Skip to content

Blog · Buying Process

Estate Agent Commission in Italy: Who Pays, How Much, and When

In Italy both buyer and seller pay the agent's commission, unlike the UK or US. When it falls due, how VAT applies and what buyers should budget for.

Estate Agent Commission Italy: Who Pays

In Italy the buyer pays the agent’s commission separately from the seller, and each side pays its own share. That is the part that consistently surprises buyers from the UK and the US, where the fee is either entirely on the seller or split by the seller’s instruction. The amount is agreed before the search begins, so it belongs in your budget from the first viewing.

Why do both sides pay the agent in Italy?

The structure follows from what the agent is under Italian law. By default the agent sits between buyer and seller, brings the two together, and is paid by both. The neutrality is the point: the agent owes impartiality to both sides and does not act against either one. The fee from both parties is the counterpart of that even-handed position, and it is a legal arrangement, not the invention of any individual agency.

There is a second model. A buyer can engage an agent on an exclusive buyer’s mandate, where the agent acts for the buyer alone and is paid only by the buyer. That is a different appointment from the neutral intermediary above, and it is set out in writing before any search begins. Both arrangements exist in Italy; what matters is knowing which one you are in before you make an offer.

How much is the commission?

The commission is 4 per cent plus VAT on the price actually agreed. Italian VAT (IVA) of 22 per cent is added on top. On a purchase of one million euros that is 40,000 euros in commission plus 8,800 in VAT, so 48,800 euros in total on the buyer’s side.

The base is the agreed price, not the original asking figure. When the price moves down through negotiation, the commission moves with it. The figure is fixed at the outset and disclosed before the first property is visited; no buyer learns the commission level for the first time at the notary.

When does the commission fall due?

The commission is earned the moment buyer and seller bind themselves, not at the final deed. In practice that is the acceptance of the offer or the signing of the preliminary contract (compromesso), which comes well before the notary appointment. This catches most buyers unprepared: the cash for the commission needs to be available at the preliminary stage, not at completion. How the preliminary works, and why it is the binding step in the Italian process, is set out in the compromesso article.

Only registered agents may charge

Only a registered agent may charge a commission in Italy; an unregistered intermediary has no legal claim to one. Registration is held through the Chamber of Commerce and can be verified. For the buyer this is a straightforward check: whoever invoices a commission must be registered, and that is confirmable before you sign anything.

This matters most in cross-border situations, where a foreign introducer, a fee split, or several agents may all be in the picture. Registration determines who is entitled to be paid at all, and it is worth confirming early.

The commission in the full cost picture

The commission is one line in the ancillary costs, which on an Italian purchase typically run between 10 and 15 per cent of the price. Tax and the notary make up the larger share. How those costs break down, and which tax regime applies to your purchase, is covered in the tax guide and the practical buying guide.

What the commission covers

A commission is worth what it delivers. Finding the right property, including off-market, testing the price against real comparables, running the negotiation, and coordinating the legal, tax and structural review with specialised lawyers, accountants and surveyors through to the deed. Those professionals carry out the review; the job is to bring it together, in your language.

The value shows at the point a purchase would otherwise stall: the extension that was never registered with the planning authorities, the cadastral records that do not match the actual building, the right of first refusal over agricultural land that nobody mentioned. A thorough review before the binding offer protects a sum that exceeds the commission considerably. What that technical review covers is set out in the due diligence guide, and the 7 mistakes foreign buyers make in Italy shows where things go wrong without it.

FAQ

Who pays the estate agent’s commission in Italy?

Both sides pay separately. By default the agent is neutral, sits between buyer and seller, and is paid by both, so the buyer carries a share independently of the seller. Unlike in the UK, the fee is not loaded onto the seller alone. A buyer can instead engage an agent on an exclusive buyer’s mandate, in which case the agent acts for the buyer only and is paid only by the buyer.

How much is the commission?

The commission is 4 per cent plus 22 per cent VAT, calculated on the price actually agreed. On a one million euro purchase that is 48,800 euros including VAT on the buyer’s side.

When is the commission due?

When buyer and seller bind themselves, usually on acceptance of the offer or at the signing of the preliminary contract (compromesso), not at the notary appointment. That comes well before the final deed, so the cash for it needs to be available at the preliminary stage.

Is VAT charged on the commission?

Yes. Italian VAT of 22 per cent is added on top of the commission.

Can anyone charge a commission?

No. Only a registered agent has a legal claim to one. Registration is held through the Chamber of Commerce and can be verified, which matters most when a foreign introducer or several agents are involved.

Is the commission based on the asking price or the agreed price?

On the price actually agreed. If the price comes down through negotiation, the commission comes down with it.


Andrej Avi is an estate agent in Tuscany. Buying guidance · Properties · About Andrej

Related reading: Taxes when buying property in Italy · Buying property in Italy: the complete guide

As of July 2026. General information, not legal or tax advice.

Andrej Avi
Andrej Avi

Licensed Real Estate Agent in Italy

Personal guidance for distinctive properties in Tuscany. LinkedIn

Personal guidance

Questions about this topic?

Personal, in your language.

Get in touch