Switzerland – Buying Property

Can foreign nationals legally buy and own property in Switzerland?

The rules governing property acquisition by foreign individuals, companies registered abroad, or Swiss-domiciled companies under foreign control are set out in the Federal Act on the Acquisition of Immovable Property in Switzerland by Foreign Non-Residents (ANRA), more commonly referred to as Lex Koller. The official explanation of this legislation is available on the Swiss Federal Office of Justice (FOJ) website.

Lex Koller came into force in 1983 as a federal measure intended to curb overseas ownership of Swiss real estate and preserve a healthy market for those living in Switzerland. In comparison with countries such as France or Spain, where EU citizens can acquire residential property without restriction, Switzerland’s framework is considerably stricter — especially for those who do not hold Swiss residency.

EU/EFTA nationals who are both legally and factually resident in Switzerland and hold a type B residence permit, as well as nationals from other countries who are legally and factually resident in Switzerland and hold a valid type C permit, are treated in the same way as Swiss citizens when it comes to buying property and do not need any form of authorisation.

Non-EU/EFTA nationals must hold a C permit (permanent residence) to be fully exempt from Lex Koller. Those with only a B permit (temporary residence) remain subject to the law’s constraints on property acquisition. In practice, third-country nationals with a C permit enjoy the same buying rights as EU/EFTA holders, while those holding a B permit require approval to purchase vacation properties and are barred from acquiring secondary homes or multi-family dwellings. Holders of a B permit may only buy a home at their place of residence, which they must personally occupy.

Holiday and secondary residences face the most rigorous Lex Koller controls, with the total number of units available to foreign purchasers capped at approximately 1,500 per year across the entire country. Such properties may only be located in officially designated tourist areas and require specific authorisation from the relevant cantonal body.

The land plot associated with a holiday home must not exceed 1,000 square metres, and the net living area may not exceed 200 square metres. Living area encompasses all habitable rooms with heating — including saunas, swimming pools, and hobby rooms — but excludes balconies, stairwells, cellars, and attic spaces.

Commercial and industrial properties — offices, retail premises, hotels, and mixed-use buildings where the commercial element predominates — fall outside the scope of Lex Koller. This makes commercial real estate considerably more accessible for foreign investors than the residential sector.

In most cases, authorisation must be sought from the competent cantonal authority. Enforcement of the ANRA is therefore primarily a cantonal matter. The designated authority in the canton where the property is situated determines both whether a transaction requires authorisation and whether such authorisation will be granted.

The majority of cantons prohibit foreign buyers from reselling property within 5 years of purchase. Foreigners who come to own Swiss property through inheritance are often allowed to retain it, even without residing in Switzerland. However, they may not expand their holdings or acquire further properties under this exception.

What are average property prices in Switzerland, and how do they vary by region?

As of March 2026, the Swiss national average property price stands at CHF 7,904 per square metre. Over the preceding twelve months, house prices rose by 2.4% while apartment prices climbed by 3.1%. Switzerland consistently ranks as one of the world’s priciest property markets, with significant divergence between cantons and between urban and rural settings.

The median asking price for a house is CHF 1,272,113, with 80% of properties falling between CHF 548,325 and CHF 3,235,116. For apartments, the median stands at CHF 864,772, with 80% of listings priced between CHF 421,691 and CHF 2,087,676.

Zurich and Geneva occupy the top tier in terms of price. In Zurich, the average transaction price for apartments reached CHF 22,350 per square metre, while Geneva came in at CHF 21,450. For single-family homes, the national average is CHF 1,250,000; in Zurich, prices approach CHF 4,368,000 and Geneva is slightly lower at CHF 3,292,000.

City centre locations carry the steepest premiums, with prices ranging from CHF 10,819 to CHF 22,017 per square metre depending on the exact district and property type. Moving to suburban settings brings prices down to a more moderate CHF 5,000–8,000 per square metre.

Alpine resort destinations such as Zermatt, Verbier, and St. Moritz sustain strong interest for luxury and holiday purchases, though price movements are more unpredictable and tied to global wealth trends. These markets recorded 27% growth over the past five years, yet gained only 1.2% in 2024–2025.

Property values can shift meaningfully over short timeframes. Always consult current listings on well-established Swiss portals such as ImmoScout24 and Homegate for the latest figures, and speak with a local property professional before making financial commitments.

Where are the most popular locations to buy property in Switzerland?

The most sought-after Swiss property markets reflect the country’s blend of economic strength, high quality of life, and spectacular natural surroundings. International buyers tend to concentrate on a handful of well-established destinations.

Zurich is Switzerland’s commercial and financial centre and its largest city. Its outstanding transport infrastructure, cosmopolitan atmosphere, and thriving business environment make it a magnet for multinational executives, banking professionals, and internationally mobile families. The city has a large and well-established expat community, excellent schooling options, and a property market that commands top prices — but also delivers consistent economic resilience.

Geneva hosts a remarkable concentration of international organisations and diplomatic missions. Its position on Lake Geneva and its proximity to the French border make it an exceptionally desirable address. The city supports a highly mobile international population, a sophisticated rental market, and strong direct rail and air connections across Europe.

Zug has carved out a reputation as one of Switzerland’s lowest-tax cantons. Its favourable fiscal environment attracts both wealthy individuals and major international corporations. Excellent transport links and impressive scenery add to its appeal as a prime real estate investment location.

Lausanne, on the shores of Lake Geneva, is building a profile as a hub for technology and life sciences. It draws young professionals and global companies alike, and its status as the home of the International Olympic Committee and several leading universities underpins sustained long-term rental demand.

Alpine resorts such as Zermatt, Verbier, Gstaad, St. Moritz, and Davos appeal to international buyers in search of ski chalets and holiday homes. Purchases in these locations are subject to the Lex Koller quota system and size restrictions, meaning availability for foreign non-residents is limited. Cantons including Valais, Vaud, and Graubünden permit foreign buyers to acquire holiday homes, but within strict constraints on property size and location. Living space is typically capped at around 200 square metres, and purchases are confined to designated tourist areas.

Are there any emerging or up-and-coming areas worth considering in Switzerland?

Beyond Switzerland’s established property hotspots, a number of locations are drawing increasing buyer interest, fuelled by improved transport links, relative value for money, and demand spillover from costlier neighbouring cities.

Basel shows more restrained growth potential given that prices are already high relative to local incomes, whereas cities such as Winterthur and Nyon present opportunities for above-average returns as they absorb demand from more expensive urban centres. Winterthur, just 25 minutes from Zurich by train, has undergone substantial urban regeneration and offers significantly lower entry prices than the Zurich city market.

As of early 2026, the areas of Switzerland with the greatest concentration of new residential development include the greater Zurich commuter zone (Oerlikon, Altstetten, Affoltern), the Lausanne-Morges corridor in Vaud, parts of the Basel agglomeration, and growth cantons such as Aargau and Thurgau, where land availability is somewhat less constrained.

Canton Ticino in the Italian-speaking south — particularly around Lugano and Locarno — continues to attract buyers drawn by the Mediterranean climate, lower prices compared to Zurich and Geneva, and easy access to Italy. The decline in available properties was most acute in Ticino, where the share of homes on the market fell from 2.08% to 1.92%, pointing to tightening supply.

The Fribourg region, sitting at the junction of German- and French-speaking Switzerland, offers comparatively affordable prices, good rail access to both Bern and Lausanne, and a quality of life that is increasingly attracting buyers priced out of the major cities.

What are the current trends in the property market in Switzerland?

As of early 2026, the twelve-month demand outlook for Swiss residential property is broadly positive but easing, with continued buyer activity supported by historically low interest rates (SNB policy rate at 0%) and persistent housing shortages, though economic uncertainty may moderate the pace of growth.

A tightening supply picture has driven vacancy rates to historic lows. The national vacancy rate fell to just 1.00% in June 2025 — its lowest level since 2013. Geneva recorded the tightest market at 0.34%, followed by Zug at 0.42% and Zurich at 0.48%. This extreme scarcity continues to push prices upward.

New-build properties account for roughly 10% to 15% of all residential listings in Switzerland, as construction has failed to keep pace with demand. Approximately 40,750 new units were delivered in 2024, with around 43,000 to 48,000 expected in 2025 and 2026.

Non-demographic forces driving up Swiss property prices include the shift toward hybrid and remote working, which has made suburban and commuter-town homes more attractive; the safe-haven status of Swiss real estate for international wealth during periods of global instability; and the strength of the Swiss franc, which makes property a currency hedge for overseas buyers.

There is a clear and growing shift toward sustainable and energy-efficient homes, as buyers place increasing weight on environmental credentials. ESG considerations are widely expected to have a substantial influence on real estate values in the years ahead. Energy performance certifications are increasingly shaping both valuations and buyer decision-making.

For the most current market data, consult the Swiss Federal Office for Housing (BWO/FOH) and regular market analyses published by Wüest Partner, UBS, and Raiffeisen Switzerland.

Is buying property in Switzerland a good investment?

Switzerland has long been regarded as one of the world’s most dependable property markets, anchored by political stability, a robust currency, and a tightly regulated banking system. That said, low yields and high entry prices mean it is not the ideal choice for every investor profile.

Research published by Global Property Guide in September 2025 found that gross rental yields for Swiss residential properties averaged 2.92%, down from the 3.04% figure reported in October 2024. This is meaningfully lower than many other European markets — where gross yields of 4%–6% are typical in cities such as Lisbon, Madrid, or Warsaw — making Swiss property primarily a vehicle for capital preservation and long-term appreciation rather than current income generation.

Swiss property prices increased by 3.5% to 4.4% for apartments and 4.7% to 5% for single-family homes between 2024 and 2025. Over the past five years, values in major cities rose by 20%–27%, with the luxury segment recording gains of 27% since 2019.

As of early 2026, short-term rental demand in Switzerland remains robust, supported by record tourism with nearly 43 million hotel overnight stays recorded in 2024. Estimated average occupancy rates for short-term rentals range from around 50% to 65% in urban centres such as Zurich and Geneva, and 40% to 55% in seasonal resort locations. However, Lex Koller restrictions mean that many foreign-owned holiday homes cannot be let on a long-term basis, which limits income potential for non-resident owners.

The strength of the Swiss franc offers a degree of currency protection for foreign buyers holding wealth in more volatile currencies. However, the same dynamic works in reverse — a rising franc increases the effective cost of an investment for overseas purchasers.

Property investment always carries risk, and past performance should not be taken as a reliable guide to future returns. Readers are strongly encouraged to obtain independent financial and tax advice before committing to a purchase in Switzerland.

What types of property are commonly available to buy in Switzerland?

Switzerland’s real estate market encompasses a range of property types, though supply is generally constrained across all categories. What a foreign buyer can actually purchase will depend substantially on their residency status and intended location under Lex Koller.

• Apartments (condominiums / Stockwerkeigentum): The most prevalent property type in Swiss cities and resort areas. Urban apartments span compact studios through to expansive penthouses. This form of ownership gives buyers title to their individual unit together with a proportional share of the building’s common areas. Service charges (Nebenkosten) apply for building upkeep and management.
• Single-family homes (Einfamilienhäuser): Detached houses are found mainly in suburban and rural settings. They command a considerable premium and are largely off-limits to non-resident foreign buyers under Lex Koller, though residents holding the appropriate permit can purchase them freely.
• Terraced and semi-detached houses: Common in suburban areas around cities such as Zurich, Bern, and Basel. These offer a middle ground between apartment and detached living, typically with a small garden.
• Holiday apartments and chalets: The principal category open to non-resident foreign buyers. Found in Alpine resort cantons including Valais (Verbier, Zermatt, Saas-Fee), Graubünden (St. Moritz, Davos, Laax), and Vaud (Leysin, Les Diablerets). Subject to size restrictions and the national quota system.
• New-build developments: Off-plan and newly completed apartments are available, particularly in peri-urban growth zones. New-build properties account for roughly 10% to 15% of all residential listings in Switzerland.
• Rural properties and farmhouses: Available in certain cantons, though agricultural land is subject to separate federal restrictions under the Agriculture Act, in addition to Lex Koller. Foreign buyers should obtain specific legal advice before considering rural or agricultural property.
• Commercial properties: Commercial and industrial real estate — including offices, retail premises, hotels, and mixed-use buildings where the commercial element predominates — falls outside the scope of Lex Koller restrictions.

What is the typical step-by-step process for buying property in Switzerland?

Every property transfer in Switzerland must be publicly authenticated by a notary — a purchase agreement has no legal force until a notary has formally certified it. Unlike countries such as the United States or Australia, where solicitors and escrow agents typically manage conveyancing, Switzerland places the notary at the heart of every transaction in a mandatory capacity. There is no two-stage exchange-and-completion system as used in the United Kingdom; signing the notarised deed is itself the single, legally binding event that completes the sale.

1. Establish your legal eligibility: Before you begin your property search, determine your position under Lex Koller. Confirm whether you will need cantonal authorisation for the property type and location you have in mind. Whether a transaction requires authorisation depends on the specifics of each case; direct any questions to the authorisation authority of the canton where the property is located.
2. Engage a lawyer and/or property agent: Instruct a local lawyer or notary who is well-versed in Swiss real estate law. This professional will help you navigate local regulations and protect you from potential legal pitfalls. Foreign buyers are strongly advised to appoint an independent lawyer who acts solely on their behalf, separate from the notary.
3. Search for property and make an offer: Offers in Switzerland are typically submitted in writing. A legally binding preliminary contract does not generally exist at this stage — a letter of intent or reservation agreement (sometimes called a promesse de vente in French-speaking cantons) may be used to reserve a property, but this is not universal practice.
4. Conduct due diligence: After securing legal representation, carry out thorough due diligence. This means verifying ownership, confirming the seller’s rights, and checking that the property is free of legal disputes. Assess the surrounding area including public amenities and transport links. Beyond legal due diligence, careful buyers also undertake tax, technical, and financial checks. A structural inspection — comparable to a building survey in the UK — is prudent although not legally required.
5. Apply for Lex Koller authorisation (if required): If cantonal approval is necessary, your lawyer will submit the application to the relevant authority. This must be done before the purchase deed is signed. Processing times vary between cantons — factor in several weeks for this step.
6. Secure mortgage financing: Arrange your financing through Swiss banks or international lenders. Lenders will require a thorough assessment of your financial background before approving a loan. Swiss lenders typically require a minimum 20% deposit for primary residences; requirements are stricter for investment or holiday properties, often 25%–35%.
7. Sign the notarised deed of sale (Kaufvertrag / acte de vente): Both parties sign the authenticated purchase contract in the presence of the notary. The notary is responsible for remitting transfer tax to the tax authorities and must receive the full sum of acquisition costs before the deed is signed.
8. Register in the Land Registry (Grundbuch): The new owner’s name must be entered in the land registry to complete the transfer of title, which is governed by the Swiss Civil Code and the Federal Ordinance of Land Registry. The notary typically handles this registration on the buyer’s behalf. Land registry fees are generally less than 1% of the purchase price.
9. Pay taxes and fees: Total purchase costs — encompassing notary fees, land registry charges, and taxes — amount to between 2.5% and 5% of the purchase price and vary from canton to canton. Plan your budget carefully for these costs before committing to a purchase.

Do I need a lawyer to buy property in Switzerland, and how do I find a reputable one?

While the notary carries out an indispensable legal function in authenticating the purchase contract, their role in Switzerland is that of a neutral party serving the transaction as a whole — not as an advocate for either buyer or seller. For this reason, appointing an independent property lawyer to represent your interests exclusively is strongly recommended, particularly for foreign buyers dealing with the complexities of Lex Koller.

A property lawyer in Switzerland will advise you on your eligibility to purchase under Lex Koller, carry out legal due diligence on title, check for encumbrances or easements affecting the property, review the purchase contract before you sign it, advise on tax consequences, and liaise with cantonal authorities where authorisation is needed.

Legal fees typically run to around 1% of the purchase price, though this can vary considerably depending on the complexity of the transaction, the canton, and the firm. Always obtain a written fee agreement before instructing a lawyer.

Lawyers in Switzerland must be licensed by the cantonal bar association (Kantonale Anwaltskammer / Barreau cantonal) of the canton in which they practise. The national umbrella body is the Swiss Bar Association (Schweizerischer Anwaltsverband / Fédération Suisse des Avocats / Federazione Svizzera degli Avvocati), which maintains a directory of licensed lawyers across all cantons. Visit www.swissbar.ch to search for qualified property lawyers. You may also ask your bank or a licensed estate agent for referrals.

A general overview cannot substitute for tailored legal and tax advice. If you are planning to acquire property in Switzerland, you should engage a specialist law firm to guide you through the process.

What are the most common pitfalls and problems expats encounter when buying property in Switzerland?

Even in a well-ordered market like Switzerland, foreign buyers can run into serious difficulties. The following are the most frequently encountered problems — and how to guard against them.

• Underestimating Lex Koller complexity: Foreign ownership of residential real estate is restricted under Lex Koller. Where the law is breached, a transaction can be declared void, and in some cases criminal sanctions may follow. Never assume you are automatically exempt — always verify your eligibility with a specialist lawyer before entering into any commitment.
• Overlooking cantonal variations: Transfer tax rates, notary fees, quota allocations, and planning rules differ substantially across Switzerland’s 26 cantons. What applies in Zurich may be entirely different in Valais. Always research the rules specific to the canton in which you intend to buy.
• Failing to budget for transaction costs: Additional costs at the point of purchase can easily amount to 5% of the purchase price. Buyers who budget only for the headline price are frequently caught out by notary fees, land registry charges, transfer taxes, and legal costs.
• Off-plan purchase risks: New-build and off-plan acquisitions carry the risk of construction delays, developer insolvency, or properties delivered below the agreed specification. Ensure your contract includes robust completion guarantees, and have a lawyer review all off-plan documentation thoroughly before signing.
• Currency transfer risks: Switzerland uses the Swiss franc (CHF), one of the world’s most stable currencies. However, buyers converting from other currencies can find that exchange rate movements between the date of offer and the date of completion significantly affect the real cost. Consider using a currency specialist or forward contract to lock in an exchange rate.
• Over-relying on the notary for buyer protection: Since notarial services fall under cantonal jurisdiction, there are meaningful differences in the conveyancing process from one canton to another. The notary serves both parties equally — always appoint an independent legal representative to look after your interests alone.
• Short-term resale restrictions: Most cantons prohibit foreign buyers from reselling within 5 years of purchase. Plan for a medium-to-long-term holding period to avoid penalties and to allow capital appreciation to materialise.
• Tax compliance oversights: Owning property in Switzerland triggers tax obligations — including wealth tax, imputed rental value tax, and capital gains tax on disposal — that may interact with your tax obligations in your country of residence. Seek cross-border tax advice before purchasing, particularly if you have assets or income across multiple jurisdictions.

Can I buy property in Switzerland through a company, and is it worth doing?

Acquiring Swiss property through a corporate structure is legally possible but comes under close scrutiny within the Lex Koller framework. Real estate may only be purchased through a legal entity if the company is registered in Switzerland and is controlled by individuals who are resident there. This means that foreign nationals cannot use a Swiss joint stock company (Aktiengesellschaft) to sidestep the rules. The residency status of the ultimate beneficial owner of the company determines whether authorisation is required.

Corporate buyers face heightened scrutiny under Lex Koller if they are controlled by “persons abroad.” Swiss companies with foreign shareholding above certain thresholds may also be captured by these restrictions.

For commercial real estate, corporate acquisition is considerably more straightforward. Commercial and industrial properties — offices, retail premises, hotels, and mixed-use buildings where the commercial element predominates — are not subject to Lex Koller. A Swiss GmbH (limited liability company) or AG (public limited company) can be used for such acquisitions.

Possible advantages of corporate ownership include more flexible estate and succession planning, potential tax efficiencies depending on the structure, and in some cases a simpler transfer of ownership via a share sale rather than a direct conveyance of property. However, these structures carry ongoing administrative costs, compliance obligations, accounting requirements, and potential corporate tax liabilities that can outweigh the benefits for smaller or residential purchases.

This is a technically complex area where tax law and property law interact closely. Readers should obtain independent legal and tax advice from specialists in both Swiss law and the law of their country of residence before pursuing any corporate acquisition structure.

What taxes and ongoing costs should I budget for when owning property in Switzerland?

Switzerland operates a three-tier tax system — federal, cantonal, and communal — meaning the taxes that apply and the rates at which they are levied can differ materially depending on where your property is located. The Swiss Federal Tax Administration (FTA) is the central authority on tax matters; always verify current rates with the FTA or a local tax adviser before making decisions.

Property transfer tax (Handänderungssteuer): This is a cantonal or municipal tax that arises when real estate changes hands, levied on top of notarial and land registry fees. Rates differ widely across Switzerland and, as a general rule, fall somewhere between 1% and 3% of the purchase price. In some cantons the buyer pays this tax alone; in others it is shared between buyer and seller. The federal government and certain cantons — such as Zurich and Schwyz — do not impose a transfer tax at all. Geneva and Vaud each charge around 3%, while Neuchâtel levies approximately 3.3%.

Notary and land registry fees (as of 2025): Notary fees represent one of the most significant transaction costs. They vary considerably between cantons and typically range from 0.1% to 1% of the purchase price. These fees are set by cantonal law and cannot be negotiated. When combined with land registry and administrative costs, total transaction expenses can exceed 4% of the purchase price in cantons such as Geneva and Vaud.

VAT: VAT is levied at 7.7% on the value of a new-build property. It does not generally apply to the resale of existing residential properties between private individuals, but it may apply to commercial transactions and new developments. Always verify the VAT position for your specific transaction with a tax adviser.

Imputed rental value (Eigenmietwert / valeur locative): Swiss tax law attributes a notional rental income to owner-occupiers even where no rent is actually received, and this amount is treated as taxable income. Property owners may deduct certain costs against this notional income. It is worth noting that a change to the way residential property is taxed was approved in a popular vote on 28 September 2025, meaning significant reforms may be forthcoming. Check the current position with the Swiss Federal Tax Administration.

Annual property/wealth tax: Owners of Swiss property are subject to annual property taxes ranging from 0.3% to 3% of the property’s assessed value, depending on the canton. Wealth tax (Vermögenssteuer) is levied by cantons and communes on net assets, including property equity.

Capital gains tax on sale (Grundstückgewinnsteuer): When a property is sold, capital gains tax applies to the profit — the difference between the sale price and the original acquisition costs. This tax exists in all Swiss cantons. The rate is typically around 40% on profits exceeding CHF 100,000. Smaller gains are often taxed at a lower rate or may be exempt entirely.

Ongoing ownership costs: Budget for building maintenance contributions (strata fees if you own an apartment), home and contents insurance, utilities, and annual property and wealth tax. It is prudent to set aside 1% to 2% of the purchase price each year to cover routine maintenance and value-preserving renovation work.

What are the official sources I should consult when buying property in Switzerland?

When purchasing property in Switzerland, always verify information against official and authoritative sources. The key bodies and resources are listed below.

• Swiss Federal Office of Justice (FOJ) — Lex Koller / ANRA: The government’s definitive source on the rules governing foreign acquisition of property. www.bj.admin.ch
• Swiss Federal Tax Administration (FTA): For all tax-related matters — transfer tax, wealth tax, capital gains, and VAT. www.estv.admin.ch
• Swiss Federal Office for Housing (BWO/FOH): Publishes housing market reports, vacancy statistics, and guidance on housing policy. www.bwo.admin.ch
• Swiss Land Registry (Grundbuch): Administered at cantonal level. To verify ownership details, encumbrances, and easements, contact the land registry office (Grundbuchamt) in the canton where the property is situated. Find the relevant cantonal authority through the Federal Office of Justice website above.
• Swiss Bar Association (SAV/FSA/FSA): For locating a licensed property lawyer. www.swissbar.ch
• Swiss Notaries Association (Schweizerisches Notariat): For information about notarial services. www.swissnotaries.ch
• Swiss Financial Market Supervisory Authority (FINMA): If you are considering financing through a Swiss lender, FINMA regulates banks and financial institutions. www.finma.ch
• ImmoScout24 and Homegate: Switzerland’s leading property portals for current listings, price trends, and market data. www.immoscout24.ch | www.homegate.ch

Frequently asked questions about buying property in Switzerland

Can I buy a property in Switzerland if I live abroad and have no Swiss residence permit?

Your options are severely restricted. Lex Koller limits foreign buyers to holiday homes of no more than 200–250 m² in approved tourist areas, with annual quotas capping purchases at around 1,500 units nationally. Without residency status, you cannot purchase a home as a primary or secondary residence unless you obtain cantonal authorisation and the property qualifies as a holiday home in a designated tourist zone. Commercial real estate is generally not subject to these restrictions.

Does Brexit affect the rights of UK nationals buying property in Switzerland?

British citizens retain the right to buy property in Switzerland, and Brexit did not alter this fundamentally. UK nationals who were resident in Switzerland before 1 January 2021 hold the same property rights as Swiss citizens. Those who were not resident in Switzerland before that date are now classified as third-country nationals and are subject to the standard Lex Koller restrictions that apply to non-EU/EFTA buyers.

Can I rent out my Swiss holiday home to generate income?

Properties purchased under a primary residence exemption must be used as the owner’s main home and cannot be let without permission. Holiday homes acquired under the Lex Koller quota system can generally be rented out during periods when the owner is not using them, provided the property is in a tourist zone — but the precise terms depend on the conditions of the individual cantonal authorisation. Always review the specific terms of your approval carefully.

How long does the property purchase process take in Switzerland?

For residents without Lex Koller complications, the period from an accepted offer to notarised completion is typically 4–8 weeks, depending on how quickly financing and cantonal land registry processing can be arranged. Non-residents requiring Lex Koller authorisation should allow an additional 4–8 weeks for cantonal approval. In total, plan for 2–4 months from offer to completion.

Do Swiss banks lend to foreign buyers?

Most Swiss banks are willing to lend to foreign nationals resident in Switzerland. Some Swiss lenders decline to offer mortgages to US citizens due to FATCA (US foreign tax) compliance concerns. Non-resident foreign buyers will find lending options considerably narrower and may be required to provide a larger deposit — typically 25%–35% for holiday homes. International private banks and specialist lenders can sometimes offer solutions for buyers without Swiss residency.

Are new homes subject to VAT in Switzerland?

VAT at 7.7% applies to the value of a newly constructed property. This arises on the first sale of a newly built residential property by a VAT-registered developer. The resale of existing properties between private individuals is generally exempt from VAT, though you should always verify the VAT position with a tax adviser for your specific transaction.

What is the Grundbuch and why does it matter?

The Grundbuch is Switzerland’s official land registry, recording property ownership, encumbrances, easements, mortgages, and other legal restrictions affecting land and buildings. Transfer of title is governed by the Swiss Civil Code and the Federal Ordinance of Land Registry. Before any purchase, your lawyer should obtain a Grundbuch extract to confirm the seller’s title and identify any charges or restrictions. Legal ownership is only transferred once your name has been entered in the Grundbuch.

Can I buy agricultural land in Switzerland as a foreign buyer?

Agricultural land is subject to further restrictions beyond Lex Koller under Switzerland’s Federal Act on Rural Land Rights (BGBB). These rules apply to Swiss nationals and foreigners alike, but foreign buyers face a near-absolute prohibition on acquiring agricultural land without specific authorisation — which is rarely granted. If you are considering a rural property that may encompass agricultural land, obtaining specialist legal advice is essential before proceeding.