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Property in Italy may be more lucrative

Current property tax changes in the Italian government may make it more advantageous for investors who are looking for second homes in this highly desirable country. The Italian property market has always been a draw to those seeking luxury estates and properties in resort areas, but it has also been costly.

The new tax allows for those that are considered non-professional investors to purchase property in Italy as a second home or holiday home and then to rent it out for at least a year. When they do so, they will qualify for a much lower rate of taxation.

The costs of purchasing property like this in the past were as high as 17% of the purchase price. Now, the costs will be as low as 4%.

As reported by Holiday Lettings, Sara Ferrara who is the managing director at Garda Homes said this about the tax changes. "The new tax laws will undoubtedly bring a resurgence of buyers back to Italian shores, which will further strengthen this market which has performed well over the last decade."

In related news, the website, Building.com has issued its take on the construction market in Italy. Construction within Italy has always been a very important tool and a driving force behind the country's economy. In the report issued this week, it outlines what the slowdown in the economy in Italy will do to the construction and property markets there. The report is compiled by Roberto Talotta who is from EC Harris.

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