The pros and cons of listing a building
Posted on June 25th, 2008 in Restoring a house by david |
Advantages of listing a building
- For each restoration undertaken it is possible to apply for a government grant of between 30-50% of the cost including professional fees- usually 30% in actually given.
- 19% of the cost can be written off against tax.
- The State pays up to 6% of the interest of the mortgage related to the cost of buying a restoring listed building.
- Inheritance and purchase tax are lesser than normally the case.
- Rental income is hardly taxed at all.
- Property tax is around ¼ the normal level.
Disadvantages of listing a building
- Permission for restoration has to be received from the “Sovraintendenza delle belle arti” as well as the local Municipality.
- The listed building has to be open to the public once or twice a month (in effect more visit).
- The property is subject to a preemptive buy on the part of the state should you decide to sell. This rights has a time limit of 60 days forming the signing of deed with the private buyer.
- There are some limitations on the way in which restoration is carried out. This varies from building to building.
- The listed building must be well maintained.
- Extra volume cannot be created.
3 Responses
l’importante è avere tanta pazienza ed essere in grado di sostenere o anticipare i costi anche senza l’aiuto della soprintendenza!
Prima o poi il finanziamento arriva, questo è l’importante.
Sounds like a very good idea if the money is available. We made an application 6 months ago and still awaiting confirmation. If it is forthcoming though it is a marvellous way of restoring an historic property using other peoples money, without too much downside.
I am reliably told by somemone that works at the “Belle Arti” that the money is available but just takes time to work its way through the system. I shall enquire as to whether a bank would be willing to advance money until the grant comes through.
On the subject of listing a building, on our website we have just published a wonderful 12th Century Abbey for sale for €250K!