Buying Property In Calabria, Southern Italy

Real Estate business was derailed by cheap credit elsewhere in Europe and the US in the year 2009, but Italy was unaffected.. Further purchasing costs have reduced due to changes in the tax strategy of the Italian government. Recently these changes have made Italy as a great place to invest. Nevertheless, prior to entering into property purchase, it is vital to know and follow certain rules to make sure about purchasing and investing in property. The most important 10 rules are below.

- Think beyond attractive Tuscany: Italy is a country with a healthy climate and long coastline Southern Italy, with spectacular beaches and soothing climes, particularly Calabria, offers properties at a fraction of the value prevailing of Tuscany. Make a trip to Calabria and find out what appeals to you.

- Select a good real estate agent: Go for a authentic real estate agent, who holds a professional license, qualification and indemnity insurance, and is registered with a Chamber of Commerce. The agent should be a member of one or more of the following associations; AICI (Italian Association of Estate Agents), FIMMA (Federation of Mediators and Agents) or FIAIP (Federation of Professional Estate Agents).

- Select property within your budget: In Calabria, you can buy property such as good farmhouses, villas or beach resorts. You will get many choices, so select the best that fits your budget. Further, in Italy while negotiating be practical about discounts. Do not expect large discounts because maximum 10 percent is the norm.

- Don't strain while buying: Be careful when selecting the property to buy. The money and effort involved in upkeep is vital. So, go for a property that you will be able to handle after purchasing, because large properties require normal upkeep and maintenance.

- Be conversant with the buying process: Once you strike a deal with the seller at an agreed price, you have to deposit 5 percent of the price. After your surveyor and lawyer's clearance both the parties sign a contract (compromesso) accepting a timeframe to reconcile the deal. 30% next payment is essential. Going back after this stage attracts severe financial penalties for both parties. Italian bank draft is necessary to be presented in front of a Notary.

- Hire a lawyer: Unfamiliarity with the Italian legal system requires the services of an independent lawyer conversant with the real estate region. The lawyer takes all the legal formalities and adjudicate accordingly.

- Check your add-on costs: Have a clear idea of the fees and taxes to be paid. Normally 7 to 10 percent is added to the cost of resale property and 12 to 15 percent for new ones. Other costs include 3 percent to realtor, Euro 500 to 1500 per hour for lawyer and Euro 5000 for a notary. The other factors for new properties are different and the lawyer can advice you.

- Avoid banks to change currency: Italy has professional currency exchange companies, who can fix rates for future deals to protect against currency fluctuations. They also offer better rates than banks, and help you save substantial amount of money.

- Return on your investment: Once invested, what are your plans. If you plan to rent out your property, see to it that it is nearer to the transport hub and airport. A reasonable return is expected.

- Learn some Italian: In southern Italy, particularly Calabria, most people do not speak a foreign language. Even if you plan to stay in your property for a few weeks annually, learn some Italian because it will endear you to the locals.

- Learn some Italian: In southern Italy, particularly Calabria, most people do not speak a foreign language. Even if you arrange to stay in your property for a few weeks annually, study some Italian because it will endear you to the locals.