Lease agreement at a discounted rate 3+2: its benefits on saving

By opting for a lease agreement at a discounted rate, property owners can save on taxes, while tenants can benefit from reduced rental costs.

The cost of renting a home in Italy has notably risen in recent years, resulting in a peculiar situation where many properties remain unoccupied, while young families and vulnerable groups struggle to secure suitable housing. In such a scenario, leasing under preferential conditions emerges as a mutually advantageous solution for landlords and tenants alike.

What constitutes a discounted rate lease?

A discounted rate lease intervenes when housing units are vacant and standard rental prices become unmanageable, particularly for socially vulnerable demographics. This type of lease involves renting below market rates, facilitating affordable housing options.

These lease agreements are established through local agreements between landlords' and tenants' representatives, promoting stable rental conditions while reducing the risk of property vacancy for owners.

What defines a "discounted rate lease"?

As per Article 2, paragraph 3 of Law No. 431/1998, it is legally permissible to enter into lease contracts at agreed rates (also known as discounted rates) based on conditions determined locally through formal agreements between the parties' representatives.

Rent amounts are calculated according to these local agreements. The minimum duration of such contracts is three years, extendable for an additional two years (3+2 formula) as specified in paragraph 5 of the same law article.

Tax advantages for property owners

Why do property owners agree to reduced rents? The legislator has outlined several tax benefits:

Advantages for tenants

Tenants also benefit from tax deductions if the rented property serves as their primary residence:

What constitutes an attestation and when is it required?

If a discounted rate lease is executed without involvement from professional bodies (e.g., labor unions), a special confirmation (attestation) from one of these organizations is mandatory. This document confirms the compliance of the lease with the terms of the local agreement and is necessary for:

Consequently, parties can engage in a 3+2 lease agreement:

Discounted lease agreements for students

Special discounted contracts are also available for students, offering additional tax benefits.

For landlords:

For students and their families:

The duration of such agreements ranges from 6 months to 3 years.