Building with purchase through donation – practical solutions
I found myself in real difficulty explaining to my foreign customers what problems you incur if you purchase a property that comes from a donation.
Here, however, I will try to leave out the legal terms and explain the situation in the simplest possible terms.
Under Italian law, there is a quota that each person has to leave in the inheritance to his family (the percentage depends on how many children you have and other factors). It is therefore not possible to disinherit the family!
There is also a quota, we imagine that it is 30%, that each person can decide to give to anyone. The remaining 70% mandatorily goes to the family.
When a person in life, decides to donate a property to another person (which is part of the family or not) this donation is considered as an anticipation of the future inheritance.
For simplicity, the share that is given in life must not exceed that part that would be for the recipient with the opening of the will. In the event that the recipient is not part of the family, therefore, must not exceed 30%, in the example we have done before.
However, this 30% should be calculated not on the assets of the donor at the time of the donation, but on what he will have at the time of his death. Practically, it is impossible to calculate in advance.
If the amount donated will be in excess of the available quota, all donations made in life are void. This sentence is to explain briefly what the law provides for the Italian, of course I am willing to explain it better when needed.
So, if you buy a house that was donated, you run the risk that the state cancel the purchase agreement (if it shall be void also the previous donation).
Assuming that you have confidence in the seller and you decide to still buy a property from the donation, knowing these risks, the bank will not deliver the mortgage.
Recently, however, it is possible to take out insurance to cover these risks:
Sure Donation the website is only in Italian and is visible at the following link http://www.donazionesicura.it/
Easy Donation the website is only in Italian and is visible at the following link https://clientportal.willis.it/DonazioneFacile-wga/
I tried to summarize briefly what are the possible problems that you can incur by purchasing a property from donation and what are the possible solutions. Of course, my advice is to consult your notary to seek clarification and to submit to him your specific case.
Please forgive me if my English level does not respect the importance of the topic discussed, for any information please write me firstname.lastname@example.org
Alice – www.ortalloggi.com