OUR INITIAL RECOMMENDATIONS

Here are some recommendations to take into consideration when starting a mortgage application in Italy:

1) Some Italian credit institutes provide the client with a financial pre- approval. This communication does not have to be confused with a final approval, as it represents only a first financial evaluation related to the client’s creditworthiness.
To obtain a final approval, the due-diligence on the property, i.e. survey on the property and notary title search, has to be completed.

2) We suggest you to be cautious in signing the preliminary purchase agreement. Specifically, if the mortgage approval is necessary for finalizing the purchase, add a suspensory clause, i.e. final mortgage approval, to the preliminary purchase agreement.

3) Verify that the property was built/renovated respecting the building regulations.

4) Verify that the current indoor and outdoor structures of the building are coherent with the cadastral plans.

5) Mind that a donation as title on the property in the last 20 years may be risky for both you and the bank. For this reason, it could even affect the mortgage approval.

6) In presence of any other constraints of the Italian Ministry of Cultural Heritage, the final mortgage approval could be received only after 60 days since the notification of the purchase. This can lead to a greater risk for the client, who has to pay the whole purchase amount before getting the final mortgage approval.