What happens to a tenant if he fails to pay his rent for like two months and his Landlord take him to court but the tenant was unable to turn up in court. The warranties most frequently given by the seller relate to: (i) powers of the seller to enter into the transaction; (ii) the nonexistence of charges and encumbrances other than those registered at the land registry; (iii) tenancy status and validity of the main conditions of the lease; (iv) compliance with applicable planning rules; (v) compliance with environmental legislation; (vi) regular payment of any applicable property tax; (vii) validity of property insurance policies; and (viii) the absence of legal disputes or court proceedings affecting the property. How much? The liability of the seller regarding elements not known to it can be mutually agreed among the parties in the contract. The typical agency in a big city such as Milan, Rome or Turin will require the following as the first payment: two months of rent as a commission; two months of rent as deposit, which is refundable; and the first month rent. “Law benefits and protects Landlords over Tenants, Creditors over Debtors, Lenders over Borrowers. To offer a short-term rental in Rome one must ensure they are in accordance with national regulations before they: Register at the online SUAR of the city of Rome. 13.1 Please briefly explain the nature and extent of any regulatory measures for reducing carbon dioxide emissions (including any mandatory emissions trading scheme). The contract must contain some mandatory information on the property, including: (a) the cadastral identification; (b) the confirmation of consistency between the cadastral data and the effective conditions of the property; (c) the permitted use of the property; (d) the titles on the basis of which the buildings existing on the property were built; (e) the allegation of the energy performance certification; (f) the allegation of a seismic compliance certification (not yet applicable on a general basis); (g) the means of payment used to pay the price; and (h) the identification of the broker which has intermediated the transaction (if any). Obtain your CIR code from the Latium region. In case the tenant assigns the lease, it remains jointly liable with the assignee for any unpaid costs related to the period before the assignment. The usufruct is recorded in the land registry and can be validly opposed by any third party. The Italian Civil Code allows a buyer to challenge the validity of the contract or to claim for a reduction of the price in case the seller has willfully omitted to disclose elements which may affect materially the value of the property. 392/1978; ■ major leases (i.e., where the annual rent exceeds Euro 250,000), for which the parties may freely negotiate departing from the mandatory rules of Law no. De Tullio Law Firm – Italian Inheritance and Real Estate Law Firm. Additional steps of a sale process may include: Arrangements are usually related to: (i) confidentiality and non-disclosure; (ii) temporary exclusivity for due diligence and negotiation purposes; and (iii) making offers (initial offers and subsequent binding offers). ICLG - Real Estate Laws and Regulations - Insurance companies, added-value funds and Italian private pension institutions are also a main equity player in Italian real estate. Secondary markets are highly considered for logistic, tourism and hospitality assets. 8.2 What are the main methods by which a real estate lender seeks to protect itself from default by the borrower? The following mandatory provisions apply to residential leases: a) the initial term cannot be less than four years, renewable for four-year periods (the initial term may reduce to three years, with a renewal of at least two years, for leases that comply with local agreements aimed at containing rent increases); b) rent increases are ordinarily limited to 100% of the annual consumers’ inflation index; c) at the end of the initial term the landlord may avoid the renewal only in limited circumstances: direct use of the premises for living purposes; refurbishment of the building; the tenant has another house available in the same Municipality; the landlord intends to sell the premises provided that he does not have other properties available; and provided that he grants the tenant a right of first refusal. In particular, in 2014, the City of Milan introduced, with the local planning system, the obligation to obtain, for all buildings with more than 50 years, the certificate of static suitability (“CIS – Certificato di idoneità statica”), which is becoming mandatory in case of sale of the property. Please give examples. by long use)? Title transfers on delivery of the real estate to the buyer, which normally occurs (unless agreed otherwise) when a notarial deed is signed. 1.1 Please briefly describe the main laws that govern real estate in your jurisdiction. The fees for obtaining the relevant permits are defined locally by municipal authorities and normally include: (a) a contribution for urbanisation works strictly related to the project; (b) a contribution for more general urbanisation works; and (c) a fee remunerating the allowed surface of the building. In some cases the seller engages consultants to conduct a pre-sale technical assessment of the property, aimed at assessing its compliance with zoning, building and environmental regulations, compliance with the cadastral data, and investigating any existing encumbrances. Pursuant to the Italian Civil Code, a seller is always liable in case it has wilfully omitted to provide information to the buyer which could be relevant for the determination of the price or even for determining the decision to buy. As a general rule, the lender with a secured loan needs to start a foreclosure proceeding, where the main step is the public auction of the asset. 2) request the competent court to assign the shares for payment, until the debt is paid, based on an estimate to be carried out with an expert’s report by an expert appointed by the court. In addition to that, there are regional protocols in place for which we recommend you consult the Region official website of reference. Driving licences issued by any of the EU Member States are valid throughout the European Union, including Italy. In the absence of registration the title cannot be opposed to bona fide third parties which may have validly acquired and registered a title on the asset. In some regions of North-Eastern Italy a somehow different registration system applies (“sistema tavolare”), which is managed by the local provincial authority. Private ownership of land must be registered. Legal advisors provide legal support and draft the legal documentation in major transactions, while in minor transactions it is common for the parties to engage directly with the notary. Insurance and other related documents must be kept in your rental car at all times. 3.2 Are there any scenarios where the right to land diverges from the right to a building constructed thereon? Those relating to zoning and environmental should be listed in response to question 12.1. 8.7 What actions, if any, can a borrower take to frustrate enforcement action by a lender? In some circumstances, negotiations are directly executed between the parties’ lawyers and advisors. 8.8 What is the impact of an insolvency process or a corporate rehabilitation process on the position of a real estate lender? (+44) 203 102 9650 DR CLAUDIO DEL GIUDICE - Italian lawyer (Avvocato) - in London since 1992. Transactions on commercial centres and shopping malls have somehow slowed down, as investors are focusing more and more on those commercial centres that are modernising their business model. Mortgage and cadastral taxes can also apply on a fixed nominal basis in case the transaction is subject to VAT. 7.2 Is the seller under a duty of disclosure? The parties may also agree that the seller is released from any liabilities, other than in case of lack of title (“evizione”). 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