A PROPERTY CAN BE LEGAL SOLD IN ITALY AND STILL HAVING SERIOUS PROBLEMS

Many foreign buyers assume that if a property can be sold before an Italian notary, it must be fully compliant.

That assumption can be expensive.

In Italy, a property may be legally transferable even though it contains building irregularities, cadastral discrepancies or unauthorised alterations.

In other words, the transaction may be valid, but the property may still have problems.

“It can be sold” does not mean that everything is in order

This is one of the most important distinctions to understand when buying property in Italy.

The fact that a property can be transferred does not automatically mean that:

– every room corresponds to the approved plans;
– all alterations were authorised;
– the cadastral plan is accurate;
– an extension or terrace was legally built;
– the current use of the property is permitted;
– any irregularity can be easily regularised.

A property may pass through completion and still leave the buyer with significant technical and legal issues.

These issues often emerge only later, when the new owner tries to renovate, resell, obtain a mortgage or apply for permits.

Cadastral Compliance Is Not the Same as Planning Compliance

Foreign buyers are often told that the property is “cadastrally compliant”.

This sounds reassuring, but it does not necessarily answer the most important question.

The Catasto identifies and describes the property mainly for tax purposes. The cadastral plan should correspond to the current layout of the property, but this does not prove that the building and all subsequent works were legally authorised by the municipality.

A property can therefore match the cadastral plan and still contain planning violations.

For example, a wall may have been removed, a terrace enclosed or an additional room created without the necessary approval. The cadastral plan may later have been updated, but the underlying works may still be unauthorised.

The opposite can also happen. Works may have been properly authorised, but the cadastral records were never updated.

This is why both checks are necessary.

What Kind of Problems Can Be Hidden?

Some irregularities are relatively minor and can be resolved before completion.

Others may be expensive, time-consuming or impossible to regularise.

Typical problems include:

– internal changes that do not correspond to the approved plans;
– unauthorised extensions;
– verandas, terraces or outbuildings constructed without permission;
– changes of use that were never authorised;
– missing planning documents;
– discrepancies in the size or layout of the property;
– parts of the building that cannot legally be used as living space;
– historic works for which no clear authorisation can be found.

These are not merely administrative details.

They can affect the value, use and future sale of the property.

Why the Notary Does Not Replace Due Diligence

The Italian notary performs an essential role in the transaction.

The notary verifies ownership, checks mortgages and registrations, prepares or reviews the final deed and ensures that the legal requirements for the transfer are satisfied.

However, the notary does not normally inspect the property.

The notary does not compare every room, wall, window and terrace with the plans held by the municipality. Nor does the notary usually investigate whether every alteration carried out over the years was properly authorised.

The notary also acts as an impartial public official, not as the buyer’s personal lawyer.

This means that the buyer needs independent professionals whose task is to protect the buyer’s position.

The Technician and the Lawyer Perform Different Jobs

A technician, such as a geometra, architect or engineer, should verify the physical and administrative condition of the property.

This may involve:

– inspecting the property;
– comparing it with the cadastral plan;
– accessing the municipal records;
– reviewing the original building permit;
– checking subsequent authorisations;
– identifying discrepancies;
– assessing whether irregularities can be regularised.

The lawyer has a different but equally important role.

The lawyer must evaluate how the results of those checks affect the transaction and ensure that the buyer is contractually protected.

Finding a problem is only the first step.

The next questions are:

Who must resolve it?

Who must pay for it?

Must it be resolved before completion?

Can the buyer withdraw if it is not resolved?

Will the deposit be refunded?

Can part of the purchase price be retained?

These are legal and contractual questions.

The Greatest Risk Often Arises Before the Final Deed

Many buyers believe they can wait until the notary becomes involved.

By then, however, they may already have signed a binding purchase offer or preliminary agreement and paid a substantial deposit.

This is often the most dangerous stage of the transaction.

A standard offer prepared by an estate agent may not adequately protect the buyer if planning or cadastral problems later emerge.

Without carefully drafted conditions, the buyer may discover that the property has serious irregularities but still face pressure to complete the purchase or risk losing the deposit.

The contract should therefore be reviewed before it is signed.

Where the technical documentation has not yet been fully verified, the offer or preliminary agreement should make the purchase conditional upon satisfactory due diligence.

It should also clearly regulate what happens if irregularities are discovered.

Questions Every Buyer Should Ask

Before signing any binding document, a buyer should know:

Does the property correspond to the cadastral plan?

Does it correspond to the plans approved by the municipality?

Were all alterations legally authorised?

Are there missing documents?

Can any irregularity be regularised?

How much will regularisation cost?

Who is responsible for completing and paying for it?

What happens if the seller cannot resolve the problem?

These questions should be answered in writing and reflected in the contract.

Buying a Property in Italy?

I regularly assist international clients during the purchase of property in Italy, from the initial review of the documentation and purchase offer through to the preliminary agreement and final completion.

Early legal review can help identify potential risks, clarify the responsibilities of the parties and introduce contractual protections before the buyer becomes fully committed.

When buying property in Italy, the most expensive problems are often the ones that could have been prevented by paying attention to a seemingly minor detail.

Just like a carbonara, the result depends on getting those details right.

This article is intended for general informational purposes only. It is not exhaustive and does not constitute legal advice. Each property transaction should be assessed according to its specific circumstances.

If you need legal assistance, feel free to get in touch.

Antonio Strangio
BDB Relocation and Legal