Costs of buying and selling property in Switzerland
Elizabeth Bagwell, Saturday, 16 November 2013
This article is part of a series of 10 articles about buying property in Switzerland. The other articles in the series cover the following topics:
The costs of buying and selling a property are relatively low in Switzerland, at 5-8% of the property value. Of this, the largest and most variable amount is the fees charged by estate agents. Find out more in our article on estate agents : . You should also consider the tax implications of buying a property in Switzerland :
The main costs involved are:
It used to be common that the total mortgage would include the costs, however this is now rare. Where this does occur, a deposit of at least 20% will still be required. The value of the property will simply be treated as though it's higher, e.g. a 20% deposit on a loan for 108% of the property price (assuming 8% costs).
What will the costs be?
In Switzerland, many decisions are taken at a the cantonal (province) or communal (town or village) level, rather than at the national level. This means that even where prices are fixed for a service, such as the costs of registering a deed, they may vary from canton to canton or commune to commune. As a result, it is difficult to generalize and you should ensure that you fully understand the costs involved in your particular transaction before making any commitments.
Fees and costs of the notary
In Switzerland, it is a legal requirement that property transfer is handled by a notary. A notary is a licensed and registered professional who is authorized to perform legal transactions such as the transfer of property deeds, writing wills and contracts. The notary will charge for:
Typically, notary's fees are paid by the buyer. However, in some cantons these charges are split between buyer and seller. This is purely down to tradition, and may be open to negotiation.
Property transfer tax
The property transfer tax is set at a cantonal level, which means that it differs in each of Switzerland's 26 cantons. We've listed approximate property transfer tax costs in some of the more popular cantons for international buyers. However, these figures are often estimates, and are all subject to change without notice. In some cantons, property transfer taxes are reduced on low value properties or for a primary residence. Contact a notary or real estate agent in the canton in question for up-to-date figures.
Both the deed of sale and the mortgage (should you require one) must be registered with the cantonal government. The charge for this, in both cases, is typically around 0.4-1.6% of the value of the property (deed of sale) or the sum borrowed (mortgage).
This article is part of a series of 10 articles about buying property in Switzerland. The other articles in the series cover the following topics:
The costs of buying and selling a property are relatively low in Switzerland, at 5-8% of the property value. Of this, the largest and most variable amount is the fees charged by estate agents. Find out more in our article on estate agents : . You should also consider the tax implications of buying a property in Switzerland :
The main costs involved are:
- Fees and costs of the notary 0.2-1%
- Property transfer tax 0-3.3%
- Deed registering fees 1-1.5%
- Estate agent's fees typically 3-5%
- Time and travel
It used to be common that the total mortgage would include the costs, however this is now rare. Where this does occur, a deposit of at least 20% will still be required. The value of the property will simply be treated as though it's higher, e.g. a 20% deposit on a loan for 108% of the property price (assuming 8% costs).
What will the costs be?
In Switzerland, many decisions are taken at a the cantonal (province) or communal (town or village) level, rather than at the national level. This means that even where prices are fixed for a service, such as the costs of registering a deed, they may vary from canton to canton or commune to commune. As a result, it is difficult to generalize and you should ensure that you fully understand the costs involved in your particular transaction before making any commitments.
Fees and costs of the notary
In Switzerland, it is a legal requirement that property transfer is handled by a notary. A notary is a licensed and registered professional who is authorized to perform legal transactions such as the transfer of property deeds, writing wills and contracts. The notary will charge for:
- Their time drawing up the contracts
- Costs incurred, such as property searches
- The property transfer tax
- Costs associated with registering the property
Typically, notary's fees are paid by the buyer. However, in some cantons these charges are split between buyer and seller. This is purely down to tradition, and may be open to negotiation.
Property transfer tax
The property transfer tax is set at a cantonal level, which means that it differs in each of Switzerland's 26 cantons. We've listed approximate property transfer tax costs in some of the more popular cantons for international buyers. However, these figures are often estimates, and are all subject to change without notice. In some cantons, property transfer taxes are reduced on low value properties or for a primary residence. Contact a notary or real estate agent in the canton in question for up-to-date figures.
- Zurich 0%
- Schwyz 0%
- Bern 1.8%
- Graubunden 2%
- Geneva 3%
- Vaud 3.3%
Both the deed of sale and the mortgage (should you require one) must be registered with the cantonal government. The charge for this, in both cases, is typically around 0.4-1.6% of the value of the property (deed of sale) or the sum borrowed (mortgage).
All types of property for sale in Switzerland by private sellers and estate agents. Find a your house or apartment near Zermatt, Davos, Ticino or near Geneva, Bern or the Valais.
Funding a property purchase effectively is key to a successful investment. Whether you're buying a family home or an investment vehicle, taking
advantage of Switzerland's low mortgage rates can improve the return. Find out how to find a Swiss mortgage and learn about the application process so
you'll be prepared for this big step.
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