Buying Guide Details
Buying Property in Florence
Where to buy property in Florence
Home buyers, as well as hoards of tourists, find Florence one of the most admired historic cities in the world. With untold art treasures, UNESCO World Heritage status and at the heart of one of the most desirable areas in Tuscany, it offers unequalled treasures to anyone looking for a property in Florence, to relocate to or as an investment.
A property in Florence is not going to be cheap, with demand outstripping supply in one of the most idyllic of Italian destinations. On the plus side, those looking for rental returns from their property in Florence have a huge student population and year-round tourism providing great potential letting opportunities to offset the high asking price.
Its protected status means that there is no new-build property in Florence city itself, though there are some refurbishments and conversions available. Overseas buyers of property in Florence are unlikely to look to the suburbs where property is cheaper and lacks the quality and appeal of the Renaissance quarters.
Though unlikely to offer anything to a home buyer on a budget, there is a broad range of properties in Florence on the market, from small apartments to townhouses and family homes. The larger properties in Florence will necessitate digging deep into your pockets, but with a stable, steadily-appreciating property market, a property in Florence should prove an excellent investment over time.
Buying Process
- While the amount of Italian red tape is well known, and bureaucracy tends to move rather slowly, buying a property in Florence is actually pretty straightforward – if somewhat time consuming
- Anyone wishing to buy a property in Florence must first obtain a tax identification number (codice fiscale) from the Italian authorities
- There are then three main buying stages. The buyer makes an offer, which commits him/her to buying the property at the given price. If the seller accepts, a deposit (usually 10%) is paid
- Both parties then sign a legally binding buying proposal (compromesso di vendita). This outlines the details of the transaction, including the scheduled completion date
- Should the seller withdraw, they must pay the buyer double the value of the deposit. If the buyer pulls out, he/she loses the deposit
- On completion, both parties sign the final contract (rogito) in the presence of a notary, who then issues the deeds and informs the land registry to transfer ownership. The remainder of the balance, plus all taxes, must then be paid at this point.
Homes Overseas Property Club
Homes Overseas has joined forces with a collection of IFA specialists to form the Homes Overseas Property Club (HOPC), designed for existing and prospective overseas property homeowners.
The Club – which has access to international lawyers in no fewer than 43 different countries - has been set up in order to guide people through some of the various issues relating to buying and maintaining a property overseas. It offers advice on a range of topics, including financial, legal, insurance, taxation, property management and foreign currency matters.
For further information please telephone 0845 838 7142 or email info@homesoverseaspropertyclub.com
Fees & Taxes
- Buyers should set aside around 15% of the purchase price to cover costs
- Stamp duty/land registration tax for non-residents (i.e. second-home owners) varies from 10% of the declared price for urban property in Florence up to 17% for a rural property in Florence. Most homes are considered urban
- Residents or those intending to make a permanent move will pay 4% stamp duty
- VAT on new properties in Florence ranges from 10 to 20%, depending on whether the property is considered a ‘luxury home’. This is usually included in the price
- Reduced rates of 4% VAT are available for those who build their own property in Florence
- Estate agent’s fees are usually between 3 and 5% per cent, notary fees average around 3% and legal costs tend to amount to around 2% of the purchase price
- Local taxes (ICI) of between 0.4 and 0.7% also apply to anyone owning a home in Italy.
Getting there
There are regular scheduled flights from the UK to Florence Amerigo Vespucci airport.
Buying property in Florence