Financing —

Mortgage loans & real estate financing

With our comprehensive range of real estate financing products, you can easily make your dream of owning your own home come true. We are one of the leading lenders in Switzerland, and our experienced specialists will actively support you in determining the best financing option for your new construction, alteration of a property or real estate acquisition. Our assistance also includes optimally matching the terms and interest charges to your asset situation.

A fixed-rate mortgage is suitable for you if you want to plan your interest costs for real estate financing over the long term and expect interest rates to rise.

This is because the interest rate remains unchanged throughout the entire term with a fixed-rate mortgage, which is based on the market conditions at the time the mortgage is concluded. For you, the fixed interest rate means expenses that are easier to budget for, because your charge always remains the same.

Advantages

• Constant interest charges even when the interest rate rises
• Opportunity to benefit from lower interest rates over the long term
• Precise planning
• Can be combined with other products
• Custom combination of several fixed-rate mortgages with different terms possible

Restrictions

• No opportunity to benefit from a reduction in the interest rate level during the term
• No cancellation or partial repayment possible during the term
• Maturity may occur in a period of high interest rates, making refinancing more expensive

A forward fixed-rate mortgage is suitable if you want to hedge against rising interest rates at an early stage and lock in your interest costs in advance.

With a forward fixed-rate mortgage, the interest rate can be fixed up to three years in advance. This is subject to a surcharge that depends on the lead time and the term of the mortgage. The most profitable arrangement is to close at a low interest rate level when rising interest rates are expected. Since the interest rate remains constant over the entire term, you can precisely plan your budget.

Advantages

• Costs remain the same even if interest rates rise
• Opportunity to benefit in advance from lower interest rates over the long term
• Charges that can be clearly planned
• Can be combined with other products

Restrictions

• No opportunity to benefit from a reduction in the interest rate level
• No cancellation or partial repayment possible during the term

A money market mortgage is a form of medium- to long-term real estate financing that is based on short-term interest rates.

With a money market mortgage, you can benefit from low or falling money market interest rates. However, such a mortgage requires a corresponding risk tolerance and risk capability. Within the framework of the twelve-month term, the interest rate can be redefined in fixed periods (three-month intervals). At the end of such a period, you can also make a one-time switch to a fixed-rate mortgage.

Advantages

• Opportunity to benefit from falling money market interest rates
• High flexibility with the option of switching to a fixed-rate mortgage free of charge during the framework term

Restrictions

• Repayment not possible during the agreed term
• Hedging of interest rates in the upward direction not possible