Getting a Mortgage in Switzerland for Non-Resident

The Swiss home loans function similarly to domestic home loans, where the property serves as collateral, but they are governed by specific rules under Swiss law that restrict foreign ownership of real estate.

Are foreigners and non-resident allowed to apply for a mortgage in Switzerland ?

Yes — foreigners and non-residents are allowed to apply for a mortgage in Switzerland, but there are restrictions and conditions:

1. Foreign Residents in Switzerland (Permit Holders)

• EU/EFTA nationals with a residence permit usually have the same mortgage rights as Swiss citizens.
• Non-EU nationals may face stricter rules, but with a B (residence) or C (permanent) permit, they can generally apply for a mortgage to buy property in Switzerland.

2. Non-Residents (Living Abroad)

• Non-residents can apply, but approval is much stricter.
• Mortgages are usually limited to:
  • Vacation homes in tourist areas
  • Investment properties under special conditions
• Non-resident buyers may need to put down a higher deposit (often 40–50%) compared to residents (typically 20–30%).

3. Restrictions under Swiss Law (Lex Koller)

• Foreigners are restricted from freely buying residential property in Switzerland.
• Special authorization is required for non-residents (especially outside tourist zones).
• Commercial real estate is generally less restricted than residential.

4. Banks’ Requirements for Foreigners

• Higher equity contribution (40–50% down payment).
• Proof of stable income (sometimes in CHF or EUR).
• Life insurance or additional guarantees may be required.
• Some banks only grant mortgages to EU/EFTA nationals or foreigners with strong ties to Switzerland.

Which lenders in Switzerland offer home loans to non-residents ?

Swiss lenders offering home loans (mortgages) to non-residents and foreigners:

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Swiss Banks That Provide Mortgages to Non-Residents

1. UBS
   One of Switzerland’s major banks, UBS offers mortgage solutions to expatriates and non-residents, provided the property is eligible and other borrower requirements are met.
2. Raiffeisen
   The cooperative Raiffeisen bank network generally accepts non-residents in many local branches, enabling them to open accounts and access mortgage services, though terms can vary by branch.
3. Migros Bank
   Also accepts non-residents—especially those from neighboring countries like France—though banking may require in-person visits and include higher non-resident fees.
4. Cantonal Banks (e.g., Banque Cantonale de Genève / BCGE)
   Some cantonal banks, such as BCGE, may provide mortgage and financing services to non-residents on a case-by-case basis, particularly if linked to a cantonal region.
5. Private Banks and Wealth Management Institutions
   Private banks and wealth management-focused lenders (e.g., Julius Baer, Lombard Odier, CBH Bank) may offer tailored mortgage solutions for high‑net‑worth foreign clients—especially when structured thoughtfully to comply with Swiss property rules.
6. Swissquote (via partnership)
   Swissquote facilitates mortgage offerings through partnerships with cantonal institutions such as Luzerner Kantonalbank (LUKB), which may include services extendable to foreign applicants.