Checklist: buying a house or apartment in Switzerland

1. Should you rent or buy?

A rental apartment or your own four walls? The following points will help you find out whether owning a home is right for you.

Flexibility or stability

Subject to the notice period in the rental agreement, tenants can move out of their apartment at any time and look for a new place to stay.

Conversely, they can be given notice by their landlord to leave. In this respect, home ownership offers greater security and stability.

Hire professionals or do it yourself

In a rental apartment, the landlord takes care of major repairs and maintenance work. Sometimes, tenants are responsible for jobs such as cleaning the stairwell, taking it in turns to do so.

As a homeowner, you have to organize everything yourself. However, you are also free to alter and decorate your home as you wish. Plus, in condominiums, professional companies often take care of the outdoor space and clean windows, and sometimes even carry out renovation work inside the apartments.

Pay less and bear the risk

At the end of the month, living in a home that you own works out cheaper than in a rented apartment, given the current climate of low interest rates. However, your capital is tied up for the long term. And your financial commitments are fixed. Read more about renting or buying a property.

2. Would you rather buy an apartment or a house?

The decision of whether to buy a house or an apartment is not just a financial one. As a house owner, you are largely free to alter and decorate your home as you wish. But you must pay for all the work yourself.

If you buy an apartment, you have less scope to make your own mark – but also less work. And the costs of maintaining and modernizing the property are shared among the owners. This means you need to make compromises more often.

Read more about choosing between an apartment or house.

3. How much deposit do I need to put down?

Lenders require a minimum deposit of 20% for the purchase of a property you will live in yourself. You can find out which sources of money you can use to buy a house and how much deposit you need in the article on financing a home.

4. Is my income sufficient?

Ongoing housing costs, consisting of interest payments, amortization and maintenance expenses, may not exceed one third of your regular gross income. A notional affordability interest rate of 5% is applied in these calculations.

Whether you meet these conditions is determined by the mortgage lender on the basis of an affordability calculation. Check here for more detailed information on affordability and the loan-to-value ratio.

5. How do I find my dream home?

The biggest challenge is to strike a balance between what you want and what you can afford. Start by restricting your search to a particular area. Consider the needs of everyone involved.

• How far is it to your workplace?

• Are there schools nearby?

• What leisure activities are available?

• How close is it to shops?

• Do the public transport connections work for everyone?

Take some time to think through all the important aspects. Once you have the answers to these questions, you can start searching.