Published On: Maggio 17, 2023Categories: Legal503 words2,5 min readTags:

When it comes to buy property in Italy Legal Due Diligence represents the necessary and very first initial step to do in order to avoid unpleasant surprises before any offer to purchase is placed in. Hiring the service of a trustworthy Italian Lawyer providing independent legal advises is certainly the ideal decision to go through a stress free process and being sure to rely on the support of a professional making his Client very best interest.

Legal due diligence is the process of collecting, understanding and assessing all the relevant documents and information related to the property transaction; it confirms the right value of the property, highlights the potential risks involved into the transaction and so help setting the right buying strategy; it’d be surprising how determinant could be the result of the analysis when it comes to estimate the value of a property (besides its mere market price).Ideally it should be committed before presenting any Offer to Purchase or formally entering the negotiation (i.e. LoI); nevertheless it can be carried out also in a second phase, so immediately after the “conditioned” Proposal of Purchase would be accepted by the Vendor. The whole process itself involves a complete analysis of the documentation, and in particular includes:

a. Title search: the legal check of the title of ownership and its history

b. Mortgage inspections: making sure there are no prejudicial inscriptions, debts of burdens against the property

c. Building Compliance: the respect with the city planning, environmental, urban and cadastral regulations; It mainly refers to the existence of the proper authorizations (i.e. building permit, certificate of habitability, building legalization, building amnesty, etc) confirming the regularity of the construction and the conformity to its proper legal use (Residential, Office, Retail, Industrial, agricultural, etc.) with the current urban planning/construction regulations.

d. Cadastral checks:  It consists in checking the cadastral regularity of the property through land registry searches, cadastral plans and official graphic representations.

e. Property status of occupancy: it refers to the status of the possession/detention of the property, and in particular carrying out the formal checks about the existence of any occupancy title (i.e.. lease agreements, contract of use of premises, etc).

f. Energy Certificate (APE): The certificate of energetic efficiency (APE) is mandatory for each transaction; at the end of the Legal Due Diligence process the Consultant has to make sure that the property has one; if not it is necessary to make it; it is a document typically provided by the seller (and at his expenses).

Structural/Installations/Security Due Diligence

In some case it is also required to check the  structural conditions of the property, its static and the level of security that the structure has.
Also it is important to get the certificate of compliance of the installations (water, electic, heating, air conditioning, etc). Due Diligence dealing with security instead is made up of the verification of documents to do with the carrying out of security regulations (i.e. fire prevention certificate, anti-seismic conditions).

Recent News & Events

  • Published On: Maggio 24, 2023

    Due to the last decade financial recession (2007-2016) and the latest Reform approved by the Government (2015 and ss.), property investors discovered how interesting and convenient could be this alternative way to buy real estate in Italy. There are two types of property auction in Italy: Vendita con incanto and Vendita senza [...]

  • Published On: Maggio 24, 2023

    Buying a property is an important step in everyone's life. The house is, in fact, a place that reflects our personality and our passions. As far as style is concerned, there are those who prefer the timeless charm of old houses and those who prefer the essential and clean lines [...]

  • Published On: Maggio 24, 2023

    Do you want to buy a home in Italy but do not know where to start? Whether your desire to purchase a property in Italy has been with you for as long as you can remember or is a recent urge, turning that dream into a reality can seem daunting. The [...]

  • Published On: Maggio 24, 2023

    Luxury properties in Milan always on the crest of the wave The Milanese residential real estate market is expected to close in 2022 with an estimated growth of over 27,000 total sales of used and new homes, equal to +1.5% on 2021. The prime real estate sector, i.e. luxury, located [...]

Share This Post, Choose Your Platform!