An Investors Guide To Italy
Topics: italy, investmnent property, international investment
Italy, a founder member of the EU, is a relatively young country which was only unified as a nation in 1861. It has land borders with Austria, France, San Marino, Slovenia, and Switzerland while the Vatican City is a separate state within Rome.
The country’s long coastline, stretching some 7,600km, has contributed to problems with immigration control. Besides deep rooted problems, such as the need to import most raw materials, the country is also plagued by corruption and crime.
The economy is divided by the industrial north and less developed and poorer agricultural south. The latest OECD report assessment of the country reported that exports and investment activity rose markedly in the first half of 2004, ending a protracted slump. GDP growth of between 1.5 per cent and to 2 per cent was forecast for 2005-06 although ‘inflation could start to rise again’.
As in much of Europe, property prices have been rising. According to the Royal Institution of Chartered Surveyor’s European Housing Review 2005, the housing market has been on ‘a sustained upward swing for five years’ (following a seven year period of recession in which prices fell by over 20 per cent). Last year ‘agents were reporting that market activity was still brisk - although it had fallen below its peak’.
Most Italian property is sold as freehold although Italian property law recognises various other property rights and tenures. Usufruct is a right to use the property of another for a fixed period but not to change its nature.
Leasehold rights, which may be for a fixed period of 20 years or more or in perpetuity, allow the lessor to use the property as if he or she were the owner, subject to a requirement to improve the land and pay a rent. Building rights entitle the holder to construct a building on land belonging to a third party, or maintain a building standing on land belonging to a third party.
Building rights may be for a limited or unlimited period of time, but if for a fixed period, ownership of the building reverts to the owner of the land on their expiry.
Italian property transfer processes have some similarities to France. Based on land registration, the state regulated process involves both purchaser and seller using the same state appointed notary to complete the transaction.
The process begins with a formal and nominally binding offer to purchase arranged through an estate agent. If accepted during the set period of the offer, this is followed by a preliminary contract signed by both parties (at which point a deposit will be paid). Finally comes formal completion.
The notary, in front of whom the completion documents must be signed, will verify that the documentation is correct, that the property is free from registered encumbrances and checks the identities of the parties involved. Searches beyond what is included in the registry are unlikely to be exhaustive.
The notary also collects the taxes and duties involved. These vary between Non-resident property purchasers are treated differently to resident purchasers in a number of ways. In particular they will be obliged to pay higher registration fees, although residence can be claimed within a fixed time subsequent to the purchase.
Total fees and charges are likely to amount to between 5 per cent and 20 per cent, including estate agents fee, if applicable, registration fees or VAT if a new property, and the notary’s fee. Fees in the order of 8 to 10 per cent are also payable on sale of a property.
Some charges are based on the registered value of the property, which is likely to be less that the actual purchase price. This also applies to local property taxes, the amount of which varies from region to region. The Imposta Comunale surgli Immobili is paid by both resident and non resident owners - although the amount is halved for property that is not habitable. In addition there are likely to be charges for local services.
Italian taxation is undergoing reform. From the start of 2005 personal tax rates have been set on a graduating scale ranging from 23 per cent to 39 per cent, with a 4 per cent supplement for income in excess of 100,000 euro.
Property owners are obliged to file annual tax returns but are only taxable on income arising in Italy. However, there tax is levied on the notional rental value of the property (based on its registered value) whether or not it is rented out.
Both residents and non-resident property owners are subject to Italian inheritance law and tax. But the good news is that currently there is no capital gains tax to pay on property gains.
This and a wide selection of featured articles focusing on popular investment destinations from around the world can be seen at www.fly-2let.co.uk.
Previous Articles Highlighter:
Forex Currency Trading Is A Path To Quick Riches And Long Term Prosperity (1)
Currency trading for profits is all about numbers and no place on earth generates more numbers on a daily basis that the Forex markets. To capture that data and process it a currency trading system is essential.
Credit Card Consolidation Loans (2)
This is also a way to simplify your debt and keep a better control on what you owe. Martin writes about business and finance. You can read more of his work by visiting cardconsolidationcredit.com.
Learning To Trade Forex- Part 2: Videos (3)
Forex courses are the key to online forex trading. A forex trading education is personal endeavor that is tailored to fit your situations. Find one that works for you.
Answering Your Money Management Questions (4)
Credit scores begin to plummet and your way of life begins to take a turn for the worse. There is hope though. In this article we will discuss money management and how it can help improve your life.
Your Credit Repair Questions Answered (5)
Everyone has a credit score. It can be high or it can be low. Most individuals start building their credit when they turn eighteen. If you do not practice money management you can ruin your credit score quickly.
The Truth About Life Insurance (6)
Any policy is a contract with requirements on both parties involved. But the unfortunate thing about this is most people think of it as a commodity. It is like going to your local convenience store or grocery and buys whatever you need.
The Forex Software System Trading Which Will Help Me Improve My Trading Decisions And Cash Flow (7)
Instead of looking for software at this point you should be concentrating on Forex educational courses. A Forex software system trading can and will significantly help collect data, sort it and distinguish what is relevant.
Who Benefits From Your Life Insurance (8)
The main reason why you make sure that the life insurance companies you are searching and getting quotes is you need them to be there when you need them. What is the use of getting insured if when the time comes for you to cash or avail of what you paid for, the company is no longer there?
Tips For Novice Real Estate Investors (9)
When these things happen go back to your original plan, re-examine the situation and create a new plan with the necessary adjustments in mind. The key is in sticking to a plan the entire time and never throwing the plan out the window and flying by the seat of your pants.
Save Money At The Grocery Store (10)
Groceries are very expensive these days and prices are going up every day. All these high-rising expenses are because of changes in our economy. There are however, things you can do when you get to the grocery store to make sure you save money and still get enough to eat.
Do You Have The Irish Millionaire Mindset - Do You Want It? (11)
So what is it about Sean that makes me so sure that he will continue to prosper, and will conceivably become even more successful and wealthy. Its pretty much a judgement call on his mindset.
The Great Bailout Stall, Part VII Taking Responsibility (12)
They care nothing about the people they claim to be concerned about. They care only for themselves. But I'm also optimistic, because I know, from my mail and e-mail over the years, that there are millions of people who really do cherish liberty above all other objectives, and who, if armed with the facts, would be willing to fight to the death for the cause of liberty.
Why Dentist Disability Insurance Is Essential (13)
To pay off expenses, they often have to sell the practices at below-market prices. But most professionals do not want to sell their practices simply because of a temporary illness or injury.
How To Make Money In Ireland Now That The Property Market Has Crashed! (14)
So when you sit down later on to think about how exactly you can best take advantage of the current economy, remember the unique benefits of this fantastic country and plan to make your fortune.
Tips Of Finding The Right Cashback Credit Card (15)
Try to compare this card at the comparison websites so that you can get the right cashback credit card that will have the best ARP and rewards. Charles Bretz is a Financial Advisor and Author on Money Matters.
Methods To Calculate The Credit Card Charges (16)
However if there are some outstanding balance left from the date of purchase and is not paid in full then, they will charge full interest based on it. You should always remember that after the card swiping shopping spree you have to pay back to the issuers.
Bankruptcy And Your Credit Score (17)
Make sure the payment history is reported to the three major credit bureaus and you always pay your bills on time. A bankruptcy record will not stay in your credit report forever.
The Secret To Rebuilding Your Credit (18)
Make sure that you are paying all of your accounts on time. This is important, but even more so is understanding the ratio of your balance and limit on the cards.
Why Is Life Insurance Important To Us? (19)
There are thousands of companies who are offering such policies and who are standing by ready to provide you with a quote for such a policy; wanting to cover you from day one.
Stock & ShareTrading Tips For NSE (20)
Derivatives are usually used to reduce risk that the value of the underlying asset will change unexpectedly. Because the value of a derivative is contingent on the value of the underlying asset, the notational value of derivatives is recorded off the balance sheet of an institution, although the market value of derivatives is recorded on the balance sheet.
Newer Articles Highlighter:
An Investors Guide To Germany (1)
The terms and conditions of the final contract - which must be signed before a notary (who acts for both sides) are for agreement between the parties. Buyers need to employ their own lawyer, should have contracts translated if necessary, and are recommended also to employ a tax accountant.
The Forex Program Best Suited For Your Needs Can Vary Based On Your Anticipated Trading Style (2)
Not to worry, there are some exceptional Forex training courses for each approach that will put you on the path to making a nice return on your investment in a rather quick fashion.
Learning To Trade Forex- Part 1: Books (3)
Learn forex using forexstrategysecret.com's many posts and articles. Forex trading systems seem complicated and confusing at first but with the right forex training you will be surprised at what you can do with the knowledge gained.
An Investors Guide To Morocco (4)
The population of some 33.2m is relatively young, a third being aged under 15. Morocco has an association agreement with the EU, its main trading partner, which envisages establishment of a free trade area between the EU and Morocco by 2012.
How Issac Newton Can Make You A Better Foreign Currency Trader (5)
Too many forex traders, and especially intra-day forex traders, seem to forget this basic idea of trading with the trend. It is a simple probability that the price of a certain market will continue moving in the path of least resistance and sustain its momentum until there is sufficient buying or selling pressure to change this momentum.
The Great Bailout Stall, Part IV: A Bad Dream (6)
The only way for things to get better is for government to get out of the way and stop making them worse. I say: My fellow Americans, ask not what your country can do for you, but what you can do for yourself.
The Three Different Types Of Forex Traders: Which One Are You? (7)
Conversely, if you decided that being a position trader was the best route for you and you were willing to hold positions open for days at a time or even a week or two, then a 9-pip spread on an exotic currency cross may not seem like such a big deal since you might be aiming for a profit target that is larger than 200 pips.
Important Information About Unsecured Credit Cards (8)
You should also remember not to keep applying for credit cards as it can cause further problem in your credit score. There are also secured credit cards which are simple to understand as they are secure.
Prepaid Cards Are A Safe Alternative (9)
Visa credit card Thus, a person can find the right card for himself or also for his friend and family. This is one of the convenient way with which a person can buy online visa prepaid cards.
Online Forex Trading Is The New Hot Wave And Its Time To Jump On And Enjoy The Ride To Prosperity (10)
If you are considering jumping in and attempting to catch the wave to riches the time has never been better and you prospects for success have vastly improved when compared to the novices that joined the markets when they were first deregulated in 1997.
Things To Know Before You Start Investing In Real Estate (11)
In property investing, a high-risk property is defined by the individual assessing the risk. Generally speaking, this has been commonly associated to properties that have little capital growth in the present and are located in risky areas that are also called "emerging markets", "low cost markets" or "bottom markets".
Budgeting 101: A Beginner's Guide (12)
A budget is a plan, a map of the financial future. It should include salaries, bonuses, bills, insurance, savings, and other expenditures. It should be divided into wants and needs and should be organized as a line-item list, with each item categorized and accounted for.
Can Trading Profit And Trading Fear Go Hand In Hand? (13)
So where does fear fit in on the scale of useful emotions for traders? Fear does not allow for firm and rational decision making. When you introduce fear into the equation, all of the information may line up that indicates a perfect trade.
How The Estate Planners Help An Individual Or A Company? (14)
The planners can offer the companies and the individuals with some of the strong resources in order to help them achieve the best estate planning solutions for their respective circumstances.
Criteria For Obtaining The Student Credit Card (15)
Kinds of student credit cards There are two main options that you may choose when it comes to a student credit card. They are the secured and unsecured cards.
What Is Secured Credit Card? (16)
Mentality It's not only people having poor credit that opt for a secured credit card. Certain people opt for secured credit cards due to the reason that they do not wish of bothering themselves with bills with respect to credit cards.
Estate Attorney Detailed Preview (17)
If the person or his relative needs an attorney with legal and financial experience in business law, taxation law and in estate planning, he can contact the online attorneys. Charles Bretz is a Financial Advisor and Author on Money Matters.
Types And Ways Of Life Insurance (18)
Topics: Bankruptcy, Loans, Foreclosure, life Insurance, Payday Loans, Debt Consolidation Charles Bretz is a Financial Advisor and Author on Money Matters. Get your Free Money Guide, visit www.themoneypage.org
How To Search Car Insurance (19)
Topics: Bankruptcy, Loans, Foreclosure, How To Search Car Insurance, Payday Loans, Debt Consolidation Charles Bretz is a Financial Advisor and Author on Money Matters. Get your Free Money Guide, visit www.themoneypage.org
The Importance Of Real Estate Lawyers (20)
Only an experience estate lawyer can get the good value of your property. When you select always check out their backgrounds and past performances. Charles Bretz is a Financial Advisor and Author on Money Matters.