Why invest in Switzerland - Valais - Nendaz?
Why invest in Switzerland, and especially in the Valais and Nendaz?
Switzerland is a dream country for many people. There are many advantages that give it an exceptional quality of life, but we would like to highlight the following:
"Nendaz is particularly close to my heart, probably because I've lived here since I was born, but that's not all... I love taking refuge in our mountains for long walks, strolling along our many "bisses", skiing down our incredible ski area, or simply drinking a glass of fendant on the terrace of a café with friends." Françoise Gillioz, CEO.
Switzerland is a dream country for many people. There are many advantages that give it an exceptional quality of life, but we would like to highlight the following:
- the security and stability of the country
- its tranquillity (even for very important or well-known people)
- its natural wealth, from vineyards to the highest peaks in the Alps, from dense forests to pastures and mountain lakes
- the climate, with no fewer than 300 sunny days in Central Valais (Nendaz)
- tax advantages (domiciliation, tax packages, inheritances ....).
"Nendaz is particularly close to my heart, probably because I've lived here since I was born, but that's not all... I love taking refuge in our mountains for long walks, strolling along our many "bisses", skiing down our incredible ski area, or simply drinking a glass of fendant on the terrace of a café with friends." Françoise Gillioz, CEO.
The first important questions to ask
To get off to a good start in your search for the property of your dreams, you need to know :
As real estate professionals, we're here to help you make the right choice!
- The budget you want to and/or can devote to this investment
- The amount of equity you need for a property purchase:
- 20 to 25% for a principal residence, with a domicile in our commune
- 25% for an investment property with a rental contract issued by our agency
- 35-50% for a second home (depending on your financial capacity)
- Swiss banks do not require full repayment of the property; we often encourage our customers to repay 40% to 50% of their debt before retirement, but every financial situation is different and requires different calculations.
- The location of the property is crucial. Do you want to be in the centre of the resort of Nendaz or outside? Close to the ski slopes or in the surrounding area? Close to a post office?
As real estate professionals, we're here to help you make the right choice!
Costs associated with buying a property
What costs should I bear in mind when buying a property?
Note that you will not have to pay any buying/selling commission. This is paid 100% by the seller.
As the owner of a property, you will have to bear various costs, including (but not limited to) the following :
- notary's fees (between 3 and 3.5%); these include drawing up the draft deed, the deed of sale and registration of the deed (transfer duty).
- bank charges for creating a mortgage schedule in the event of a loan: 1% on the price of the mortgage schedule.
Note that you will not have to pay any buying/selling commission. This is paid 100% by the seller.
As the owner of a property, you will have to bear various costs, including (but not limited to) the following :
- maintenance costs for a flat (PPE charges + electricity + internet + security)
- maintenance costs for a chalet (heating, electricity, internet, security, chimney sweeping, insurance, miscellaneous costs)
- building renovation and/or maintenance costs
- bank interest linked to your mortgage debt, as well as the amortisation of the property requested by your bank
- tax on the rental value of your property
- property tax on the taxable value of the property
The funding
Looking for finance?
In collaboration with the region's banks and insurance companies, we'll be happy to help you through the process of buying a property. To make your purchase a reality, we strongly advise you to compare the different offers from each institution. The complexity can be daunting, and we are here to support you in these important steps. Our partners, who specialise in this process, will find you the best rates and propose a financing plan tailored to your needs.
In collaboration with the region's banks and insurance companies, we'll be happy to help you through the process of buying a property. To make your purchase a reality, we strongly advise you to compare the different offers from each institution. The complexity can be daunting, and we are here to support you in these important steps. Our partners, who specialise in this process, will find you the best rates and propose a financing plan tailored to your needs.
All you need to know about laws: LFAIE - LEX KOLLER - LEX WEBER - LAT
LFAIE
In Switzerland, the acquisition of real estate by persons abroad is restricted by the Federal Act on the Acquisition of Real Estate by Persons Abroad of 16 December 1983 (LFAIE). These provisions are supplemented by provisions of cantonal law (implementing law and regulations). The cantonal authority of first instance responsible for issuing decisions in matters relating to the LFAIE is the Legal Office of the Land Registry. The aim of the Act is to prevent foreign ownership of Swiss real estate. Therefore, the acquisition of real estate in Switzerland by a foreigner is subject to authorisation, with certain exceptions.
For a foreigner to obtain authorisation, the law must expressly provide a reason for authorisation.
In Switzerland, it is possible for foreign nationals to acquire residential property by obtaining a B or C permit as a primary or secondary residence. A Swiss citizen legally domiciled in Switzerland may acquire a property.
Foreigners are permitted to purchase second homes for sale to foreigners in tourist areas such as Nendaz. If the property is resold by a foreigner, the authorisation is transferable.
In Switzerland, it is possible for foreign nationals to acquire property as a primary or secondary residence by obtaining a B or C permit. A Swiss citizen legally domiciled in Switzerland may purchase a property.
Foreigners are permitted to purchase second homes for sale to foreigners in tourist areas such as Nendaz.
If the property is resold by a foreigner, the authorisation is transferable.
LEX - WEBER
Secondary residences
The federal law on secondary residences (LRS), which came into force on 1 January 2016, implements the constitutional article on secondary residences (art. 75b Cst.). It requires all municipalities in Switzerland to draw up an inventory of accommodation once a year. In communes that have exceeded the 20% quota, in principle no new second homes can be authorised, which is the case for our commune of Nendaz. On the other hand, the commune of Nendaz does authorise principal residences following a domicile.
LAT
Federal Act on Spatial Planning (LAT)1 of 22 June 1979 (Status as at 1 January 2019)
1 The Confederation, the Cantons and the communes shall ensure that land is used sparingly and that there is a distinction between areas that can be built on and those that cannot.5 They shall coordinate those of their activities that have an impact on the organisation of land use, and they shall endeavour to ensure that land use is such as to guarantee the harmonious development of the country as a whole. In carrying out their tasks, they take into account natural conditions as well as the needs of the population and the economy.
Unfortunately, Nendaz is obliged to dezonate several more plots of land for its new land use plan. This is a difficult and complicated situation for the commune of Nendaz and, above all, for its residents, who have often saved all their lives to buy land for their children.
In Switzerland, the acquisition of real estate by persons abroad is restricted by the Federal Act on the Acquisition of Real Estate by Persons Abroad of 16 December 1983 (LFAIE). These provisions are supplemented by provisions of cantonal law (implementing law and regulations). The cantonal authority of first instance responsible for issuing decisions in matters relating to the LFAIE is the Legal Office of the Land Registry. The aim of the Act is to prevent foreign ownership of Swiss real estate. Therefore, the acquisition of real estate in Switzerland by a foreigner is subject to authorisation, with certain exceptions.
For a foreigner to obtain authorisation, the law must expressly provide a reason for authorisation.
In Switzerland, it is possible for foreign nationals to acquire residential property by obtaining a B or C permit as a primary or secondary residence. A Swiss citizen legally domiciled in Switzerland may acquire a property.
Foreigners are permitted to purchase second homes for sale to foreigners in tourist areas such as Nendaz. If the property is resold by a foreigner, the authorisation is transferable.
In Switzerland, it is possible for foreign nationals to acquire property as a primary or secondary residence by obtaining a B or C permit. A Swiss citizen legally domiciled in Switzerland may purchase a property.
Foreigners are permitted to purchase second homes for sale to foreigners in tourist areas such as Nendaz.
If the property is resold by a foreigner, the authorisation is transferable.
LEX - WEBER
Secondary residences
The federal law on secondary residences (LRS), which came into force on 1 January 2016, implements the constitutional article on secondary residences (art. 75b Cst.). It requires all municipalities in Switzerland to draw up an inventory of accommodation once a year. In communes that have exceeded the 20% quota, in principle no new second homes can be authorised, which is the case for our commune of Nendaz. On the other hand, the commune of Nendaz does authorise principal residences following a domicile.
LAT
Federal Act on Spatial Planning (LAT)1 of 22 June 1979 (Status as at 1 January 2019)
1 The Confederation, the Cantons and the communes shall ensure that land is used sparingly and that there is a distinction between areas that can be built on and those that cannot.5 They shall coordinate those of their activities that have an impact on the organisation of land use, and they shall endeavour to ensure that land use is such as to guarantee the harmonious development of the country as a whole. In carrying out their tasks, they take into account natural conditions as well as the needs of the population and the economy.
Unfortunately, Nendaz is obliged to dezonate several more plots of land for its new land use plan. This is a difficult and complicated situation for the commune of Nendaz and, above all, for its residents, who have often saved all their lives to buy land for their children.
Miscellaneous
Choix of the notary
As a property buyer, you are free to choose your notary, provided he or she is based in the canton where your property is located (Valais). We will, of course, be happy to recommend competent notaries in the region with whom we have experience of working.
The notary's fee is approximately 3% of the sale price in Valais, including transfer costs.
The notary will draw up the deed of sale and register it in the Land Register in Sion and with the Commune of Nendaz.
In the case of a mortgage, he will draw up the mortgage schedule that will be linked to your loan, which amounts to around 1%.
The notary's fee is approximately 3% of the sale price in Valais, including transfer costs.
The notary will draw up the deed of sale and register it in the Land Register in Sion and with the Commune of Nendaz.
In the case of a mortgage, he will draw up the mortgage schedule that will be linked to your loan, which amounts to around 1%.
Advice on sharing or inheritance
We will be happy to look at your situation and the possibilities for dividing your assets.
We are used to dividing up property on inheritance, creating lots and proposing alternatives.
If it is no longer possible to live in the property because it is too big or too small, or because it has to be sold or shared, we will work with you to find a solution.
Renting out the property can also be considered as a way of generating additional income.
Without any advice, heirs often want to get rid of property, whether it's land, a flat or a chalet or mayen. We will be on hand to establish a sale price or a "family" price between heirs.
If you need to create easements, we can help you find solutions.
When someone dies, the administration is very heavy and imposing. Our company will be happy to discuss this with you.
We are used to dividing up property on inheritance, creating lots and proposing alternatives.
If it is no longer possible to live in the property because it is too big or too small, or because it has to be sold or shared, we will work with you to find a solution.
Renting out the property can also be considered as a way of generating additional income.
Without any advice, heirs often want to get rid of property, whether it's land, a flat or a chalet or mayen. We will be on hand to establish a sale price or a "family" price between heirs.
If you need to create easements, we can help you find solutions.
When someone dies, the administration is very heavy and imposing. Our company will be happy to discuss this with you.
Advice for your retirement
When we reach retirement age, we often have a lot of questions. An analysis of the situation by an estate agent or a financial and/or pension specialist can be useful and beneficial.
- Should I stay in my house or flat?
- Should I sell my property or rent it out?
- Should I invest in a smaller property? Or a larger one to accommodate my grandchildren?
- Should I take advantage of tax breaks if I buy a property?
- Would I like to move to the Valais to enjoy an exceptional quality of life?
Contact
Don't hesitate to contact us for more information about our services.
Together, we'll find the right solutions for your needs, drawing on our experience, expertise and network.
Together, we'll find the right solutions for your needs, drawing on our experience, expertise and network.