International buyers are attracted by the country’s picture postcard scenery, excellent business prospects and the rental yields enjoyed from letting in-demand property. If you are planning to invest in property in Switzerland, read on for more information on Swiss investment properties available.
Ski-in ski out apartments, wooden chalets and luxurious ski resorts close to the mountain slopes in resort towns like St. Moritz and Gstaad rank high on the list of international buyers, looking for sound investment options. Other investment properties in Switzerland include apartments and townhouses in cities like Geneva, waterfront mansions on the Zürich Gold Coast, luxury hotels in Interlaken and Swiss farms.
An analysis of the market reveals that the highest percentage of individuals who invest in Swiss property are those already engaged in international business activities in Switzerland or looking for lucrative business opportunities.
Why invest in Swiss property
- Here are some the reasons why investing in Swiss property is high on the radar of discerning international clients:
- Beautiful Alpine location which provides property owners with a luxurious high-quality lifestyle in addition to a long-term return on investment (ROI).
- Neutrality and political stability of Switzerland, its stable property market, steady appreciation in real estate value and transparent legal system.
- Booming tourism in the pretty Alpine towns and first-rate business opportunities in the bustling cities which guarantees rental yields of 3 to 5%.
- Low capital gains tax incurred if the property is sold after ten years.
Note: Levied a year after the sale, this tax is reduced if value-added renovations have been made to the property prior to the sale and waived if an equal or higher value property is invested in, within the year.
Tips for investing in Swiss property
Investment property in Switzerland is a valuable asset. There are several rules governing the purchase and rental of Swiss property hence hiring a local estate agent, well-versed in the area and Swiss property laws is worth your while to ensure that you invest in a property best suited to your requirements.
The most efficient approach to investing in Switzerland is to study the property market in detail, converse with the locals (or an agent) regarding the business prospects (if renting is your objective) and to gain a clear understanding of the limitations (if any) governing rental of your chosen property.
Locating the perfect investment opportunity takes time. Explore property listings, arrange property viewings, ascertain if your selected investment property can be rented and if there is a stipulated annual rental period (this is especially important if you are taking out a mortgage on the property and need to calculate annual rental yield) for your chosen property.
For any assistance you may require in locating and purchasing your dream investment property, contact Winkworth International.
Winkworth International has a comprehensive portfolio of quality Swiss buy-to-let properties and we would be happy to mail you a brochure of our portfolio of Swiss investment properties, to arrange a property visit and to provide you with any other assistance needed while investing in Swiss property.
This information is for guidance purposes only and is subject to change. Winkworth recommend that prospective buyers or sellers of foreign property obtain professional legal advice.