From preliminary contract to deed: closing a sale in South Tyrol
Between the handshake and the change of ownership there are four documents and several weeks. Here is what they are and what to watch in each.
The purchase offer
It is the first written step: the buyer commits, the seller does not, until they accept. From acceptance, though, the offer becomes a contract in full, and what is written in it binds both sides.
Things to read before signing the acceptance: the deadline for completion, the way payment will be made, any condition tied to the buyer's mortgage — with the date by which the bank must decide — and the list of what stays in the property.
Confirmatory or penitential deposit
Two similar names, two very different effects. The confirmatory deposit is the rule: if the buyer defaults the seller keeps it, if the seller defaults they must return double, and either side can still sue for performance. The penitential deposit is instead the price of a lawful withdrawal: whoever walks away pays that sum and the other side can claim nothing more.
For a seller the confirmatory kind is almost always preferable, and the type belongs in the text in plain words: a preliminary contract that says only “deposit” opens an argument exactly when you want none.
The preliminary contract and its protection
The preliminary contract fixes everything the deed will later carry out: price, deadlines, the state of the property, the documents the seller will hand over, who pays what. It can be a private agreement or made before a notary; in the second form it can be made known to third parties through the land register, which is the option that best protects the buyer when months pass before completion.
The Bolzano Chamber of Commerce publishes a model preliminary contract: a good starting point for seeing which clauses must not be missing.
Deed, handover, registration
At completion you sign before the notary, the balance is paid, the keys change hands and the documents are attached — the energy certificate among them. The notary then files the land registry application and the judge issues the decree of entry: that is what transfers ownership.
Two practical points for a seller: time the handover of keys consistently with the balance, and remember the utility transfers and the notice to the condominium — nobody does those for you.
In short
- An accepted offer is already a contract
- Write down which kind of deposit: confirmatory or penitential
- A mortgage condition, with a date
- List what stays in the property
- The energy certificate is attached to the deed
- Ownership passes on registration, not on signature
The questions we are asked most
Can I accept an offer and keep showing the house?
No. On acceptance the deal is concluded and you are bound: continuing to negotiate with others exposes you to liability. If you want to keep an alternative open, it is arranged beforehand in the offer, not after signing it.
The buyer's mortgage falls through: do I keep the deposit?
It depends how the condition is written. If the contract says that failure to obtain finance by a certain date unwinds the agreement, the deposit is returned. If there is no such condition, or it has lapsed, the position is different. Which is exactly why the clause is read before accepting.
Official sources
Note
This guide is general information written by an estate agency. It does not replace advice from a notary, an accountant or the surveyor handling the property. The rules cited are those in force at the date of publication.
Read next
The land register: what changes when you sell in South Tyrol
It is the most important difference between selling here and selling in the rest of Italy, and the one almost no national portal explains. Worth understanding before you sign anything.
Agency mandate and commission: what you are signing
It is a short contract that decides a great deal. Worth reading calmly, and worth knowing which questions to ask before signing it — including of us.
What selling costs: the expenses that fall to the seller
The good news is that the heaviest part — registration tax and the notary's fee for the deed — falls to the buyer. But there is still a list of items worth knowing beforehand, not after.
Would you like to know what your property is worth?
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