Switzerland » Mortgages

In Switzerland the political importance of the mortgage business is derived from the involvement of nearly all people whether it may be savers or tenants. In case of both the categories, the level of the mortgage rate is decisive for interest and rental rates. It is the only country having the biggest savers in the world.

Mortgage in Switzerland are mainly collateralised with the land upon which the housing is located. Here the owner has the chance of obtaining credit due to the value of the land. Here the lender acquires the right to use the land if the borrower is unable to meet his/her payments on mortgages. Foreigners can get between 60% and 80% of the bank-appraised value. Interest rates in Switzerland are generally low and at present are around 5% for a 10 year mortgage.

Guide to the mortgages in Switzerland