# Auction starting price and market value: how to compare them

> Why the auction starting price is not the market value and how to use an estimate to assess an opportunity.

Source: https://immobilscan.it/en/guides/auction-base-price-vs-market-value · By the ImmobilScan editorial team · Published June 5, 2026, updated October 25, 2026

## In short

The auction starting price (prezzo base) is the starting value set by the judge on the basis of the appraisal report (perizia). Market value is the most likely price in a voluntary sale. At the first attempt they are close, because the court-appointed appraiser (esperto stimatore) starts with the market and applies the reductions in art. 568 c.p.c. After each failed auction, the starting price can fall by up to one quarter, and after the fourth failed attempt by up to one half (art. 591 c.p.c.). To assess whether it is worthwhile, compare the minimum bid (offerta minima) with an updated estimate, after taxes, fees and work.

## What is the auction starting price?

The starting price is the starting value set by the judge based on the appraisal. When an auction fails, the starting price is reduced for subsequent auctions, usually by between 20% and 25%. The law permits a reduction of up to one quarter at each attempt and, after the fourth failed attempt, up to one half of the previous starting price (art. 591 c.p.c.). The judge or sale delegate (delegato alla vendita) decides the exact percentage, which appears in the notice of sale (avviso di vendita).

After several attempts the starting price can fall well below the initial appraisal, creating potential opportunities but also signaling problematic properties.

This guide concerns property enforcement proceedings (procedura esecutiva). In judicial liquidation (liquidazione giudiziale, formerly bankruptcy), the liquidation program sets the rules on reductions, attempts and vacating (art. 216 CCII); public bodies' notarial auctions follow the notice of sale (see [notarial auctions](https://immobilscan.it/en/guides/notarial-auctions-public-asset-sales)).

The same listing contains four easily confused numbers:

| Number | Who sets it | What it represents |
|---|---|---|
| Appraised value | The appraiser, in the report | Market value adjusted for forced sale conditions |
| [Starting price](https://immobilscan.it/en/property-auction-glossary#prezzo-base) | The judge, for each attempt | The sale's reference price; at the first attempt it usually matches the appraisal |
| [Minimum bid](https://immobilscan.it/en/property-auction-glossary#offerta-minima) | In enforcement proceedings, the law (art. 571 c.p.c.); in other sales, the notice | The threshold below which a bid is invalid |
| Market value | No one, officially | What the same property would be worth today in a voluntary sale |

In property enforcement proceedings a bid can be up to one quarter below the starting price (art. 571 c.p.c.): this is the minimum bid. With a starting price of €140,000 the minimum bid is €105,000. In insolvency proceedings and tax collection sales the notice governs, and the minimum bid often equals the starting price.

A bid between the minimum and starting price is valid. If you are the only bidder, the law allows it to be accepted. It is not accepted when the delegate sees a serious possibility of selling at a higher price in a new attempt, or when a creditor has requested assignment (art. 572 c.p.c.). The guide to [minimum bids and increments](https://immobilscan.it/en/guides/minimum-bid-judicial-auction) explains the details.

With 25% reductions at each attempt, by the fourth attempt the starting price is already 42% of the initial appraisal. Not every court applies the maximum, and months pass between attempts: the full reduction scale and when waiting may be worthwhile are in [failed auctions and price reductions](https://immobilscan.it/en/guides/failed-auction-price-reduction).

## Why it differs from market value

The starting price comes from an appraisal that may be old, and subsequent reductions follow the logic of the proceedings, not the market. The appraisal also uses its own criteria, which are not always aligned with current actual sale prices.

A blind comparison between starting price and market value can therefore mislead: an independent, updated estimate is needed.

The law itself brings the appraisal below market value. Art. 568 c.p.c. requires the appraiser to start with market value and state each adjustment: the reduction for the absence of a warranty against defects, zoning regularization costs, condition and maintenance, possession, restrictions not canceled by the sale, and unpaid condominium fees (spese condominiali). The report gives the market value before adjustments and the percentages applied: this is the page's most useful information. [How to read an appraisal](https://immobilscan.it/en/guides/how-to-read-auction-appraisal) helps you find them.

Three reasons also make an auction price structurally lower than market value, even for a perfect property:

- **No warranty** (art. 2922 c.c.): defects discovered later are your responsibility.
- **Strict deadlines**: the balance is due within at most 120 days, and vacating may follow the decree.
- **Uncertainty**: you know less about the property than after three visits and a technical inspection.

The starting price is therefore the starting point of the proceedings, not a measure of value. Two apartments with the same starting price can have very different market values.

## How to compare correctly

To decide whether an auction is a real opportunity, compare the starting price (or minimum bid) with an updated estimate of the local micro-area's market value, adjusted for the property's condition, then subtract additional and renovation costs.

- Estimate market value from the OMI micro-area and the property's characteristics.
- Compare it with the starting price and minimum bid.
- Subtract procedural costs, taxes, vacating and work.
- Assess the remaining margin against the risk.

An imaginary example: an 85 m² apartment in an area where, hypothetically, [OMI values](https://immobilscan.it/en/guides/omi-property-values-explained) for residential dwellings in normal condition range from €1,700 to €2,300/m². It needs renovation and is on the third floor without an elevator. Even after work you would place it in the middle of the range, at €2,000/m², or about €170,000. The starting price is €110,000, the minimum bid €82,500, and you decide to bid €92,000.

| Item | Amount |
|---|---|
| Bid | €92,000 |
| Taxes and transfer costs (primary residence relief, price-value regime, cadastral income €600) | about €3,000 |
| Condominium arrears payable by you | €2,500 |
| Work | €30,000 |
| Total cost | €127,500 |

Against the value after work, about €42,500, or 25%, remains, before unforeseen costs and the time your capital is tied up. Taxes depend on the buyer: without primary residence relief, registration tax rises from 2% to 9% of cadastral value, and with the same cadastral income is about €6,800 instead of €1,400. Whether the margin suffices depends on the estimate's reliability and the property's risk. The same bid on a property occupied by a tenant with an enforceable lease would have a much more fragile margin. The complete cost table is in [the cost of bidding](https://immobilscan.it/en/guides/costs-bidding-at-judicial-auction).

## When a reduction hides a problem

A property at its fourth attempt is not necessarily a bargain: it may have failed for a reason stated plainly in the appraisal. Recurring causes include:

- **Occupation under an enforceable right**: a lease with a certain date before seizure (pignoramento) remains valid until expiry; for more than nine years, only if registered (guide: [occupied property](https://immobilscan.it/en/guides/occupied-property-vacating)).
- **Building violations that cannot be regularized** or can be regularized at high cost: the appraisal quantifies it, but only a professional can say whether the estimate holds.
- **Partial rights**: a one-half [share](https://immobilscan.it/en/property-auction-glossary#diritto-e-quota) or bare ownership is worth much less than the whole property, reflected in the low price.
- **Old appraisal**: a value estimated years ago in an area whose market has since weakened.
- **High condominium arrears** or extraordinary work already approved (guide: [condominium fees](https://immobilscan.it/en/guides/condominium-fees-auction-property)).

Nobody can currently say precisely how many auctions actually fail: the Public Sales Portal does not publish the outcome of many sales, and failures are recorded more often than awards. We therefore do not publish a failed-auction percentage: starting prices and reductions for active auctions are in the [judicial auction observatory](https://immobilscan.it/en/property-auction-statistics).

## How ImmobilScan supports your decision

ImmobilScan places a market-value reference alongside the auction starting price. Auction search and listings, with public documents and map location, are free in [auction search](https://immobilscan.it/en/auction-search). With an account you can also see the history of attempts and the estimated value.

The estimate starts with local OMI values and property characteristics (area, floor, condition, energy class, accessory spaces), alongside prices of similar listings. The result is a value range with a reliability indicator. It also derives an estimated auction price from market value, using a conventional discount that grows with attempts: it is not calibrated to award prices, which the portal does not publish. With an account you can also have the appraisal and notice analyzed and find the appraiser's adjustments and reported costs on one page. The calculation is explained in [methodology and data sources](https://immobilscan.it/en/methodology).

## Legal references

- [Art. 568 c.p.c.](https://brocardi.it/codice-di-procedura-civile/libro-terzo/titolo-ii/capo-iv/sezione-iii/art568.html): determination of value and adjustments stated by the appraiser.
- [Art. 571 c.p.c.](https://brocardi.it/codice-di-procedura-civile/libro-terzo/titolo-ii/capo-iv/sezione-iii/art571.html): bids up to one quarter below starting price in property enforcement.
- [Art. 572 c.p.c.](https://brocardi.it/codice-di-procedura-civile/libro-terzo/titolo-ii/capo-iv/sezione-iii/art572.html): single bid below starting price.
- [Art. 591 c.p.c.](https://brocardi.it/codice-di-procedura-civile/libro-terzo/titolo-ii/capo-iv/sezione-iii/art591.html): reductions up to one quarter and, after the fourth failed attempt, up to one half.
- Art. 569 c.p.c. (balance within 120 days), art. 2922 c.c. (no warranty against defects), art. 2923 c.c. (enforceable leases), art. 216 CCII (sales in judicial liquidation).
- Taxes: D.P.R. 131/1986 and art. 1, para. 497, Law 266/2005 (price-value regime, extended to judicial sales by Constitutional Court ruling no. 6/2014); [Agenzia delle Entrate, taxes on buying a home](https://www.agenziaentrate.gov.it/portale/acquisto-di-una-casa-le-imposte).

## Frequently asked questions

### How much does the price fall after a failed auction?

The law allows a reduction of up to one quarter of the previous starting price at each attempt and, after the fourth failed attempt, up to one half (art. 591 c.p.c.). In practice reductions are often 20% to 25%, but the judge or delegate sets the percentage and the notice for the new attempt states it. See [failed auctions and reductions](https://immobilscan.it/en/guides/failed-auction-price-reduction).

### Is a large reduction always an opportunity?

Not necessarily. A large reduction may signal a problematic property (occupied under an enforceable lease, needing renovation, with costly irregularities, or sold only as a share). Always check its actual value and condition, starting with the reasons stated in the appraisal.

### How do I estimate market value before the auction?

Start with local OMI values, placing the property toward the minimum or maximum according to condition, floor and amenities, and compare them with prices of similar properties for sale. With an ImmobilScan account you get a value range to compare with the starting price and minimum bid.

### Is the starting price the property's market value?

No. At the first attempt it is the appraiser's value, which starts from the market but applies the reductions in art. 568 c.p.c.; after each failed auction it falls under the rules of the proceedings. Market value must be estimated separately with current data.

### How much can I save by buying at auction compared with the market?

There is no reliable percentage. Award prices are not systematically published on the Public Sales Portal: in the portal data used by ImmobilScan the field is empty. Savings depend on the individual property and costs added to the price, and must be calculated case by case by subtracting all costs from the market estimate.

### Is buying a home at auction worthwhile?

It can be worthwhile when the total cost, including bid, taxes, fees, work and arrears, remains below market value with a margin covering the property's risks. There is no general rule: occupation, building violations, shares and old appraisals change the calculation from lot to lot. Calculate using an updated estimate and read the appraisal to understand why earlier attempts failed.

Law verified on October 24, 2026.