If you decide to rent or buy a property in Italy, you will quickly come across the term caparra.
It refers to a deposit paid by the buyer or tenant to secure the agreement. Knowing how it works is essential to avoid misunderstandings or even scams.
What Is Caparra?
In Italian real estate transactions, the caparra is the deposit paid when signing a preliminary contract (compromesso). It shows the buyer’s commitment and gives the seller security that the deal will proceed.
• Typically ranges from 10% to 20% of the purchase price for property sales.
• For rentals, it is usually equal to 2–3 months’ rent as a security deposit.
There are two main types:
1. Caparra confirmatoria – the most common form. If the buyer withdraws, they lose their deposit. If the seller withdraws, they must return double the deposit.
Why Caparra Matters
2. Caparra penitenziale – less common. This functions more like a penalty clause, where either side can withdraw by forfeiting or repaying the deposit.
The caparra is not just a sign of goodwill. It carries legal weight under Italian civil code:
• It binds both parties to the agreement.
• It discourages last-minute withdrawals.
• It provides financial compensation if the deal collapses.
Risks and How to Protect Yourself
While caparra is standard practice, there are risks:
• Scams – Never hand over money without a written contract.
• Wrong terms – Ensure the type of caparra is clearly stated.
• Unverified sellers – Always check ownership through the Catasto and Conservatoria (land registry offices).
💡 Tip: Always pay your deposit via bank transfer, not cash. This leaves a clear paper trail in case of disputes.
What Happens Next?
• After paying the caparra and signing the preliminary contract, the buyer has time to complete due diligence (checking documents, zoning, liens, etc.).
• The caparra is deducted from the final purchase price at the signing of the rogito (the deed of sale before the notary).
Final Thoughts
The caparra is a vital element of the Italian property system. Handled correctly, it protects both buyer and seller. Handled poorly, it can lead to disputes and losses. Take your time, involve a notary, and never transfer funds without a signed agreement.
🌍 Useful Links:
Foreign Buyers Practicalities – full guide
Agenzia delle Entrate – Property Registries (official Italian tax agency with property/legal guidance)