Total transaction costs are low
in Switzerland.
How high are realtors’ and lawyers’ fees
in Switzerland? What about other property purchase
costs? RealEstate
in Gstaad Region
Transaction Costs |
|
|
Who Pays? |
| Real Estate Transfer Tax |
0.0% - 3.30% |
buyer |
| Registration Fee |
0.25% |
buyer |
| Notary Fees |
0.02% - 1% (+ 7.6% VAT) |
buyer |
| Estate Agent's Fee |
3% - 5% (+ 7.6% VAT) |
buyer |
| Costs paid by buyer |
0.25% - 3.55% |
| Costs paid by seller |
3.23% - 5.38% |
| ROUNDTRIP TRANSACTION COSTS |
3.48% - 8.93% |
How difficult is the property purchase process in Switzerland?
The Swiss have for a long time restricted the sale of
property to foreigners. The Federal government has set
an annual quota of permits to be given to those non-resident
foreigners seeking to acquire property in Switzerland.
These permits are in certain Cantons and, even then,
are often restricted to those considered to be tourist
resorts. Some Cantons also restrict the size of property
that a foreigner can purchase and sometimes the re-sale
of property may carry restrictions. properties
in Gstaad
Likewise foreign companies (even Swiss ones with more
than 30% foreign ownership) are barred from acquiring
property in the country.
The process of buying property in Switzerland is quite
straightforward. To ensure that the purchase contract
is accurate and conforms to the law you will need the
services of a public notary.
The first step in the process is to sign an agreement
to buy the property (a Promesse de Vente) drawn up by
the notary, and to pay over a deposit, usually 10% of
the purchase price. The agreement is conditional on permission
for the sale to the foreigner being granted by the Commission
Foncière.
It usually takes about eight weeks to gain permission
to buy, b ut the process can sometimes take up to three
months (usually toward the end of the year) especially
if the annual quota has been used up.
When buying new properties, the purchase price is usually
payable in stages, which are specified in the purchase
agreement.
The purchaser will either need to appear in person before
the notary for the document signing or give someone else
power of attorney by means of a Procuration drawn up
by the notary.
A word of caution – in rare situations the Commission
Foncière may impose conditions on the use
of the property. For example, the commission may require
the purchaser or his family to use the property for a
minimum of three weeks in any year, and may restrict
letting to eleven months of the year. Generally though,
non-Swiss owners may occupy their property for up to
six months of the year, up to three months in any one
visit but can let the property for the rest of the year.
It takes an average of 16 days to complete the four
procedures needed to register a property in Switzerland.
Source and more..: Global
Property Guide
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