Financing
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Money market mortgage – flexible financing with SARON
A money market mortgage is a form of medium- to long-term real estate financing that is based on short-term 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.
Your 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
Characteristics of a money market mortgage
| Minimum amount | CHF 100,000 |
| Interest rate | SARON* plus an agreed margin for the entire term |
| Interest date | Semi-annually |
| Amortisation | Individual, depending on contractual agreement |
| Cancellation | Not possible during term |
*The Swiss Average Rate Overnight (SARON) is based on market transactions as well as binding rates in the CHF money market. It is calculated and published by SIX Swiss Exchange AG on a daily basis.
Restrictions
- Repayment not possible during the agreed term
- Hedging of interest rates in the upward direction not possible
Arrange an appointment now
Get a variable interest rate and stable financing with VP Bank. Make an appointment now.
Arrange an appointment now
Get a variable interest rate and stable financing with VP Bank. Make an appointment now.