Mortgage Barometer: how is the mortgage market developing?
The Comparis mortgage barometer sheds light on the current developments in the mortgage market. The analysis for the 4th quarter of 2025 shows: mortgages are becoming more expensive again.
13.01.2026
iStock / SvetlanaSF
1. How have the benchmark mortgage rates changed?
Although the Swiss National Bank (SNB) left the key interest rate at 0% in December, mortgages in Switzerland became somewhat more expensive again in the fourth quarter.
The benchmark interest rate for 10-year Fixed-rate mortgages has risen by 0.23 percentage points since the end of September to 1.91% (as of 31 December 2025). The current trading margins are 1.5 to 1.9%.
The benchmark interest rate for 5-year fixed-rate mortgages is currently 1.61% (as of 31 December 2025). For comparison: at the end of September, the benchmark rate was 1.39%. 5-year fixed-rate mortgages are currently offered for 1.2 to 1.6%.
Saron mortgages remain cheaper than fixed-rate mortgages. First-rate Saron mortgages currently cost on average around 0.8 to 1.2%.
2. What are the reasons for the increase in mortgage rates?
The interest rates for fixed-rate mortgages have risen again compared to September. These are the reasons:
Higher capital market interest rates
The conditions for fixed-rate mortgages are based on capital market interest rates. These rose again in the fourth quarter. The yield on 10-year federal bonds was 0.33%at the end of December. That is 0.13 percentage points more than at the end of September, when it was 0.2%.
Refinancing costs of banks
The refinancing costs of banks, so-called swaps, have risen. Refinancing costs refer to the interest and ancillary costs that a bank has to pay when it borrows money. The bank uses this money to pass it on to customers as loans (e.g. in the form of a mortgage) to customers. These costs are therefore a central basis for the calculation of mortgage interest rates: the customer must pay at least these costs plus a margin of the bank.
The recent rise in mortgage rates is caused by higher capital market rates and an increase in banks' margins. Even if the banks do not publish their margins, the increase in margins for Saron mortgages is most clearly observed, since their amount has been determined exclusively by the margin since the introduction of zero interest rates by the SNB.
3. Current mortgage rates in Switzerland
Mortgage rates differ greatly depending on
Model
Term
Provider
Canton
Comparis has calculated the average differences between the benchmark rate and the best interest rate offered by Comparis mortgage partner HypoPlus. This shows a considerable savings potential.
Savings potential when taking out a mortgage
The interest rates of the actually negotiated deals are often below the benchmark rates.
Example: The best interest rate brokered by HypoPlus for a 10-year fixed-rate mortgage was 1.48% at the end of December 2025 – with a benchmark rate of 1.91 percent. For the entire term, this means a savings of 32,250 francs for a mortgage of 750,000 francs.
You can find daily updated mortgage rates in the Comparis interest rate overview.
| Term of the fixed-rate mortgage | Benchmark rate (reference date 31.12.2025) | Top interest rate from HypoPlus (reference date 31.12.2025) | Potential savings on a mortgage of 750,000 francs |
|---|---|---|---|
| 3 years | 1.35 percent | 0.98% | 8,325 francs |
| 5 years | 1.61 percent | 1.15 percent | 17,250 francs |
| 10 years | 1.91% | 1.48% | 32,250 francs |
| 15 years | 2.12% | 1.68% | 49,500 francs |
Source: Comparis, HypoPlus
The benchmark rates calculated by Comparis are published but non-negotiable average interest rates from over 30 mortgage lenders. They are updated daily and published in the interest rate overview published.
4. Which mortgage model is the most popular?
In the deals made by Comparis mortgage partner HypoPlus, there was a slight shift in the choice of term in the last quarter.
The share of long-term fixed-rate mortgages (10 years and longer) remains the highest at a good 40% the highest. Exciting: 10-year fixed-rate mortgages are increasingly being replaced by slightly cheaper 8- or 9-year fixed-rate mortgages.
Mortgages with medium terms (4 to 7 years) made up around 28% of all deals – in the last quarter, these were even more popular at around 33 percent.
The share of Saron mortgages is around 8% of all contracts, slightly higher than in the previous quarter.
Even though the proportion of long-term fixed-rate mortgages is still the largest, it has decreased markedly compared to a year ago. At that time, the share was twice as high at almost 80%. After mortgage rates fell significantly from an average of 2.5 to 1.5%, many mortgage borrowers preferred a high degree of planning security. The situation has changed with the SNB's key interest rate cuts, and the focus is again more on the costs of the deals.
Affordability: The income situation at retirement is often forgotten. 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 a partial amortisation is possible.
Renewal of an expiring fixed-rate mortgage: Be sure to note the contractual notice periods. Start planning early and put together a dossier for the lenders. The lead time is about two to three months.
Good to know: With a division into two or more tranches you can increase the flexibility of fixed-rate mortgages. You don't have to not renew the entire mortgage loan, but only the tranche that is due. However, splitting into tranches can weaken the negotiating position and make it difficult to switch providers.
5. Data basis
HypoPlus, the mortgage partner of Comparis, provides the interest rates of the Comparis mortgage barometer. These are based on the benchmark rates from over 30 mortgage lenders. The data is updated daily and displayed in the interest rate overview.
The next Mortgage Barometer will appear in April 2026.
This article was first published on 05.10.2013
