Can a property purchased with first home benefits be rented?
This question will be answered in the following article.
The first home is never forever, more and more often those who buy their dream home find themselves (due to work or family needs) having to move to other places, "abandoning" the property they bought with so much effort.
Having reached this point, the question is legitimate:
Can I still rent it?
the answer can be found in the Ministry of Finance Circular No. 1 of March 2, 1994, paragraph 4, and Circular No. 18/E of May 29, 2013, paragraph 3.11.3
the which is specified that
The cases of forfeiture of "first home" benefits (Article 1, Tariff Part I, Note II-bis, Presidential Decree 131/1986) do not include when the buyer leases the property purchased with the benefits.
as
In fact, in such a case, there is no loss of possession of the property
a welcome relief for homeowners who can put their investment to income while benefiting from a reduction in fixed municipal house taxes.
It is clear that this aspect has also not escaped the notice of those who wish to make an investment property and do not have the housing requirement... When it comes to putting a property to income, the watchword is to minimize fixed costs and maximize income.
By now, the gap between the taxes of the first house and the second house is very large when one is approaching a purchase(2% for the first 9% for the second) so it is clear that an investor has every interest in buying with the first house tax breaks, taking advantage of a tax break even if the ultimate goal is long-term income from renting.
Do you need to rent a property in Verona? This article you will find some instructions on how to do it and, at the end, some tips to save some tax money 😉
If you want me to help you make your lease click here
