How to apply for a loan in Italy to buy a property?

Here are the key points:

1) Normally, the evaluation time for this type of loan is longer.
In fact, the paperwork is always sent to the central departments and undergoes a more in-depth evaluation process.
At least one and a half months is usually required for the evaluation; in addition to this time, we must also consider the time needed for the appraisal, for the opening of the account and for the technical and notarial report: in the end, we can easily reach two and a half months to definitively conclude the purchase transaction;

2) It is a good rule to present income documents accompanied by an official translation by a technician elected by the consulate of reference.
This implies an additional cost to the application for the loan that the customer must keep in mind (the cost is directly proportional to the number of pages translated);

3) The customer opens a bank account with the bank that grants the loan, and transfers to that account the monthly amount of funds necessary to cover the mortgage.
The costs of an Italian bank account with a traditional credit institution range from €0.00 (for online accounts) to €5.00 per month for accounts supported by a branch in the area;

4) The bank also evaluates self-employed / entrepreneurs, however, due to restrictive credit policies, employees are always preferred (according to the banks are easier to frame from the point of view of creditworthiness).
This does not preclude self-employed to apply for a loan, especially if can prove/track good incomes;

5) For this type of mortgage, an intervention not exceeding 50% is always preferred. In other words, the bank will be willing to grant the credit on condition that it does not exceed half the price. Sometimes, if in the presence of very significant incomes or of long-term employees, one can reach even the canonical 70% or 80% (each application will be, however, evaluated case by case, and the bank will always have the last word);

6) The customer must always provide an email and a valid phone number;

7) The operation must always be accompanied by Italian tax code. No bank on the national territory can proceed without an identification of the customer through this code.
It is an absolutely essential step (how to get a Tax Code in Italy);

8) The customer must always bear in mind that if the case should not be successful, the bank will not require costs or expenses; in this sense, the customer carries out an operation at very low risk (he will actually only have to bear the costs necessary to obtain the documents and the necessary translation);

9) In order to minimize the risks associated with a refusal of credit, it will always be advisable to make a pre-qualification of the customer. In other words, it will be necessary to meet the client (in person or via Skype) for an in-depth interview in order to obtain all the information necessary to assess his creditworthiness.
A favorable response from the consultant may emerge from the interview.
Beware though!
The favorable response of the consultant does not coincide with the official resolution with which the loan is approved. It is only a professional opinion.
An authoritative but indicative opinion, still subject to the final judgment of the bank.
On foreign customers, unfortunately, it is not possible to have a predetermination of credit without actually starting the procedure.

For Italian customers, however, this opportunity exists since some major credit institutions are equipped to issue official decrees, limited in time, with which the customer can face serenely a purchase proposal.
In all these cases, the property’s valuation will provide definitive confirmation of the decision. For these official pre-feasibility operations, without the presence of a property identified by the client, the response time is around 20 days;

10) The customer must always be informed that the credit resolution issued by the bank is formed on the basis of two components:
the credit agreement issued on the client’s profile and the technical and legal agreement issued on the property.
It is important to understand well this point because you might think that, in view of the credit resolution only, you could enter into commitments with third parties, while instead, it will be appropriate to wait for the property, subject to purchase, to be evaluated from a technical and legal point of view;

11) Another fundamental thing is that the notary must always be certain, during the process, that the customer understands correctly what is being read.

Therefore there will be the need to verify that the customer understands the Italian language or, in the absence of this requirement, that there is a person who can translate in real-time what is read.
This person must be identified in time and, presumably, paid for.
The cost must, therefore, be added to the shopping list of the loan.

As you probably understood, applying for a loan in Italy to purchase a property is possible under certain requirements.

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