What happens after the award: all the steps
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What the award (aggiudicazione) means in simple termsHow it works step by stepHow long it takes to become the ownerWhat the transfer decree containsWhat happens afterwards: registration, cancellations, expensesWhat happens if the property is occupiedWhat happens if you do not pay the balanceIn practiceFrequently asked questionsSourcesAfter the award you have won the auction, but you are not yet the owner. You must pay the balance of the price (saldo del prezzo) within the deadline set in the notice, which the law sets at no more than 120 days. Only after payment does the judge issue the transfer decree (decreto di trasferimento), prepared by the sale delegate (delegato alla vendita), which transfers ownership to you.
What the award (aggiudicazione) means in simple terms
The award (aggiudicazione) is the moment when the auction closes and your name is recorded as the winner. In everyday language, people also say that you have been awarded the property. In sales without an oral hearing (vendite senza incanto), which is almost all auctions today, the award becomes final right after the bidding.
The notice of sale contains the precise rules, published on the Public Sales Portal (Portale delle Vendite Pubbliche, PVP) of the Ministry of Justice. The award price is the price you offered and won with, not the base price (prezzo base).
How it works step by step
After the bidding, the steps are almost always these, in this order:
- Award report (verbale di aggiudicazione): the sale delegate (delegato alla vendita) draws it up and you receive a copy or find it in the electronic case file.
- Balance of the price (saldo del prezzo): you pay the difference between the award price and the deposit (cauzione) already paid, within the deadline in the notice.
- Expenses fund (fondo spese): you also pay the sum requested for taxes and transfer costs, as indicated by the sale delegate.
- Transfer decree (decreto di trasferimento): the judge issues it after payment and transfers ownership to you.
- Registration and cancellations: the decree is registered and transcribed, and mortgages and seizures (ipoteche e pignoramenti) are cancelled.
- Handover of the property: you receive the keys according to the rules applying to the property.
Example. Award price: €100,000. Deposit already paid (here the notice requires 10%): €10,000. Balance to pay: €90,000, within the deadline set in the notice. Taxes and the costs of the expenses fund, which the sale delegate will tell you, are added to this figure.
Payment of the balance has a precise deadline. You can find out how it works in detail in balance of the price: by when to pay and what happens if you do not pay.
How long it takes to become the owner
The time depends on the court and the specific case, so I do not give you average figures. The rule is that the balance must be paid within the deadline in the notice, which cannot exceed 120 days from the award. The deadline cannot be extended: organise the payment, and any mortgage (mutuo), before the auction.
What the transfer decree contains
The transfer decree (decreto di trasferimento) is the measure by which the judge declares you the owner. There is no notarial deed (rogito notarile): the decree replaces the deed. In addition to transferring ownership, it orders the cancellation of mortgages and seizures and contains the vacate order (ordine di liberazione) for the property, if it is still occupied.
To understand what the document contains and when it arrives, read transfer decree: what it is, when it arrives, what it contains. You can also ask for a copy, as explained in copy of the transfer decree: how to request it.
What happens afterwards: registration, cancellations, expenses
The decree must be registered and transcribed by the sale delegate, at your expense, because you pay the transfer taxes. The mortgages and seizures are cancelled by the decree, but the physical cancellation in the registers requires further steps. The details are in transcription and change of name after the transfer decree and in cancellation of mortgages and seizures after the auction.
The notice of sale states who pays for these cancellations. Check the dedicated line, as the rule may vary: see who pays for the cancellation of mortgages.
The expenses you should expect are registration tax (imposta di registro), mortgage and cadastral taxes, plus the fee of the sale delegate for the transfer phase. You will find the exact amounts in the form and the notice: it is not possible to give valid figures for every case.
What happens if the property is occupied
If the property is lived in by the debtor or by other people without a valid title, handover is not immediate. After the decree, the court-appointed custodian (custode) normally carries out the vacate order (ordine di liberazione). The general picture is in occupied auction home: what happens and how long it takes to free it.
The keys are obtained when possession is effective. For the practical steps, read handing over the keys: when you move in.
What happens if you do not pay the balance
If you do not pay the balance within the deadline, you lose the right to the property and the deposit (cauzione) remains acquired by the proceedings, as the law provides. You may also be liable for any difference if the new sale yields less. The risk is serious, so check the dates carefully. Find out more in failure to pay the balance: do you lose the deposit?.
In practice
- Note the balance deadline stated in the notice or in the award report straight away.
- Ask the sale delegate for the exact amount of the expenses fund before making the bank transfer.
- Keep the award report and the receipts for every payment.
- Check in the electronic case file when the transfer decree is issued.
Frequently asked questions
Can I resell the house straight after the auction?
Resale is possible, but if you sell within 5 years the gain may be taxed as a capital gain (plusvalenza). Read can you resell straight away a home bought at auction? for the details.
Can I get warranties on defects in the property?
In forced sales the law excludes the warranty for defects of the thing. For this reason, the appraisal report (perizia) should be read carefully. See defects in a home bought at auction: what warranties.
What happens if the award is cancelled?
It can happen in some cases provided for by law. The picture is in award suspended or cancelled: cases and remedies.
Sources
In the same chapter
- Transfer decree (decreto di trasferimento): what it is, when it arrives, what it containsThe transfer decree is the judge's order that makes you the owner after the auction. Here is when it arrives and what it contains.
- Balance payment: when to pay and what happens if you don'tThe balance must be paid within 120 days of the award, a deadline that cannot be extended. If you don't pay on time you lose the deposit (cauzione): here is what to check.
General information, not legal or tax advice: the law and the notice of sale prevail.
