Nuda Proprietà (Bare Ownership)

Ownership of a property stripped of the right to use it, because the usufrutto (use and enjoyment) has been granted to someone else (usually for their lifetime). Nuda proprietà can be bought, sold, or inherited. Typically, an elderly owner might sell the nuda proprieta of their home at a discount, while retaining the right to live there until death (usufruct). The bare owner becomes full owner when the usufruct ends (e.g., the life tenant passes away). The value of nuda proprietà is lower than full ownership, depending on the age of the usufructuary – the younger the usufruct holder, the longer they are expected to use the property, so the less the bare ownership is worth. The Italian tax authority provides coefficients to calculate this division of value. Buying a nuda proprietà is an investment that only gives possession later. During the usufruct period, the bare owner usually doesn’t pay expenses except extraordinary maintenance and property taxes (IMU is generally paid by the usufructuary as if they were the owner).