Obtaining a Mortgage LoanApplication for a mortgage loan
However, there are still few ltalian lenders willing to grant mortgage loans to non-residents; this is one of the main reason why it is wise to hire a ltalian law office to help the non-resident purchaser in this process. The A&B Law Firm maintains a close working relation with many of Italy's leading financial institutions, with whom we have been serving our international clientele for many years.
Firstly, it is useful to note that an Italien mortgage can be issued not only in euros but also in another language (e.g. US dollars or pounds). There are several cost involved in the mortgage process: Mortgages enrolment fee; expert fee (when a mortgage is enrolled to purchase a real estate, the EIB commissions an expert to prepare a valuation report that gives the real estate a value on the mortgage basis); mortgage tax; cost of insurances and translations, if necessary.
Odds of obtaining a mortgage depend on a number of factors, such as Amount of the loan applied for; as a rule, bank does not pay more than 60/70% of the sale amount according to the valuation report drawn up by the expert commissioned (see above); citizenship of the claimant; A&B law office may propose to its customers the most appropriate bank when requesting the mortgage.
After approval of the request, the mortgage agreement, if the mortgage was applied for to purchase a certain real estate, is simultaneously concluded before the notary with the signature of the definitive document on the transfer of title to the real estate. As a rule, an employee of the bank participates in the session and makes the cheque available to the vendor (in the amount of the mortgage granted).
Italians usually grant a mortgage that can last from 5 to 30 years; italians usually approve a mortgage application for an amount of at least 50,000 euros; a mortgage cannot be rasped for an amount that pays 100% of the real estate costs (the mortgage can pay up to 70/80% of the sale price); if the mortgage claimant is over 70 years of age, italians usually ask for the signing of another (younger) claimant who is co-responsible; in general, mortgage loans are awarded for the acquisition of real estate.
Nothing on this site should be construed as a binding declaration of any kind regarding the laws and practices of Italy. None of the authors nor the editor are liable for the results of any action taken on the information provided in this abstract or for any error or omission.