Let’s face the costs and permits to buy a home in Italy from scratch. It’s a common fantasy to envision constructing our dream home from the ground up. However, turning that dream into reality involves a challenging process. To shed light on the complexity, we compiled a thorough guide on building a house from scratch in Italy.
Estimating Costs and Securing Permits
Using a hypothetical 100-square-meter property as an example, we’ll explore the costs involved and the necessary permits required for the project.
Budgeting and Bureaucracy: Key Considerations
Calculating the expenses for such a venture is intricate, as prices vary depending on the location within Italy, even down to specific neighborhoods. Nonetheless, we can provide an estimate of the approximate budget required. Additionally, we’ll outline the permits and bureaucratic procedures essential for building a house in Italy.
Designing the Blueprint: Choosing Location and Size
Now, onto the specifics: the house in question will be a detached dwelling, situated at ground level on the outskirts of a town or village. This choice stems from the necessity of securing land first, which is scarce in densely populated urban areas. With a planned size of 100 square meters, this property size generally meets the requirements of most individuals.
Acquiring Land: The Foundation of Your Dream Home
The initial step in embarking on the journey of building your dream home from scratch is selecting the perfect plot of land. For those without existing property, this entails purchasing a building plot. The cost per square meter varies significantly depending on factors such as municipality, proximity to urban centers or tourist destinations, and other considerations. Typically, this expense constitutes a substantial portion of the final house cost, ranging between 20 and 30%.
While building land is not categorized within the real estate classifications established by the Agenzie delle Entrate via OMI quotations, general pricing guidelines exist. In northern Italy, costs hover around 600 euros/sqm, while in central regions, it’s approximately 650 euros/sqm, and in the south, around 480 euros/sqm.
Regarding taxes, the registration tax amounts to 9% of the purchased building land’s value, not based on its cadastral value as with house purchases. Additionally, if buying from a private individual, the mortgage and cadastral taxes amount to 50 euros each. However, purchasing from a company exempts buyers from the registration tax but subjects them to a 22% Value Added Tax (VAT) on the land purchase price.
While no first-home benefits apply to land purchases, individuals constructing their own homes on owned land through a building company contract can benefit from a reduced VAT rate of 4%, calculated based on the contract value.
The Permit Process
Before diving into the building permit application, a bureaucratic process must be followed to ensure suitability for construction on the owned or intended land.
Regulatory Plan
Consultation of the Municipal Regulatory Plan (Piano Regolatore Comunale) is essential, outlining the development plan for the municipality and determining the land’s residential zoning status, a prerequisite for house construction.
Detailed Plan
Reviewing the Detailed Plan (Piano Particolareggiato) is crucial, as it indicates whether the owned plot is designated for public works or other purposes, ensuring alignment with the intended construction.
Additional Permits and Restrictions
Before submitting the building permit application, thorough consultation of the area’s Building Index is necessary to ascertain permissible construction volume per square meter of plot. Moreover, adherence to various regulations such as minimum distances between properties, Coverage Ratio, building height limitations, and road proximity requirements is mandatory.
Additional Considerations
Beyond dimension constraints, other considerations such as seismic and hydrogeological factors, Superintendence of Fine Arts regulations, and health and hygiene standards must be observed. Moreover, the cost of a geological survey, conducted by a geologist to assess terrain stability and suitability before excavation, should be factored in, typically ranging from 500 to 2,500-3,000 euros depending on complexity.
Securing the Building Permit
To obtain a building permit, entrust the design of your intended construction to a fully qualified professional. The application must be submitted to the Sportello Unico dell’Edilizia of the Municipality where the building will be located, accompanied by various essential documents:
– Stamped application following the technical office’s model
– General blueprint
– Volume calculations
– Illuminating surfaces tables
– Technical report
– Architectural obstructions report
– Conformity of installations report
– Metric calculations
– Proof of ownership
– Document evidencing payment of secretarial fees
While the cost of the building permit varies, for a new 100 sq. m. house, bureaucratic expenses typically range from 1,250 to 3,000 euros. The technician’s fee varies widely, from 750 to 3,000 euros. Urbanization and construction charges can amount to 250 to 750 euros per 10 square meters.
Construction Phase
Once the building permit is secured, construction begins, progressing through various phases:
– Excavation and foundations, costing between 10,000 and 20,000 euros for a 100 square meter house without complications.
– Load-bearing structure construction, ranging from 25,000 to 50,000 euros depending on seismic standards.
– Roofing and thermal insulation, costing 20,000 to 30,000 euros.
– Electrical system installation, complying with regulations, priced between 4,000 and 6,000 euros.
– Plumbing system for kitchen and bathroom, around 2,500 euros.
– Heating system, costing over 10,000 euros depending on technology.
– Masonry work, finishes, and connections, approximately 15,000 euros.
– Quality windows and doors, essential for insulation, totaling about 40,000 euros.
– Various utility connections (sewerage, water, gas, electricity), around 3,000 euros.
– Additional expenses include the certificate of fitness for habitability (600 to 5,000 euros), registration in the land register (1,000 to 2,000 euros), and notary fees (approximately 0.5% of property value).