Buying a property in Italy does not always mean buying the immediate right to live in it, rent it out or use it as a holiday home.
Some properties are sold with an existing usufruct (usufrutto), a right of residence (diritto di abitazione) or another right held by a third person. In those cases, the buyer may acquire the legal ownership of the property while someone else retains the right to occupy or use it.
This is usually described as buying bare ownership (nuda proprietà).
It can be a legitimate transaction and, in some circumstances, an attractive opportunity. But it is not a standard property purchase. The buyer must understand exactly what they are acquiring, who retains the right to use the property, how long that right may last, whether the property is occupied, who pays which costs and what happens when the right ends.
Before you sign an offer or pay a deposit, the property title and the right affecting it should be reviewed in writing.
Govoni Law assists foreign buyers purchasing property in Italy. We review title, encumbrances, documents and contractual terms so buyers can understand the legal position before becoming committed.
What Is Usufruct in Italian Property Law?
Usufruct is a real right that allows a person — the usufructuary (usufruttuario) — to use and enjoy a property that is legally owned by someone else.
Under Article 981 of the Italian Civil Code, the usufructuary has the right to enjoy the property and draw its benefits while respecting its economic purpose. This can include living in the property and, depending on the circumstances, renting it out and receiving the income.
The person who owns the underlying property without the immediate right to enjoy it is called the bare owner (nudo proprietario).
The essential distinction is:
| Right | What it normally allows |
|---|---|
| Full ownership | Own, occupy, use, rent and sell, subject to ordinary legal limits |
| Usufruct | Use and enjoy the property, usually including occupation and income |
| Bare ownership | Own the property and sell the ownership interest, but not occupy or enjoy it while usufruct continues |
| Right of residence | Occupy the property within the limits of the right, usually more limited than usufruct |
The exact terms must always be checked in the title deed and land-register records.
Bare Ownership and Usufruct: What Are You Actually Buying?
When buying nuda proprietà, you are not usually buying an immediately available home.
You are acquiring the ownership interest that will become full ownership when the usufruct ends, provided that the relevant legal requirements and records are in order.
Until then, the usufructuary may normally retain the right to:
- Live in the property.
- Use the property.
- Receive the benefits generated by it.
- Rent it out, where the right and circumstances permit.
- Exclude the bare owner from ordinary use and occupation.
The bare owner may normally retain the right to:
- Own the underlying property.
- Sell the bare ownership interest to another person.
- Protect the ownership interest against unlawful acts.
- Become full owner when the usufruct legally ends.
- Carry out actions that are legally compatible with the usufruct and do not interfere with the usufructuary’s rights.
A bare owner should not assume that ownership means immediate possession.
If your purpose is to move to Italy, retire in the property, use it as a holiday home, rent it out now or begin renovation works immediately, a property subject to usufruct may not suit your needs.
Can the Usufructuary Live in or Rent Out the Property?
In many cases, yes.
The usufructuary’s right is not limited to physically staying in the home. Article 981 of the Italian Civil Code gives the usufructuary the right to enjoy the property and its benefits, while preserving its economic destination.
In practical terms, this may mean that the usufructuary can:
- Occupy the property as their home.
- Allow family members to live with them.
- Rent the property to a tenant.
- Receive rental income.
- Use gardens, land, outbuildings and facilities included in the right.
- Continue the ordinary use of the property.
The buyer should verify whether the property is:
- Occupied by the usufructuary.
- Occupied by a tenant.
- Vacant but legally unavailable to the bare owner.
- Subject to a registered lease in addition to usufruct.
- Used by relatives or other third parties.
- Subject to a right of residence rather than full usufruct.
The fact that a property appears empty during a viewing does not mean that the buyer can take possession after completion.
What Happens When the Usufructuary Dies?
A usufruct granted to a natural person normally ends at the death of the usufructuary. It may also end on expiry of a specified term, through renunciation, through merger of usufruct and ownership in the same person, after twenty years of non-use, or through total destruction of the property in the circumstances set out by law.
When the usufruct ends, the bare ownership and usufruct reunite. The bare owner then becomes full owner.
But the buyer should not rely on assumptions about timing.
A life usufruct is linked to a person’s lifetime. No buyer can predict that period with certainty. The age and situation of the usufructuary may affect the market value of the bare ownership, but they do not create a guaranteed date for possession.
The buyer should also check:
- Whether there is one usufructuary or several.
- Whether the usufruct is held jointly.
- Whether the right ends on the death of the first usufructuary or the last surviving usufructuary.
- Whether the usufruct has a fixed term.
- Whether the title includes special conditions.
- Whether the right has been correctly registered.
- Whether the property is also occupied by tenants or third parties.
Usufruct, Right of Residence and Lease: Do Not Confuse Them
A property may be occupied or unavailable for several different reasons. These rights do not have the same legal effect.
Usufruct
Usufruct gives the holder a broad right to use and enjoy the property. It may include the ability to occupy it, rent it out and receive income.
Right of residence
A right of residence is generally more limited. It may allow a person to live in the property, usually within the needs of that person and their family, but it does not necessarily grant all the powers associated with usufruct.
Lease
A tenant’s right derives from a rental contract. A lease may have a fixed term, renewal rights, termination rules and protections that need separate review.
Informal occupation
A family member, former partner, caretaker, neighbour or other occupant may be living in the property without a clear registered right. This still requires attention. Vacant possession should never be assumed from a verbal assurance.
Before buying, establish exactly which right applies, who holds it, whether it is registered and what it means for actual possession.
Can You Renovate a Property Subject to Usufruct?
Not freely.
The usufructuary has the right to enjoy the property. The bare owner cannot carry out works that interfere with the usufructuary’s rights or change the property in a way that prevents ordinary use.
The position can be particularly important where a buyer plans:
- A full internal renovation.
- Structural works.
- A roof replacement.
- A pool or garden project.
- Extensions or changes to the property.
- Conversion of an annex.
- Works intended to prepare the property for immediate use or rental.
The buyer must distinguish between ordinary maintenance, extraordinary maintenance, urgent works and renovation works that require agreement, legal analysis or technical authorisation.
Responsibility for expenses can depend on the nature of the work, the title deed and the applicable legal rules. A buyer should not assume that the usufructuary will bear every cost simply because they occupy the property, or that the bare owner can enter and carry out works whenever they wish.
If renovation is central to your purchase decision, make sure you understand:
- Who has possession.
- Whether access is possible.
- Which works are needed now.
- Which works may be postponed.
- Who must pay for ordinary and extraordinary maintenance.
- Whether the usufructuary will cooperate.
- Whether the property’s legal and technical documents support the intended project.
Can You Sell a Property Subject to Usufruct?
A bare owner can generally sell the bare ownership interest.
However, the buyer of that interest acquires it subject to the existing usufruct. The new buyer does not receive a greater right to use or occupy the property than the previous bare owner had.
This affects marketability and value.
A future buyer will need to understand:
- The identity and age of the usufructuary.
- The duration and terms of the usufruct.
- The property’s condition and maintenance position.
- Whether the usufructuary occupies or rents the property.
- Whether there are other restrictions, leases or third-party rights.
- The difference between the market value of full ownership and bare ownership.
A discounted price may be justified. But it is not automatically a bargain. The buyer is taking on a delayed-use asset, not purchasing a fully available home.
Buying a Property Occupied by a Family Member
Usufruct often appears in family arrangements.
For example, parents may transfer bare ownership to children while retaining a life usufruct. A surviving spouse may have a right of residence. A family member may occupy a house under an inheritance arrangement, a lease or an informal understanding.
In these situations, the buyer must avoid assumptions.
Ask:
- Is the person in the property the usufructuary, tenant, heir or informal occupant?
- Is the right registered in the land records?
- Does the person have a formal right of residence?
- Are there other family members with rights?
- Is there a succession, donation or inheritance issue affecting the property?
- Is vacant possession possible now, later or only after a specific event?
- Does the contract clearly state what is being transferred?
A person living in the house may have rights that are not visible during a standard viewing. Those rights must be established through title documents, land-register searches and the contractual documents.
What Must Be Checked in the Title and Land Registry
Before making an offer, a buyer should request and review the relevant documentation.
For a property subject to usufruct or another right of occupation, this should include:
- The title deed or deeds (atto di provenienza).
- Land-register searches showing ownership and registered rights.
- The deed that created the usufruct, if separate.
- The full identity of each usufructuary or right holder.
- The terms and duration of the right.
- Evidence of whether the right is for life or fixed-term.
- Cadastral certificates, plans and property descriptions.
- Information on current occupation and any existing leases.
- Condominium documentation, if applicable.
- Details of ordinary and extraordinary expenses.
- Planning and building documentation.
- The proposed offer, reservation agreement or preliminary contract.
- The payment schedule and completion date.
The buyer should also establish whether the property has any other encumbrances, including mortgages, judicial liens, rights of way, leases or inheritance-related issues.
A complete title review matters because usufruct is only one possible restriction on ownership.
How Usufruct Affects Price, Timing and Future Use
Usufruct affects the economic value of the property because it separates ownership from immediate enjoyment.
The value of bare ownership is normally lower than the value of full ownership. The difference can depend on factors such as:
- Market value of the full property.
- Age of the usufructuary in a life-usufruct arrangement.
- Number of usufructuaries.
- Duration of the right.
- Property condition.
- Rental status.
- Expected maintenance costs.
- Restrictions affecting future renovation or use.
Tax valuation rules use coefficients linked to the age of the usufructuary and the legal interest rate, but those fiscal values should not be confused with the property’s real market value or with the buyer’s individual tax position.
The practical question is not simply whether the property is cheaper.
It is whether the price reflects:
- The inability to occupy or rent the property immediately.
- The uncertainty of a life usufruct’s duration.
- The property’s maintenance needs.
- The risk of an additional lease or occupant.
- The limits on renovation.
- The long-term value of waiting for full ownership.
Legal Due Diligence Before You Sign
A property subject to usufruct may be a suitable purchase for the right buyer. It may also be completely unsuitable for someone who needs immediate use, retirement accommodation, rental income or the ability to renovate.
Before you sign or pay, legal due diligence should establish:
- What right the buyer is acquiring.
- What right is retained by a third party.
- Who can occupy, use or rent the property.
- Whether the right is for life or fixed-term.
- How and when the right ends.
- Whether the property is occupied or leased.
- Whether title and land records are consistent.
- Which costs and maintenance obligations apply.
- Whether the proposed contract correctly protects the buyer.
- Whether the price and transaction structure reflect the actual legal position.
What Govoni Law Does for Foreign Buyers
Govoni Law assists foreign buyers considering property in Italy, including homes offered as nuda proprietà or subject to usufruct, right of residence, leases or other third-party rights.
Depending on the transaction, our Full Legal Due Diligence may include:
- Review of title and ownership history.
- Land-register checks for usufruct, mortgages, liens and other encumbrances.
- Review of the deed establishing the usufruct or right of residence.
- Review of occupation and lease documentation.
- Review of cadastral, planning and building documents.
- Identification of documents or technical checks still required.
- Review or revision of an offer, reservation agreement or preliminary contract.
- Written advice in English on the legal position and buyer risks.
- Coordination of legal points with the notary and other professionals through completion.
The objective is simple: ensure that the buyer knows whether they are acquiring a home they can use now, an asset that will become available later or a transaction that should not proceed on the proposed terms.
Your Next Step
If you are considering a property in Italy described as nuda proprietà, subject to usufruct, occupied by a family member or affected by a right of residence, do not assume that ownership means immediate possession.
Before signing or paying, send us:
- The listing and full property address.
- The proposed offer, reservation agreement or preliminary contract.
- The title deed and available land-register documents.
- Details of the usufructuary, occupant or right holder.
- Any lease, succession or family arrangement connected to the property.
- The proposed payment schedule and timeline.
We will assess what you are being offered, what rights affect the property and whether Full Legal Due Diligence is appropriate before you commit.
A lower price can be an opportunity. It should never be a substitute for knowing exactly what you are buying.