example:

On Jan 1, 2025, Seller and Buyer sign and register the preliminary contract.
On Feb 20, 2025, Seller’s creditor registers a mortgage.
On Mar 30, 2025, the final contract is signed and registered.

The final contract’s registration retroactively defeats the creditor’s mortgage, protecting the buyer.

Limits of registration effects

The preliminary contract’s registration loses effect if the final contract (or a judicial order enforcing it) is not registered:

Within 1 year from the agreed date for the final contract,
Or within 3 years from the preliminary contract’s registration.

Special privilege on the property

Registering the preliminary contract creates a special privilege on the property for the promising buyer (Art. 2775-bis Civil Code).

If the seller fails to perform, the buyer’s credit is secured with a real right over the property.

This special privilege differs from a general one: the general privilege covers all debtor’s movable assets without right of pursuit (ius sequelae), while the special privilege is enforceable even against subsequent third-party rights.

Judicial enforcement of the contract

The preliminary contract also allows the buyer to seek a “constitutive judgment” (Art. 2932 Civil Code) which has the same effect as the final contract.

If the seller refuses to finalize the sale, the buyer may request a court order to transfer ownership, provided the title permits it. The buyer must simultaneously fulfill their obligations.

Deposit (caparra) vs. advance payment (acconto): key differences

Buyers often confuse the deposit with a simple advance payment.

An advance payment is a partial price payment without guarantee function. If the contract is not concluded, it is refundable.
A deposit (caparra confirmatoria) guarantees the commitment and has specific legal effects in case of breach (Cass. 19801/2021).

The deposit:

Demonstrates seriousness and is forfeited if the payer defaults;
Allows withdrawal without judicial action;
Represents a pre-agreed damage estimate.

If the contract is completed, the deposit is credited toward the price.

If the buyer breaches, the seller keeps the deposit. If the seller breaches, the buyer can withdraw and claim double the deposit.

The non-defaulting party may also demand contract enforcement or damages instead of withdrawal.

Clarifications

The caparra confirmatoria is different from:

The penitential deposit (caparra penitenziale), a fee for withdrawal;
The penalty clause (clausola penale), an agreed damage amount (caparra confirmatoria does not limit damages).

Purchase of property under construction

A special regulation applies to properties under construction, governed by Legislative Decree 122/2005, protecting buyers who risk losing both the deposit and the promised property if the builder fails.

Buyers face informational and financial asymmetry and may lose money if the builder becomes insolvent, as construction is often financed by buyer deposits.

The law introduces strong protections, including:

The builder’s obligation to provide a surety bond (Art. 3);
A mandatory 10-year indemnity insurance policy covering material damage and third-party liability (Art. 4).

The surety bond must be delivered before or upon signing the preliminary contract, or the contract is voidable by the buyer (relative nullity).

This regulation applies only to new construction, not minor renovations without demolition or volumetric changes (Cass. Ord. 17812/2020).

Recent court rulings (Cass. 3817/2023) clarify execution methods and nullity limits if the property is completed.

Properties under construction vs. “on paper” properties

The law’s protections apply only to properties where a building permit has been requested and construction is ongoing or incomplete.

“On paper” properties are those with preliminary contracts signed before the building permit application.

Surety bond guarantees apply only to properties under construction, not “on paper” sales.

The rationale, confirmed by jurisprudence (Cass. 3817/2023), is that buyers rely on the existence of the building permit, which the law protects; buying “on paper” is riskier, with only general contractual protections (Art. 1472(2) Civil Code).

The Constitutional Court upheld this distinction, affirming the legislature’s discretion to limit guarantees to properties with requested building permits (C. Cost. 32/2018; Cass. 5749/2011).

Mortgage for property purchase: brief overview

In most cases, buyers need a mortgage loan (art. 1813 Civil Code), a contract where a lender (usually a bank) provides money to the borrower (mutuatario), who commits to repay it with interest following a repayment plan (amortization schedule).

For consumer mortgages related to residential property purchases, specific pre-contractual information obligations exist (art. 120-novies TUB).

Mortgage-backed loans (credito fondiario) are medium- or long-term bank loans secured by a first-rank mortgage on the property (art. 38 and following TUB).

At signing, the bank registers a mortgage on the property as security against borrower default. The loan typically covers up to 80% of the property value, up to 100% with additional guarantees (CICR resolution of 22 April 1995, cited by art. 38 para. 2 TUB).

Mortgages for property purchase require a public deed notarized by a notary who also registers the mortgage. The mortgage is a real security right enabling the bank to foreclose if the borrower defaults. The mortgage deed is an extrajudicial enforceable title (art. 474 c.1 n.3 Civil Code), allowing forced execution without prior notice to the borrower (art. 41 TUB).

Notary fees are borne by the party requesting the loan.

Borrowers often take out property insurance (e.g., for fire or explosion). If the property is in a condominium, the buyer may request that the condominium’s insurance policy be pledged for the mortgage amount (“policy lien”), enabling them to rely on the existing policy and avoid a new one.

Before granting the mortgage, the bank arranges an appraisal (perizia) to verify the property’s value and legal compliance (urban planning and building permits), since illegalities can reduce its value.

Summary of borrower costs beyond interest:

Mortgage application fees (to the bank)
Appraisal fees
Notary fees (mortgage deed, mortgage registration)
Substitute tax
Insurance costs

Mortgage assumption (accollo del mutuo)

If a property is sold while a mortgage is still in place, the buyer usually assumes the mortgage debt through an agreement called “accollo.”

Is the seller released?
Not automatically. Accollo (art. 1273 Civil Code) is a contract where a third party (accollante) agrees to assume the debt of the original debtor (accollato) toward the creditor (accollatario).

In real estate sales, the seller (debtor) transfers the property to the buyer (third party), who assumes the mortgage debt with the bank (creditor).

There are two types of accollo:

Internal: only between debtor and third party, creditor is not involved.
External: creditor consents and becomes a beneficiary, formalizing the contract (common in mortgages).

Also, accollo can be:

Cumulative: original debtor and new debtor are jointly liable.
Liberatory: creditor explicitly releases original debtor.

Therefore, the seller is released only if the bank expressly releases them. Otherwise, the seller remains liable alongside the buyer.

Purchase of a donated property: brief notes

Buying a property received as a donation can involve risks and difficulties obtaining a mortgage.

The main risk is that heirs entitled to a reserved share (legittimari: spouse, children, ascendants, art. 536 Civil Code) may challenge the donation with a reduction action if it infringes on their legitimate portion.

This action can make the donation void, and ownership of the property is only certain after 10 years from the opening of the succession (not the donation date).

The buyer (third party acquirer) is also at risk. If the donor’s heir successfully challenges the donation and the donor’s assets are insufficient to satisfy the heir, heirs can claim the property from the buyer within 20 years of the donation’s registration (art. 563 c.1 Civil Code).

The buyer can avoid returning the property by paying its value in cash. If heirs have notified the donor and registered opposition, the obligation extends beyond 20 years.

For more details, consult the specific guide on property donations.

Documents for sale

For the notarized deed of sale, most documents must be provided by the seller. Besides identification, the main required documents include:

Title deeds (e.g., previous deed of purchase or succession declaration if inherited);
Cadastral plan (a graphic representation of the property as recorded in the land registry); it must match the current state of the property;
Any parcel subdivisions, mergers, or unit changes;
Building permits depending on the building period (building license, construction permit, D.I.A. notification);
Any documentation relating to amnesty or regularization permits;
Energy performance certificate (APE) that the seller must give to the buyer;
Any existing lease agreements (the principle emptio non tollit locatum applies, meaning sale does not cancel the lease; the lease is enforceable against the buyer if it predates the sale, art. 1599 Civil Code).

Apartment in a condominium: what to know

When a property is located in a condominium, it is important to check the condominium regulations and verify any existing restrictions; moreover, the buyer must be aware of the status of condominium fees at the time of purchase and any resolutions regarding ordinary or extraordinary maintenance works.

Below is a brief overview of this situation.

Condominium regulations: contractual or assembly-based

The condominium regulation contains a set of rules that all condominium owners must follow; it can be considered the “internal law of the condominium” (R. Cusano, Il nuovo condominio, Napoli, Ed. Simone, 2015, p. 137). The regulation governs condominium life, setting rules on the use of common areas, cost sharing, building decorum, etc. (art. 1138(1) Italian Civil Code). It is always in written form and filed with the minutes register kept by the property manager (art. 1130(1)(7) Italian Civil Code).

Relevant here, the condominium regulation can be:

Contractual (or conventional): this type can affect the rights of individual owners both regarding common parts and their private property;
Assembly-based (or majority): this type cannot include clauses affecting individual owners’ rights.

For example, contractual clauses may restrict an owner from using their unit as a dental office, club, or shop, or impose limitations on common areas such as stairways or courtyards.

Therefore, it is important to check whether the regulation exists and what its nature is. The contractual regulation is explicitly referenced in the purchase deeds of individual units, and each owner agrees to it at the time of purchase. The regulation is thus:

Attached to or referenced in the deed of sale,
Accepted by the buyer at purchase.

Case law (Supreme Court, Cass. 24526/2022) clarifies that clauses in regulations prepared by the original building owner and attached to sale contracts, as well as those formed with unanimous consent of all owners:

Have a contractual nature if they limit owners’ rights over private or common property or grant some owners greater rights;
Have a regulatory nature if they merely govern the use of common areas.

Contractual clauses can only be amended unanimously (not by majority vote), while regulatory clauses can be modified by a majority of attendees representing at least half the value of the building (Cass. SS.UU. 943/1999).

The fact that the entire regulation is drafted using “contractual technique” does not mean all clauses have contractual nature; clauses regulating common property (art. 1138(1) c.c.) are not contractual and vice versa.

A key legal principle is:
“Clauses in a contractual condominium regulation that limit owners’ ability to use their property for certain purposes are contractual in nature and must be incorporated into the individual purchase deed with a formal technique of equal level; mere reference to the regulation itself is insufficient” (Cass. 24526/2022).

For further details, see the dedicated guide on condominium regulations.

In conclusion, the buyer must carefully review the regulation and consult the notary to understand if there are any contractual clauses limiting property rights. Contractual regulations may also set cost-sharing criteria different from legal defaults (see next paragraph).

Condominium millesimal tables

In a condominium, the rights and duties of participants are proportional to the value of their property. This proportional share is expressed in millesimal tables. These tables serve several purposes:

Represent each owner’s rights over common parts and services;
Provide the basis for dividing condominium expenses;
Are a parameter for establishing quorum in meetings.

Millesimal tables may be:

Prepared by the original owner or developer (contractual tables);
Or, if absent, approved by the assembly (assembly-based tables).

For assembly-based tables, approval depends on:

If they derogate from the statutory expense-sharing rules, unanimous consent is required and only unanimous changes are possible (contractual-assembly tables);
If they follow statutory rules, approval can be by majority of attendees representing at least half the building’s value (art. 1136(2) c.c.).

Assembly-approved tables cannot deviate from legal expense-sharing rules, unlike contractual tables approved unanimously.

In conclusion, buyers must check the millesimal tables for any deviations from legal expense-sharing criteria.

For more details, see the guide on millesimal tables.

Ordinary and extraordinary condominium expenses: who pays?

A common issue in condominiums is how expenses are divided between buyer and seller. Often, new owners end up paying charges related to decisions made before their ownership or face issues with clauses in the deed.

When the buyer becomes a condominium owner

The buyer becomes a condominium owner upon signing the purchase contract, after which the property manager may demand payment of condominium fees. The seller remains jointly liable with the buyer for fees accrued until the manager receives an official copy of the transfer deed (art. 63(5) implementing provisions c.c.).

Joint liability between seller and buyer

The law states that the buyer is jointly liable with the seller for condominium fees due by the seller for the current year and the previous one (art. 63(4) implementing provisions c.c.). This is a mandatory rule, not subject to exceptions or extensions.

The reference to “current year and previous year” means the condominium management period, not necessarily the calendar year (Cass. 7395/2017). Neither the regulation nor the assembly can extend this two-year joint liability limit.

Who pays condominium fees in case of sale?

There is a distinction between fees approved before or after the sale, and between ordinary and extraordinary fees.

If a resolution approving work was adopted before the sale, but the work was done after the deed:

Ordinary expenses are paid by whoever owned the property at the time the work was carried out, regardless of who approved it (Cass. 4393/1997, Cass. 4467/1988, Cass. 6323/2003);
Extraordinary expenses are owed by whoever owned the property when the resolution was approved, which is the decisive moment (Cass. 8782/2013, Cass. 1847/2018). This also determines internal cost allocation between buyer and seller, unless agreed otherwise. Agreements between parties do not bind the condominium.

Contents of the deed regarding expenses

Often, the purchase deed contains a clause where the seller declares no outstanding condominium debts for prior years and confirms payment for the current year. The seller may request a release certificate from the property manager confirming all fees were paid up to the deed date. The manager must provide this (art. 1130(9) c.c.). This certificate is not a receipt but can be relevant between buyer and seller.

Parties may agree in the deed who pays which expenses (e.g., the buyer pays extraordinary expenses approved while the seller was owner), but this agreement only binds the parties internally and cannot be opposed to the condominium.

Property inspections: cadastral and urban compliance

For property sales, two types of compliance are required: cadastral and urban planning. These checks should be carried out by a qualified technician such as a surveyor or architect.

Cadastral compliance

By law, public deeds and authenticated private deeds relating to transfer or establishment/dissolution of real rights on existing buildings (except for security rights) must contain for urban units, under penalty of nullity:

Cadastral identification,
Reference to cadastral plans,
A declaration by the owners that the cadastral data and plans correspond to the actual state, based on cadastral regulations.

This declaration can be replaced by a compliance certificate issued by a qualified technician authorized to file cadastral updates.

Before signing such deeds, the notary verifies the cadastral owners and conformity with real estate registries.

This is pursuant to art. 29(1-bis) law 52/1985.

Urban planning compliance (urbanistic mentions)

Urban planning compliance means that the current condition of the property matches what is authorized by the building permit or title, i.e., what the municipality has approved compared to the actual state of the property.

The seller must provide the authorizing building permits for the construction and any subsequent modifications. The type of permit required depends on when the property was built.

For buildings constructed before September 1, 1967, a declaration by the seller attesting that the construction began before that date (a substitute declaration of a sworn affidavit) is required, pursuant to art. 40 Law 47/1985 (see Cass. 1362/2017, which allows the “pre-’67 declaration” to cure the nullity of the deed even if attached during the appeal phase; this declaration has retroactive effect and serves as formal verification that the required conditions existed at the time the deed was drafted).

Summary of requirements:

For properties built before September 1, 1967: a substitute sworn declaration is required.
For properties built between September 1, 1967 and 1977: the building license (licenza edilizia) must be mentioned, according to Law 765/1967 (the so-called “bridge law”).
For properties built from January 30, 1977 to June 30, 2003: the building permit (concessione edilizia) must be indicated, pursuant to Law 10/1977 (the “Bucalossi law”).
For properties built after June 30, 2003: the building permit or the certified notification of start of activity (DIA) must be mentioned (D.P.R. 380/2001 art. 46).
For properties built without any permit or in complete deviation from it, the regularization permit (condono edilizio) must be indicated.

The deed of sale must include these authorizing permits, and failure to do so renders the deed null and void according to art. 40 Law 47/1985 and art. 46 TUE (see next section 15).

Property subject to a building amnesty (condono): brief notes

If the property has been regularized through a building amnesty, the seller must provide the related documentation. Three main amnesty laws have been enacted:

The first by Law 47/1985;
The second by art. 39 of Law 724/1994;
The third by art. 32 paragraph 27 letter d) of Legislative Decree 269/2003, converted into Law 326/2003.

The buyer should not underestimate the fact that the property has been subject to an amnesty.

Administrative case law holds that works legalized by amnesty cannot serve as a basis for further building interventions. The amnesty is an exceptional measure that allows keeping otherwise illegal works upon payment of penalties and fees. The amnesty prevents demolition and allows the legal transfer of the property. However, the works remain non-compliant with building and urban regulations.

In other words, the amnesty does not legitimize the work but prevents demolition and allows its transfer. Therefore, “condoned works cannot be the basis for further building permits which would inherit the illegitimate nature” (Council of State ruling 482/2025).

Nullity and the intervention of the Supreme Court’s United Sections: brief notes

As seen, art. 40 Law 47/1985 and art. 46 TUE establish the nullity of sale deeds that do not mention the building permit. The Supreme Court’s United Sections ruled on this issue.

Briefly:

Art. 40 Law 47/1985 states that deeds concerning real rights on buildings are null and cannot be executed if they do not include the seller’s declaration of the building permit or regularization permit or the documentation proving submission of the application.
DPR 380/2001 (art. 46) states that deeds concerning buildings constructed after March 17, 1985, are null if they do not indicate the building permit or its regularization.

Failure to include these mentions renders the deed null. Notaries who authenticate such deeds breach their professional duties (art. 28 Notaries Act) because their role includes thorough verification before deed execution.

The United Sections stated:

“The nullity under art. 46 DPR 380/2001 and arts. 17 and 40 Law 47/1985 falls under art. 1418(3) civil code and is a ‘textual’ nullity, sanctioning the omission of the building permit data in deeds concerning real rights. However, if the deed contains a declaration by the seller of an existing, real, and referable building permit, the contract is valid regardless of conformity or non-conformity of the construction with the permit.”
(Cass. SS.UU. 8230/2019).

Habitability certificate (agibilità): what it is and consequences if missing

According to art. 24 TUE (Consolidated Building Act), the habitability certificate attests to minimum safety, hygiene, health, energy saving of the building and installations, and compliance with the submitted project.

If the seller does not deliver the habitability certificate (formerly “abitabilità”), the property is unmarketable. Lack of such certificate can justify:

Contract termination;
Compensation claims;
Exception of non-performance.

This obligation is not cured by the seller having filed an amnesty application (Cass. 1701/2009 cited by Cass. 34211/2022).

The buyer has the right to receive a property compliant with laws, regulations, and building permits for which the habitability license was issued, unless explicitly informed otherwise.

Jurisprudence states:

“In residential property sales, the habitability certificate is an essential legal requirement, impacting the property’s social-economic function and marketability. Lack of the certificate constitutes seller’s breach by delivering a different item (aliud pro alio), enabling buyer’s recourse for non-performance or damages unless expressly waived.”
(Cass. 34211/2022).

Difference between habitability certificate and building permit: brief notes

The habitability certificate and building permit serve different purposes:

The habitability certificate verifies that the building meets safety, health, hygiene, and energy efficiency standards and complies with the approved project;
The building permit verifies compliance with building and urban planning laws.

Issuing habitability does not prevent municipal offices from later contesting deviations from the building permit or demanding payment of regularization fees.

The certificate confirms usability but does not replace or substitute the building permit (Consiglio di Stato ruling 8180/2019 cited by Cass. 25830/2023).

Note that habitability is no longer issued by municipalities but certified via a “certified notification of habitability” (Segnalazione certificata di agibilità – SCA).

Condition of installations: sample clause if installations are not up to code

The state of electrical and other installations is crucial, especially in older properties. Buyers should verify if installations comply with safety regulations and proper sewage connections.

Often, the deed includes a clause regarding installations not compliant with current laws, for example, if the buyer is informed that installations must be replaced, they may ask for a price reduction and waive guarantees from the seller.

Sample clause:

“The parties mutually agree, pursuant to art. 1490 paragraph 2 civil code, to exclude the seller’s warranty regarding the compliance of installations with current safety regulations, with the buyer assuming any costs for necessary upgrades and waiving any claims related to this matter.”

Mortgage inspections: what are registrations, inscriptions, and annotations?

A mortgage inspection allows consultation of registries, notes, and titles filed in the Land Registry Office (Conservatoria). It can be done by person or property to check for legal burdens such as foreclosures, seizures, or legal disputes.

The law (art. 2643 civil code) requires registrations of deeds transferring or creating rights on real estate.

Mortgage inscriptions refer to mortgages placed on the property, either voluntary (e.g., mortgage loan) or judicial (e.g., court order), or tax-related (e.g., unpaid taxes).

Annotations modify previous registrations, such as cancellations of mortgages or foreclosures.

The notary conducts this check to ensure the property is free of liens and encumbrances.

Costs related to the sales contract

By law, the buyer pays the expenses related to the sale contract and accessory costs unless otherwise agreed (art. 1475 civil code).

If a preliminary contract is made, it must be registered within 30 days with the Revenue Agency, paying:

Fixed registration tax of €200, regardless of sale price;
Stamp duty of €16 every 4 pages or 100 lines;
If notarized, stamp duty of €155;
Registration tax on payments: 0.5% for earnest money, 3% for down payments.

These taxes are deductible from those due on the final deed registration.

The buyer also pays the notary’s fees.

For the final deed, without first-home benefits, taxes are:

9% registration tax proportional;
€50 fixed mortgage tax;
€50 fixed cadastral tax.

These taxes vary if buying from a company or private.

First-home benefits reduce taxes if conditions apply (e.g., property category, residency, buyer’s qualifications):

Buying from private or VAT-exempt company: 2% registration tax, €50 mortgage, €50 cadastral;
Buying from company with VAT sale: 4% VAT, €200 registration, €200 mortgage, €200 cadastral.

Mortgage-related fees (application, appraisal, insurance) and mortgage registration costs also apply.

Finally, the real estate agent’s commission, if any, is separate from sale costs, stemming from mediation law (Cass. 14899/2011).