SHARE
COPY LINK

PROPERTY

Italy extends building ‘superbonus’ for home renovations

The Italian authorities have rolled on the deadline once again to access Italy's popular 'superbonus' discount scheme, giving homebuilders further opportunity to complete delayed renovations.

Italy extends building 'superbonus' for home renovations
Home renovators have more time to access Italy's building superbonus 110, following the government's announcement to extend the deadline again. (Photo by ALBERTO PIZZOLI / AFP)

Owners of single family homes will get a three-month extension to carry out building works using Italy’s ‘superbonus 110‘, the Italian government announced on Monday.

It means that those using Italy’s popular building bonus to renovate their homes will now have until September 30th to complete 30 percent of the overall works.

The extension replaces the previous completion date of 30 percent of renovations by June 30th, which presented a risk to those caught up in delays and unable to meet the deadline in time.

READ ALSO: Italy’s ‘superbonus’ renovations delayed by builder shortages and bureaucracy

The final overall date to claim the superbonus for this category of property is still December 31st, 2022.

It’s the latest extension to come for this in-demand building incentive – the last budget law had provided for the extension of the superbonus to the end of the year, extending the previous final deadline of June 30th 2022 for detached houses.

More opportunity to access the building bonus was already anticipated in the government’s latest Economic and Financial Document (Il documento di economia e finanza or ‘DEF’), which outlines the government’s economic policy and sets fiscal targets for the year.

More time for homebuilders to complete their renovation projects is aimed to ease the pressure on the building backlog. Photo: Sensei Minimal on Unsplash

The now confirmed extension to the bonus forms part of a new €14 billion decree – more than double the amount originally budgeted.

Rolling on Italy’s superbonus is one measure in the government’s new energy and investment decree (decreto energia e investimenti), including continuing cuts to excise duties on fuel, providing aid to companies hardest hit by the war in Ukraine and introducing national energy policies to reduce gas and electricity bills.

This building bonus has attracted plenty of international attention since it was first introduced in May 2020 to help restart Italy’s Covid-hit economy.

READ ALSO:

It offers homeowners a tax deduction of up to 110 percent the cost of renovation work related to making energy-efficiency upgrades and reducing seismic risk.

But the popular scheme has been marred by bureaucracy, fraudulent claims and resulting delays, leaving many property owners trying to use it concerned about whether they’ll able to finish their renovation projects in time.

This latest extension to the June deadline goes some way to easing the pressure on those caught up in the middle of works – if 30 percent of the overall renovations hadn’t been completed by the end of June, homebuilders couldn’t continue to claim the bonus until the final deadline of December 31st, 2022.

That would mean property owners would have had to either foot the bill themselves or be left with unfinished projects.

Other types of buildings have different deadlines, however.

For work carried out on condominiums and by individuals on buildings consisting of two to four separate building units (even if owned by a single owner or co-owned by several individuals), the deadline to access the superbonus is December 31st, 2025.

However, the amount you can claim drops each year – after 110 percent this year, the bonus is reduced to 70 percent for the whole of 2024 and 65 percent for the year after until December 31st 2025.

See more in The Local’s Italian property section.

Member comments

Log in here to leave a comment.
Become a Member to leave a comment.
For members

PROPERTY

Where in Italy are house prices rising fastest?

Property values are expected to continue rising overall in Italy in 2023, but the situation looks much better in some cities than others. Here's how average prices compare.

Where in Italy are house prices rising fastest?

Until 2020 Italy’s real estate market had long suffered stagnation, weighed down by a large number of old, neglected properties which were proving difficult to sell.

But the pandemic turned Italy’s property market on its head, leading to the first increase in house prices for years at the end of the first quarter of 2020.

This trend has held up since, and industry experts cautiously predict further price growth in 2023 – albeit more modest than previously hoped.

Factors putting the brakes on growth include the soaring cost of living eroding households’ purchasing power, rising mortgage interest rates, the soaring cost of building materials, and a shrinking economy.

REVEALED: Where in Europe have house prices and rent costs increased the most?

Mortgages are also expected to become more difficult to obtain in 2023, meaning fewer people able to make a purchase.

But despite the gloomy picture overall, the outlook varies significantly around the country and some cities are expected to see a significant rise in prices this year.

Milan remains by far the most expensive major Italian city for a property purchase, but prices are rising faster elsewhere. Photo by Ron Dylewski on Unsplash

A recent report from Idealista Insights, the property search portal’s research team, looked at changes in the average prices per square metre in property listings in Italy’s biggest cities.

In 2022, the price per square metre “generally increased throughout the country, with ‘exclusive’ neighbourhoods becoming even more inaccessible to the average buyer,” the report found.

But, while bigger northern cities saw rising prices across the board, most southern cities were struggling with “stagnation”, it said.

Based on Idealista’s data, here are the ten most expensive cities to buy property in Italy, in order of the rate at which prices are rising.

  1. Genoa: the Ligurian capital is Italy’s tenth-most expensive city to live in – but prices here are rising faster than anywhere else on average, according to Idealista. An increase of 4.5 percent is forecast for Genoa in 2023, meaning the price per square metre will go from 1,602 to 1,674 euros.
  2. Bologna: Bologna records the second-highest price increase in Italy compared to 2022. The citywide average price per square metre will rise by an estimated 3.9 percent, reaching 3,419 euros.
  3. Verona: in seventh place we find the city of Romeo and Juliet, where the increase in prices is substantial, equal to 3.2 percent. The average cost will rise by around 80 euros per square metre, going from 2,483 to 2,563 euros per square metre.
  4. Milan: Italy’s economic capital will easily remain the most expensive city for property purchases, with prices set to rise by 2.9 percent compared to 2022. The average price per square metre is expected to exceed 5,300 euros, 150 more than now, with significant price variation between city districts.
  5. Bari: The capital of Puglia in the south-east is set to record an price increase of 2.8 percent, with the citywide average price per square metre going from 1,909 euros to 1,962 – making it the ninth most expensive Italian city in which to buy property and the only southern city to record a significant increase. 
  6. Turin: The northwestern city can expect an overall price increase of 1.5 percent, equal to around 30 euros more per square metre for a final price of 1,979 euros on average. 
  7. Florence: The Tuscan capital still has the second-highest prices, and can expect an average price increase of 1.4 percent, with the cost per square metre to rise from 4,128 to 4,184 euros .
  8. Rome: The capital may have some highly sought-after and expensive districts, but overall average prices will remain at around 3,336 euros, up slightly from 3,360 in 2022. This is equal to an increase of just 0.76 percent.
  9. Venice: La Serenissima remains the fifth-most expensive city to buy property again this year as the average price will remain almost unchanged with a reduction of -0.3 percent, meaning the cost per square metre will be around 3,090 euros.
  10. Naples: The southern capital is set to go against the trend, with a -1.5 percent drop in house prices expected. This means the average price per square metre will go from 2,737 to 2,696 euros, a difference of 41 euros.
SHOW COMMENTS