In Italy, as in many countries, real estate buying-selling is achieved after fulfilling a number of subsequent formal steps. When purchasing is carried out without the support of a professional real estate agent, a preliminary contract is drawn up and signed by buyer and seller.
When purchasing is carried out with the help of a professional real estate agent, the buyer is supported and protected against a number of unpleasant potential misdeeds that may even cause heavy money loss.

Purchase Proposal

Purchase proposal is a unilateral act by which the candidate purchaser commits him/herself to purchase a given property, offering a given purchasing price, detailing payment conditions, property transfer terms and any other relevant conditions that he/she deems relevant or appropriate to propose. The most impor-tant condition is that the property the purchaser is willing to purchase is free from seizure, impoundment, or any other constraint affecting its market value.

The preliminary purchase proposal must include a detailed description of the property that the purchaser is willing to buy, including land register identification data. The purchase proposal must include validity duration and acceptance communication terms by seller.
The purchase proposal is supplemented by a non-transferable bank check issued to property owner.

Check amount may range from 5.000,00 to10.000,00 euros, according to property value and according to set timing for preliminary contract signature or property transfer official act. This amount is usually issued as part payment of security deposit. In case of non-acceptance of purchase proposal, this amount is to be returned immediately to candidate purchaser.

If purchasing process is carried out with the support of a certified real estate agency, the candidate pur-chaser avoids a number of inconveniences or troubles that may occur when a preliminary agreement is drawn up directly without a qualified support. The real estate agency carries out all necessary assessment to verify property salability and the absence of prejudicial conditions, and gathers any other information necessary to complete the process successfully.

Upon signature of purchase proposal, the candidate purchaser receives all property documentation, to be handed to a trusted notary, who verifies and confirms the presence or absence of constraints or prejudicial conditions affecting the property. It is therefore important that the purchase proposal include a clause spe-cifying that the presence of constraints or prejudicial conditions affecting the property, verified by a nota-ry trusted by buyer, is an essential condition for not signing the preliminary contract, thus guaranteeing the repayment of any amount issued to property owner.

Preliminary Contract (compromesso)

This is a contract by which two parties, seller and buyer, undertake to transfer the ownership of a proper-ty. The preliminary contract specifies the following information: identification of parties, property details, including land register data, agreed-upon price, payment conditions, any amount paid as security deposit, property delivery terms and property official sales act timing, the latter being the final step of a buying-selling process. The document should also state the presence of any mortgage or other registrations that shall be settled before property transfer and that are not prejudicial to property transfer. In compromesso the property owner declares property conformity to fiscal and town planning regulations, and that any in-fringement of building regulations affecting property was settled.

A well drawn-up preliminary contract is an essential step to end up with a safe and trouble free property sales act. When the preliminary contract is signed by both parties, the buying party hands over to the sell-ing party a security deposit ranging from 10% to 30% of agreed-upon property price. Security deposit amount varies according to property price and timing between preliminary contract and property sales act.

Security Deposit

Security deposit is the legal means provided for by the Italian civil code to confirm the preliminary con-tract. Therefore, after security deposit payment, if buying party no longer intends to conclude the purchas-ing process through the official sales act, he/she will lose the amount paid, while the selling party will withhold the amount received as security deposit and remain owner of the property concerned. On the other hand, if after security deposit the selling party does not want or can not proceed with property sales act, he/she is bound to return to buyer a sum equal to the double of what he/she received as security depo-sit. Besides, a buying party who is not satisfied with such solution and maintains the intention to buy the property concerned may ask the intervention of legal authorities and pretend the fulfillment of preliminary contract.

Commissions

When preliminary contract is signed, sales agent is paid agreed-upon commissions. The amount received is invoiced by Centocase Srl (20% VAT to be added). The agency gathers all information that shall be in-cluded in the official sales act to be prepared by selected notary.
As is common practice for real estate agencies, Centocase Srl is paid its commissions when preliminary contract is signed. However, the agency supports customers up to official sales act signature, providing any assistance and advice, including for mortgage application.

Property official sales act (rogito)

Rogito is the formal and final sales contract concluded by buyer and seller with a notary. The con-tract formalizes the will of both parties with regards to real estate property transfer. This contract is signed in front of a notary who will thereafter register it and include it in real estate public Registry, in order for new property ownership to be publicized and made enforceable towards third parties. When rogito is concluded, property possession is transferred. Property must be free from things or people, unless otherwise agreed by parties.