There are various different reasons why a property goes to judicial auction in Italy. The private citizen is unable to pay his creditors who therefore take legal action to recover the credit by attacking the debtor’s property. In the event of distress, companies go bankrupt and thus sell their assets. The divestment of public assets where the entities to ensure maximum transparency sell their assets through auctions.
For the success of the operation it is essential to be assisted by professionals, such as lawyers and technicians, in order to verify the presence and possible sanitization of building abuses from the appraisal and other documents made available, also for the purpose of the success in the case of taking out a mortgage.
Generally, those who buy at the auction must have the full amount requested, without prejudice to any price decrease better described below. Generally, there is a time between 60 and 90 days from the day of the award, but also 120 days. As already mentioned, there is the possibility of taking out a mortgage, but it is necessary to organize in time and contact the affiliated banks that offer specific products for this type of purchase. Payment for the award must take place before the transfer decree that assigns the property to the new owner. Therefore the bank must make the requested sum available before being able to take out the mortgage on the property. It is therefore advisable to arrive at the auction with a pre-resolution on feasibility.
There are thousands of pending auctions at the various Italian courts, which is why we select the properties that we believe are the most interesting according to certain criteria, making them known to our customers who show interest (to register fill the form below). This is a further advantage, also because, with the recent legislation, the judge has the right to foresee that starting from the 4th deserted auction, the price can be further reduced by 50%.
Following the reform through Law 132 of 2015, real estate auctions take place almost exclusively with the “sale without enchantment” (vendita senza incanto) procedure – that is, without bids, at least in the first phase – according to which the bidder, or his lawyer of trust, submits its offer in a sealed envelope which will not be considered effective if it is more than 1/4 lower than the base price indicated in the notice of sale. Any information relating to the goods for sale can be acquired through the dedicated portals that advertise the goods at least 45 days before the deadline set for the submission of offers. The procedures for participating in an auction are different in relation to the Court concerned and the type of sale.
Another fundamental aspect is the release of the property in case it is occupied. From the verification of the notice of sale, it will be possible to understand whether the release is fixed at the time of the award or at the signing of the transfer decree by the judge. In any case, even if this is not immediately possible, other measures permitted by the legal system will be adopted to take possession of the property.
Interested in having assistance to buy homes in Court Auctions in Italy? Fill the form below!