Delegate's fee: who pays it
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Who the sale delegate isWhich part of the fee you payThe top-up for expenses: what you pay after winningAn example with round numbersWhat happens if the balance does not arrive on timeThe transfer decree and the cancellationsWhat to check in the noticeHow it compares with other costsIn practiceFrequently asked questionsSourcesThe sale delegate's fee (compenso del delegato alla vendita) does not all fall on you. A share, the part for the transfer stage, is charged to the successful bidder (aggiudicatario). The exact amount is in the sale notice (avviso di vendita), not in a formula to work out from memory.
Who the sale delegate is
In foreclosure proceedings (procedura esecutiva) the judge runs the procedure. However, they can entrust the sale operations to a professional delegate (professionista delegato), as provided by article 591-bis of the Code of Civil Procedure. The delegate can be a notary, a lawyer or an accountant.
With the Cartabia reform, in force since 2023, delegating to a professional has become the rule. This means that in many auctions it will be the delegate who manages the entire process, not the judge personally.
The delegate receives the offers, holds the bidding round when there are several offers, collects the price and prepares the transfer decree (decreto di trasferimento). They also handle the registration, the transcription and the cancellation of formalities, that is, of the mortgages and attachments (pignoramenti) that encumber the property. Every task takes time and expertise, and the fee is there to pay for them.
Which part of the fee you pay
The rule to keep in mind is this: a share of the delegate's fee, the part relating to the transfer stage, is charged to the successful bidder (aggiudicatario). A successful bidder means whoever wins the auction. The calculation basis is Ministry of Justice decree no. 227 of 2015, which governs the fees of professional delegates.
Pay attention to the wording. Not all of the fee falls on you, only a share, and that share concerns the transfer, that is, the stage that starts after you have won. You should therefore not read the whole fee as a cost for you.
Do not work it out from memory. The precise figures are not found in a general formula: they are given in the sale notice, and the delegate confirms them after the award (aggiudicazione). If a figure is not written in the notice, ask for it in writing before you bid.
The top-up for expenses: what you pay after winning
After the award you must pay the balance of the price (saldo del prezzo). Together with the balance, the delegate states a fund for expenses (fondo spese) for taxes and transfer charges. The fund for expenses is not a tax: it is a sum the delegate asks for in advance to pay taxes and charges linked to the change of ownership. This sum also includes the share of their fee that falls on you.
The deadline for the balance cannot exceed 120 days from the award and cannot be extended. This deadline is set by law and repeated in the notice, so write it down straight away, on the day of the award.
Ask the delegate how the fund for expenses is calculated. Keep the communication they send you, because it is the document you will rely on if the figures do not add up.
An example with round numbers
Invented example, to understand which items to add up. It is not a real amount.
- Award price: €100,000.
- Registration, mortgage and cadastral taxes (imposte di registro, ipotecaria e catastale): these are calculated separately, according to the type of purchase.
- Share of the delegate's fee for the transfer: the amount is the one written in the notice or in the delegate's communication.
- Fund for expenses: the sum the delegate states for taxes and transfer charges.
The total to pay is not just the award price, but the price plus the other items. If you compare only the price with the base price (prezzo base), you risk underestimating the figure you need. For a full overview of the items, read the guide on the complete account of taxes and costs.
What happens if the balance does not arrive on time
If you do not pay the balance within the deadline, you lose the right to the purchase. You also forfeit the deposit (cauzione), that is, the sum you paid before the auction as a guarantee. If the new sale fetches less, you may have to pay the difference.
That is why the fee should be included in the account from the start, not discovered at the end. To understand step by step what happens after winning, read the guide on what happens after the award.
The transfer decree and the cancellations
After the balance, the judge issues the transfer decree (decreto di trasferimento). It is the document that makes you the owner and orders the cancellation of the mortgages and attachments. In auctions there is no notarial deed (rogito): the decree takes the place of the purchase deed.
The costs of cancellation vary depending on what the notice says. Who pays these items must be read in the notice, because it can change from one procedure to another. To find out more, read the guide on cancellation and transcription costs.
What to check in the notice
The sale notice is the document to start from. To find the right item:
- search for the words «compenso» (fee) and «spese» (costs) in the part of the notice dedicated to the sale and the transfer;
- check whether the notice says which part is charged to the successful bidder and with what amount;
- check the deadline for the balance and the amount of the fund for expenses, if stated;
- note the date of the award, because the 120 days start from there.
If the text is not clear, the question to ask the delegate is simple: «how much of your fee is charged to the successful bidder, and how does it enter the fund for expenses?».
How it compares with other costs
The delegate's fee is a single item. Taxes, cancellation costs and, if the house is occupied, the costs of vacating it add up. For this reason it is best to start from the overall account. If you want to see the hidden items that often get missed, read the guide on the hidden costs of an auction.
In practice
- Read in the sale notice which part of the sale delegate's fee is charged to the successful bidder, and look for the amount stated.
- Calculate the total to pay by adding the taxes and the fund for expenses to the award price, not just the price.
- Note the 120-day deadline for the balance, which starts from the award and cannot be extended.
- Ask the delegate how the fund for expenses is calculated and keep their answer in writing.
Frequently asked questions
Is the delegate always a notary?
No. The judge can appoint a notary, a lawyer or an accountant. The role and the basic rules are the same, whatever their profession.
If I don't win the auction, do I have to pay the delegate's fee share?
The transfer share concerns whoever wins and reaches the transfer stage. If you do not win, you do not pay it. Any other items, if provided for, are written in the notice.
Is the fund for expenses a tax?
No. It is a sum the delegate asks for to pay taxes and charges linked to the change of ownership, and it includes the share of their fee that falls on you. It must be paid together with the balance, within the stated deadlines.
Sources
General information, not legal or tax advice: the law and the notice of sale prevail.
