Information on acquiring property in Switzerland for those resident abroad
| 1) Terms of payment a) For completed apartments or resales:
Total 100 %
b) For apartments under construction :
Total 100 %
(*) These terms are adapted according to the stage of construction reached at the time of the signing of the Power of Attorney. Some builders have different schedule of payment.
2) Financing - Mortgage The standard loan on mortgage granted by Swiss banks for purchases with only the property as security is 50 to 60% of the total sale price (incl. parking space). The rate of interest follows the base rate set by the Swiss National Bank and varies depending on the economic trend. A larger mortgage can be arranged on the basis of additional security/guarantees. 3) Legal formalities The total purchase fees amount to 5.5 % and are broken down as follows :
If the setting up of a mortgage is necessary, the related cost will generally be in the region of 0.5 % with a slight variation depending of the amount granted by the Bank (when it concerns a resale, if the previous owner already had a mortgage, then it is taken over by the new purchaser without any cost). The future owner entrusts the notary’s office – usually by Power of Attorney - with the duty of ensuring that all the legal formalities are respected, particularly the recording of the deed at the Land Registry and the freeing from all previous mortgages on the apartment. 4) Fire insurance L’assurance-incendie du bâtiment et de son mobilier, sont obligatoires dans le Canton de Vaud. (les primes sont très bon marché, soit env. 0,055 % du montant assuré). Fire insurance for the building and its furniture is compulsory in the Canton de Vaud, (the premiums are very low: 0.055 % of the insured value. |