01How much will I spend in total?
From a private seller, for a second home, count on about 7-8% of the price all in; for a first home under 5%. From a developer it can reach 15%.
Work out the costs of your purchase
On top of the price
- Taxes
- Notary, incl. VAT
- Agency, incl. VAT
- Mortgage tax
- Total outlay
Indicative estimate: notary fee based on price bands, taxes under the rules in force in 2026. The notary gives the final figures.
02Why is it cheaper to buy from a private seller?
Because taxes are calculated on the cadastral value, which in Milan is often much lower than the price.
This is the “prezzo-valore” rule, which applies when an individual buys a home from a private seller: the real price is still stated in the deed. The cadastral value is the cadastral income, shown in the land registry extract, increased by 5% and multiplied by 110 for a first home, by 120 in other cases. From a developer, VAT is paid on the full price.
| Seller | First home | Other homes |
|---|---|---|
| Private individual | 2% of cadastral value (minimum €1,000) + €100 | 9% of cadastral value (minimum €1,000) + €100 |
| Developer | VAT 4% of the price + €600 | VAT 10% of the price (22% for A/1, A/8, A/9) + €600 |
03Who pays the agency?
Both parties. In Italy the seller and the buyer each pay their own commission.
This is set by the Italian Civil Code: the estate agent is an intermediary, not the representative of one side, and is entitled to a fee from each party when the deal is concluded thanks to their work. In Milan the commission is usually 3% to 4% of the price for each party, plus 22% VAT. The rate is the one written in the purchase offer and is generally paid on acceptance or at the preliminary contract. Buyers from abroad often do not expect it: include it in your budget from the start.
04How much is the notary?
For a purchase in Milan, usually €2,500 to €4,500 plus VAT.
Fees are not fixed and grow with the price and the complexity of the deed. With a mortgage, the mortgage deed is separate and charged on top. Ask for a written quote before the preliminary contract.
05What if I buy with a mortgage?
A tax of 0.25% of the loan is added for a first home, 2% in other cases.
On top of that come the bank’s valuation and the notary’s fee for the mortgage deed.
06Can I get the first-home relief as a foreigner?
Yes. What counts is residence, not citizenship.
You must have or move your residence to the municipality within 18 months, not own another home bought with the relief, and the property must not be a luxury category (A/1, A/8, A/9). If the residence does not follow, you pay the difference with interest and a 30% penalty.
07What does it cost to own, every year?
Not due on your main home, except luxury categories. On second homes the rate is set by the municipality, and Milan applies one of the highest.
Building service charges, waste tax (TARI), electricity, gas and water.
With the flat “cedolare secca” you pay 21% of the rent on long lets; on short lets 21% for the first property and 26% from the second.