Italy among the cheapest countries in the world to buy a house (2024)

FAQs

Is Italy cheap to buy a house? ›

Because properties in Italy are so cheap, many people can afford to buy outright. Aside from the legal bureaucracy that comes with buying a home abroad (legal fees can be up to €3,000), there's very little to hold the deal up – if you have a good agent who speaks English, or a translator, that is.

Cheapest Country to buy a house: house prices around the world. There are some countries which have managed to maintain an affordable housing market throughout the pandemic. In 2022, Vietnam was ranked as the most economical destination for first home buyers by the Annual Global Retirement Index.

Abruzzo. Compared to Tuscany and Umbria, Abruzzo is the cheapest region to buy a property in Italy. There are numerous property options, from beachside apartments to inland farmhouses and historic palazzi. Abruzzo's inland countryside is full of picturesque towns and ancient Roman ruins.

There are no restrictions for foreigners who want to buy properties in Italy. However, the Italian authorities have the power of making some verifications of criminal records and other aspects.

Is it expensive to live in Italy? Italy is one of the cheapest countries to live in. In fact, Italy is the 4th cheapest country in Western Europe.

Property prices in Italy as of 2018 hover between 1,780 and 1,898 euro per square metre (m2), which is equal to between 165 and 176 euro per square foot (sq ft).

According to the report, Bermuda is the world's most expensive place to live. Switzerland ranks second on the list (and it's definitely not the only European country), followed by new entrant the Cayman Islands, Bahamas, and Barbados.

Portugal is the easiest European country to buy property in. Those who wish to purchase property in Europe can purchase commercial property under Portugal's Golden Visa scheme.

Living in Italy is significantly less expensive than living in the U.S. The simplest reason is that housing and health insurance costs are much lower. But it doesn't stop there.

Are there still $1 houses in Italy? ›

You'll find €1 houses for sale on websites such as 1eurohouses.com, case1euro.it and property-in-sicily.estate as well as on individual local government websites such as the Comune of Sambuca's or Citta de Troina's in Sicily.

Buying a house in Italy: costs

Buying a house in Italy as an American may be cheaper than choosing a property in Spain, Portugal or another European country — but you'll still need a budget. Here's the lowdown.

U.S. citizens may enter Italy for up to 90 days for tourist or business purposes without a visa. All non-residents are required to complete a declaration of presence (dichiarazione di presenza).

Visa-free travel to the EU and Schengen Area.

Investors and their family members with residence permits in Italy may visit the Schengen countries without a visa and stay up to 90 days out of 180 days.

Living in Italy as an American

Living in Italy as a US citizen is possible if you have the right permit. There are 2 types of residence permits in Italy: 1. Permesso di Soggiorno: a temporary, renewable residence permit with varying durations of validity.

While a visa is unnecessary if you're merely visiting Italy from the U.S., you'll need to apply for one in order to gain permanent residency. You will also have to provide proof of sufficient retirement funds with which you can support yourself.

Can expats retire in Italy? Yes, everyone can retire in Italy. Non-EU citizens need to apply for an Elective Residency Visa, also known as Italy Retirement Visa. EU citizens can freely relocate to Italy.

Lazio is the most popular region

Lazio, which includes Italy's capital Rome, is home to some 2,800 Americans, making it the most popular region among US nationals.

Latest data on Wages (EUR/ Month)

Average Wages in Italy increased to 2475 EUR/ Month (2678.658 USD/Month) in 2021. The maximum rate of average wage for employees was 2502 EUR/ Month and minimum was 1176 EUR/ Month.

Is it smart to buy property in Italy? ›

Taxations. One of the advantages of buying a home in Italy is extremely low taxation compared to the US's tax, for example. If the home you buy is your primary residence (you live there for more than six months a year), you will pay NO PROPERTY TAXES!

The least affordable was Miami, where the median-priced home costs $598,000 and would require a monthly payment of $3,183 to cover mortgage and taxes — more than 85 percent of the local median household income of $44,581 (or $3,715 a month). Los Angeles and New York followed — no surprise given their steep home prices.

Pakistan tops the list of the cheapest countries in the world, with a cost of living index of $294. Sri Lanka and Nepal come in second and third on the list, with cost of living indexes of $316 and $385 respectively. Several African countries also feature on the list of the cheapest countries in the world.

1. Sweden. Sweden is the top country in 2022 best quality of life rankings. The country stands out in the ranking of quality of life for health systems and well-developed public education, security, economic stability, and politics.

If you can handle the cold, Germany and the Netherlands are two of the most popular countries for expats, both offering international communities and unique residency options. Switzerland: Although many European countries offer a better quality of life than the U.S., Switzerland takes the cake.

The top three countries for American expats are Mexico, Canada, and the United Kingdom, which are all popular for their proximity to the States and lower cost of living.

What is Italy's minimum wage? ›

Italy has no minimum wage but protects workers through collective agreements.

If you'd rather cook at home, you'll find it a very budget-friendly choice. For basic pantry staples, milk costs about USD$4-$4.90 per gallon, eggs are USD$2.56-$3.12 per dozen, chicken is USD$3.58-$4.38 per pound and rice is USD$0.80-$0.98 per pound.

The average rent price in Italy is 800 EUR (880 USD) a month. However, this is just the average—you will find rental prices to range from 490 to 1,550 EUR (540 to 1,700 USD). Below is a table with monthly rental prices by region, from most expensive to least expensive.

One of the key reasons for buying a property in Italy is to rent it out as a holiday home. Here we look at some of the ways you can benefit from renting out your Italian property. You can take advantage of a booming market.

1 euro houses in Italy FAQs

People frequently ask: "How much does it cost to renovate a 1 euro house?" To renovate a house bought for 1 euro requires at least 20,000 euro per house, taking into account the guarantee, the costs of professionals and renovation work.

Can Americans buy property in Italy and do I need citizenship? Absolutely yes, many Americans buy Italian property and you do not need citizenship. You can buy as a resident if you qualify and intend living there, or as a non resident. Many Americans think citizenship is needed but this is not the case.

Well, the last table «Quality of Life Comparison Between Spain and Italy» showed that the quality of life in Spain by many similar parameters is higher than in Italy.

Portugal is cheaper than Italy, particularly when it comes to eating out. Overall, Portugal is a cheaper place to buy and rent property, however some parts of Portugal (like Lisbon) are above average in terms of cost.

Buying or renting depends on future plans

Another key point when choosing to rent or buy is your personal and professional plans. Are you planning to move? Does your job require you to change cities often? If the answer is yes, renting is the best option; buying a house, on the other hand, is a long-term commitment.

Italy makes it possible for people who can sustain themselves financially without working to move to Italy through the Elective Residence visa.

Is it hard for an American to move to Italy? ›

The easiest and simplest way to “move to Italy” as an American is by utilizing the Uniform Schengen Visa, which allows US citizens to stay in the Schengen Area of Europe for 90 days in a 180 day period. And United States citizens don't have to do anything extra to get this type C visa.

Americans must have an entrance visa which should be obtained at an Italian consulate before coming to Italy, in order to remain in Italy more than three months and gain resident status. This procedure will take several weeks to complete so it is advisable to apply well in advance of the departure date.

You have to apply for a residence permit for Italy regardless of the reason you want to live there, like work or study. Permesso di Soggiorno translates to “permission to stay”, because it is the document that you need to obtain in order to be allowed to stay in Italy long-term.

Permanent Italian residence permit

Regardless of your country of origin, you are eligible to apply for a permanent residence in the country after 5 uninterrupted years of residence in Italy. The permanent residence permit is also referred to as an EU Long Term Residence Permit.

US expats in Italy need to be aware of two different national tax systems. First, virtually all US citizens are required to file an annual US Federal tax return, regardless of whether they live in the United States or Italy. Second, by living in Italy, American expats also can be subject to Italy taxation.

Irsina in 2023 is an expat heaven of mostly retirees and American migrants living the rural Italian dream. More than 15 families from the US and Canada have bought old properties in this remote village, known for its premium wheat fields and olive groves.

For the median U.S. home price, in Italy you can buy a home up to 2.75 times larger than in the U.S.

What are the costs of buying a property in Italy? The main costs when purchasing a property in Italy are notary fees, taxes and estate agents commission – and collectively they do not make it the cheapest place in Europe. Allow 10 to 20% of the purchase price for fees, taxes and costs.

In conclusion, purchasing a property in Italy appears to be a good investment due to number of reasons including the major financial advantages to buying at the moment.

Campania. The dramatic, volcanic slice of coastline around Naples, close to Pompeii and the Amalfi Coast has some €1 properties for sale in places like near-abandoned Pietramelara, which recently has been home to just 15 families.

How much does it cost to retire in Italy? ›

You will also have to provide proof of sufficient retirement funds with which you can support yourself. More specifically, these annual income requirements are $35,000 (at time of writing) for individuals and $42,920 (at time of writing) for married couples.

Other pros to making Italy your new home is that you'll be able to eat fresh and wholesome food every day, have access to a topnotch education system, good public transport, gorgeous scenery, and a rich culture and history. Essentially you'll be living where many Americans only dream of having their ideal vacation!

Home owners in Italy pay property taxes to the Comune. The tax components together are called IUC, Imposta Unica Comunale.

Italy is often referred to as one of the best countries in the world to retire to for various reasons, from a relaxed lifestyle to large expat communities in some areas, not forgetting the Mediterranean climate, high quality of life and the incredible food and wine culture that Italy has to offer.

Apparently, due to large waves of immigration to the New World over hundred years ago followed by natural disasters, crumbling economies and a demographic problem, there are thousands of abandoned houses and even whole deserted villages and towns all over Italy.

The small Italian town of Maenza, just outside Rome, is selling around 100 homes for little more than $1. The only thing they want in return? A promise that they'll be renovated within three years.