You’ve decided to buy real estate in Switzerland and are about to start your property search. Whether you’re a Swiss resident or a foreigner, purchasing property in Switzerland is a significant decision. That’s why it’s crucial to consider certain criteria to best meet your needs and preferences, ensuring you make the best possible choice.
Setting a budget for your house purchase
Start by establishing a realistic budget for your real estate investment. A general rule suggests that the ideal purchase price would be around five times your household’s annual gross income. For example, for a property listed at CHF 1,000,000, your annual gross income should be approximately CHF 200,000.
Don’t forget to include all costs related to buying a house, such as:
- Mortgage fees
- Land registry registration and transfer taxes
- Potential renovation costs
- Notary fees
Keep in mind that negotiating prices can be challenging due to the scarcity of properties in the Swiss market.
Choosing a Strategic Location for Your House
Carefully determine the geographical area where you plan to live in the long term. Consider commuting to your workplace, schools, and recreational centers, also assessing accessibility by public transport. Expand your search by exploring well-connected municipalities. Avoid limiting yourself to a single neighborhood, as this could narrow your options. Consider communities you might not have initially thought of, based on the mentioned key points.
Additionally, it’s crucial to assess the growth potential of a region in terms of real estate in Switzerland. Some areas experience high demand and rising property prices, indicating economic growth and investment opportunities. Research real estate market trends and consult local experts for valuable insights into a region’s growth potential.
Specifying the desired type of house
Identify fundamental criteria to refine your search, including:
- The type of house that meets your needs (land, house, apartment, duplex, loft, etc.)
- The condition of the property (new, renovated, or old requiring renovations)
- The size of the housing.
Be pragmatic about functionality, sometimes favoring a smaller but well-designed space.
- Additional indispensable criteria for you.
This may include the number of bedrooms, the presence of a garage, kitchen style, or the number of bathrooms.
Be open to unexpected opportunities and be prepared to compromise to find the ideal house.
If renovations don’t deter you, reduce these criteria and make room for your imagination. Remember not to be too demanding. This serves as an initial filter to save time in future property visits. Also, assume it’s likely you won’t find a house that meets 100% of your criteria. Like many things, be ready to make concessions.
