Prima Casa (Primary Home)

Commonly refers to one’s principal residence, and in legal/tax context to the first home purchase benefits. Owning a prima casa has several advantages: one-time purchase taxes are reduced (see Bonus Prima Casa), and the property is exempt from IMU annual tax if not luxury. To qualify as prima casa for tax, the buyer must not own other adequate housing in the same town, must reside (or commit to reside) in the town of purchase, and the house must not be luxury category. The term also has implications in financing (banks often lend more favorably for a prima casa) and in succession (surviving spouse’s diritto di abitazione is on the family’s prima casa). Culturally, Italians value having a prima casa (often meaning an owned home to live in, as opposed to a seconda casa for vacation or investment). If circumstances change (e.g., you move and buy another home), only one home at a time is considered prima casa for benefits. Selling the prima casa within 5 years triggers a requirement to buy another and use it as primary residence within 1 year to avoid losing the earlier tax benefit.