Mortgage barometer 2026: how is the mortgage market developing?
The Comparis mortgage barometer sheds light on the latest developments in the mortgage market. The analysis for the first quarter of 2026 shows: the war in Iran is driving mortgage rates up.
14.04.2026
iStock/Sanga Park
1. How have benchmark mortgage rates changed?
Mortgage rates in Switzerland have risen again recently – despite the Swiss National Bank (SNB) keeping the key interest rate unchanged.
The benchmark rate for 3-year fixed-rate mortgages has risen by 0.03 percentage points since the beginning of the year to 1.39% (as at 31 March 2026).
The benchmark rate for 5-year fixed-rate mortgages is currently 1.56% (as at 31 March 2025). 5-year fixed-rate mortgages are currently on offer at rates of 1.1% to 1.7%.
The benchmark rate for 10-year fixed-rate mortgages is 1.81% (as at 31 March 2026). Current trading margins are 1.4% to 2%.
SARON mortgages remain cheaper than fixed-rate mortgages. First-priority Saron mortgages currently cost around 0.8%-1.2%.
The rise in market interest rates for short maturities and the flattening of the yield curve indicate that market participants are expecting negative effects mainly in the short term. However, should these effects last longer than expected, this is also likely to affect medium- and longer-term maturities and make the terms more expensive.
2. Uncertainty is driving up capital market interest rates and widening trading margins
Compared to the beginning of the year, mortgage rates have risen again. However, the main driver of this development is not monetary policy, but rather movements on the capital markets.
The capital market interest rates, which serve as a basis for the terms of fixed-rate mortgages, initially fell from the beginning of the year and then rose significantly after the outbreak of the Iran war. For example, the yield on 10-year federal bonds was 0.33% at the beginning of the year, fell to 0.23% by the end of February, and rose to 0.40% by the end of March.
3. Risks for the coming quarters are increasing
The Swiss economy currently remains stable overall, although it is showing the first signs of weakness.
Growth forecast: For 2026, a growth forecast of around 1% is expected, supported primarily by rising real wages and private consumption.
Currency and industrial pressure: The strong Swiss franc and a weak global industrial economy are dampening exports and willingness to invest.
Sectoral divergence: While the services sector remains robust, manufacturing is suffering from global uncertainties.
Internationally, the picture is also mixed: The European Central Bank (ECB) has kept the key interest rate at 2%. Inflation was close to the target rate in February, but rising energy prices are significantly increasing the risks for the coming quarters. At the same time, the economic outlook is deteriorating – especially in Germany, the largest economy in the eurozone.
As a result, the ECB is increasingly finding itself in a field of tension between combating inflation and stabilising the economy.
The ECB faces greater challenges than the SNB, as inflation in the eurozone is already at the upper end of the target range. Should inflation accelerate further as a result of higher energy prices, the first interest rate hikes this year cannot be ruled out. The Swiss franc could depreciate against the euro, increasing the cost of imported goods into Switzerland.
The US Federal Reserve (Fed) is also adopting a wait-and-see approach in the USA and is taking a wait-and-see stance and is keeping the key interest rate within the range of 3.5% to 3.75%. Due to the sharp rise in energy prices, inflation risks have increased further recently. At the same time, signs of an economic slowdown are growing, such as a weaker labour market and a decline in consumer confidence.
4. Current mortgage rates in Switzerland
Mortgage rates vary significantly depending on the
model
term
provider
canton
Comparis has compared the average differences between the benchmark rate and the top interest rate of the Comparis mortgage partner HypoPlus and the comparison revealed a considerable savings potential.
Savings potential when taking out a mortgage
The interest rates of the deals actually negotiated are often below the benchmark rates.
For example: The best interest rate brokered by HypoPlus for a 10-year fixed-rate mortgage at the end of March 2026 was 1.39% – with a benchmark rate of 1.81%. Over the entire term, this means a saving of 31,500 francs on a mortgage of 750,000 francs over the entire term.
You can find the latest mortgage interest rates, which are updated daily, in the Comparis mortgage rate overview.
Calculating how much you could save
Even a slight difference in interest rate can have a significant impact on the total cost over the entire term. Enter your desired mortgage amount to calculate how much you could save.
The benchmark rates calculated by Comparis are the average rates advertised by over 30 mortgage lenders and cannot be negotiated. They are updated daily and published in the Mortgage rate overview interest rate overview.
5. Which type of mortgage is most popular?
In the last quarter, there was a clear shift towards shorter terms in the new mortgage contracts taken out with Comparis’ mortgage partner HypoPlus.
The proportion of mortgages with terms of up to 3 years (including Saron mortgages) was around 27% and thus significantly higher than in the previous quarter (17%).
The proportion of Saron mortgages accounted for around 18% of all mortgages taken out, doubling compared to the previous quarter (around 8%).
The proportion of fixed-rate mortgages with medium-term maturities (4 to 7 years) fell from around 28% in the previous quarter to around 23% of all mortgages taken out.
The percentage of of long-term fixed-rate mortgages (10 years or longer) fell from 41% in the previous quarter to 32%.
The high proportion of Saron mortgages shows that costs are a clear priority. Inflation in Switzerland is currently very low, and the officially forecast inflation figures are still moderate. Nevertheless, if a war with Iran were to drag on for a prolonged period, there is a risk that prices would rise much faster than originally expected. In that case, the SNB might be forced to raise interest rates.
Affordability: The income situation at retirement is often overlooked. If the income is lower than before retirement, the affordability of the mortgage is at risk. This also applies to early retirement. Tip: check whether partial amortisation is possible.
Renewal of an expiring fixed-rate mortgage: Be sure to observe the contractual notice periods.. Start planning early and put together a dossier for lenders. The lead time is about two to three months.
Good to know: With a split into two or more tranches, you can increase the flexibility of fixed-rate mortgages. You do not need to not renew the entire mortgage loan, just the tranche that is due. However, division into tranches can weaken your negotiating position and make it more difficult to switch providers.
6. Data sources
HypoPlus, the mortgage partner of Comparis, provides the interest rates for the Comparis mortgage barometer. They are based on the benchmark rates of over 30 mortgage lenders.. The data is updated daily and displayed in the mortgage rate overview.
The next mortgage barometer will come out in July 2026.
This article was first published on 05.10.2013
