Green Building Incentives in Italy: how to make your home greener in 2020

We discuss all the incentives to encourage greener homes, from “eco-bonuses” to green mortgages

How to make your home greener in 2020 / Gtres
How to make your home greener in 2020 / Gtres
13 January 2020, Redaction

An eco-sustainable or “green” house is a property that has low energy consumption and low management and maintenance costs. There are many new class A or B buildings on the market at affordable prices, but even those who already own a home can take action to make their home more environmentally friendly by taking advantage of the various green building incentives in Italy that have been extended for 2020. Let's see what they are.

Eco-bonuses for energy saving

The best-known incentive is without a doubt the eco-bonus for the energy upgrading of your property. It is an income tax (IRPEF) deduction with variable rates ranging from 50% to 65% (up to 75% in the case of condominium works) for interventions aimed at improving the energy efficiency of your home. The 2020 budget law in the Italian parliament has extended the eco-bonus for this year as well.

Renovation bonuses for building redevelopment

The renovation or restructuring bonus is a 50% tax deduction that is obtained for the following: extraordinary maintenance, restoration and renovation work carried out on individual building units and common parts of condominium buildings. Also in this case, the Budget Law 2020 has provided an extension for the year 2020.

Furniture bonuses linked to renovation work

The furniture bonus is a 50% deduction for the purchase of furniture and new household appliances with class A+ (or class A for ovens) and has also been extended to 2020. Enviornmentally friendly renovation work with a maximum expenditure of 10,000 euros only includes charges for the purchase of furniture and appliances in buildings where the following work has been carried out: ordinary maintenance, extraordinary maintenance, restoration and conservative restoration, building renovation or reconstruction work necessary because the building has been damaged as a result of exceptional circumstances.

The "green bonus”

Introduced in recent years, but absent from the 2020 budget law, the green bonus should however be recovered in the “Decreto Milleproroghe” (the Milleproroghe Agreement). The green bonus is a 36% deduction for the following interventions: landscaping of uncovered private areas of existing buildings, building units, fences, irrigation systems, the construction of wells, the construction of green roofs and roof gardens. You can take advantage of the green bonus for a maximum expenditure of 5,000 euros for a property unit which is equivalent to a maximum deduction of 1,800 euros, always divided into 10 installments.

Green mortgages for efficient and safe buildings

The "Energy Efficient Mortgages Pilot Scheme" is a European pilot plan to which several Italian banks, including Unicredit, have adhered. This scheme aims to make so-called "green mortgages", i.e. low-interest loans for the construction or purchase of an ecological house or for the improvement of the energy efficiency of an existing house, more accessible.

The new "facade bonus" for 2020

The facade bonus is a 90% deduction for interventions aimed at recovering or restoring the external facade of buildings, but only if they are located in zone A (old town centres) and zone B (totally or partially built areas).

Wood and LED lighting

Sometimes simple changes, such as the choice of LED lighting in your home, make for a significant energy saving in the bill, or the choice of wood as a material for windows and doors can help to make your home more ecological.

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