US buyer guide · Updated April 2026
Buying Property in Italy as an American
30%
of all international property enquiries in Italy come from Americans. The largest single nationality.
No restrictions
You don't need residency, a visa, or Italian citizenship. You need a codice fiscale, some patience, and a good professional team.
Step one
Get your codice fiscale.
Your Italian tax identification number. A 16-character code derived from your name, date of birth, and place of birth. Required before you can sign any contract, open a bank account, or connect utilities.
01 · Easiest
Italian consulate
Walk in or book an appointment. Bring your passport. Issued on the spot or within a few days. Free.
02
Through a lawyer in Italy
They apply on your behalf at the Agenzia delle Entrate. A few days. €100–300 for the service.
03
In person in Italy
Walk into any Agenzia delle Entrate office with your passport. Issued immediately. Free.
The difficult part
Italian bank account.
Not strictly required but practically necessary. The compromesso deposit is usually by assegno circolare (banker's draft) — issued by an Italian bank. FATCA means many Italian banks refuse to open accounts for US citizens because the compliance cost isn't worth it.
Banks that generally accept Americans
UniCredit
Largest Italian bank, has US-facing compliance
Intesa Sanpaolo
Italy's other major bank, varies by branch
International bank branches
HSBC, Deutsche Bank Italia
What you need to open
Codice fiscale
Passport
Proof of address (US driver's licence or utility bill)
Evidence of reason (proposta or property listing)
Call ahead. Don't fly to Italy and discover the branch won't serve you.
The Wise / Revolut alternative
For initial stages (small deposits, agent fees), a Wise or Revolut EUR balance works fine. But for the compromesso and rogito, the notaio typically requires an Italian-issued assegno circolare. That requires an Italian bank.
Tax obligations
Americans are taxed on worldwide income. Owning property in Italy creates US tax obligations even if you never live there.
US side
If you don't rent it out
Report the foreign bank account (FBAR) if the balance exceeds $10,000 at any point during the year. The property itself doesn't generate reportable income.
If you rent it out
Rental income taxable in both countries. Italy takes its share first (21% cedolare secca for short-term). Claim a foreign tax credit (Form 1116) on your US return. You won't pay twice on the same income.
Capital gains
Italy: no capital gains tax after 5 years of ownership. US: taxes gains regardless of timing, but you claim a foreign tax credit for any Italian tax paid.
Italian side
Seconda casa (most Americans)
9% imposta di registro on cadastral value. In Southern Italy, often dramatically lower than market value. Annual IMU tax: 0.76–1.06% of cadastral value.
Prima casa (if relocating)
2% on cadastral value. Must transfer residency within 18 months. No annual IMU. For most Americans buying a holiday home, this doesn't apply.
Full breakdown in the total cost guide.
Compliance requirements
FATCA
Automatic
Your Italian bank reports your account to the IRS annually. Ensure the bank has your SSN or ITIN.
FBAR
Threshold: $10,000
If aggregate foreign accounts exceed $10,000 at any point during the year. File FinCEN Form 114 by April 15 (auto extension to October 15). Penalty for non-filing: $10,000/account/year.
Form 8938
Threshold: $50,000
If foreign financial assets exceed $50,000 on the last day of the year ($200,000 if living abroad). Filed with your tax return to the IRS. Separate from FBAR.
Money
Can Americans get Italian mortgages?
Yes, but it's harder and usually not worth it for typical Gargano purchases.
For €50–100k properties, mortgage costs add €3–5k. Paying cash is simpler if you can.
Sending money to Italy
A 2% exchange rate swing on €100,000 is €2,000. Plan transfers at least 2 weeks before you need the money.
Bank wire (SWIFT)
Most secure. Highest fees. Worst rate.
$25–50 per wire · 2–5 business days
Wise
Good rates. Lower fees. Transfer limits apply.
OFX / FX broker
Best rates for large transfers. Requires account setup in advance.
If you can't be there
Power of attorney
procura speciale
Use this one
Limited to a specific act (e.g., signing the rogito for this property). Standard approach. Execute at an Italian consulate in the US (~$50–100) or before a US notary public then apostille and translate (€200–400).
procura generale
Overkill
Broad authority to act on your behalf in all matters. Not needed for a property purchase. Stick with procura speciale.
What most Americans get wrong
Four assumptions from the US market that don't apply.
Assuming the agent works for them.
Italian agents are intermediaries who work for both sides. They’re not buyer’s agents in the US sense. Both buyer and seller pay 3–4% commission. See who works for whom.
Expecting a home inspection like in the US.
Italy doesn’t have a standard home inspection process. The geometra fills this role but checks different things — cadastral conformity, planning compliance, title. If you want something closer to a US-style inspection, ask the geometra to include a structural assessment and systems check.
Thinking the closing is like a US closing.
The rogito is a formal public act. The notaio reads the entire deed aloud in Italian. No escrow, no title insurance, no separate closing agent. The notaio IS the closing agent, the title checker, and the tax collector in one.
Not hiring their own geometra.
The seller’s agent may recommend one. That geometra may be good. But their relationship is with the agent, not with you. Hire your own — someone whose only job is to tell you the truth about the building, even if it kills the deal.