Dream home calculator

Q: What determines my budget when it comes to financing my own home?

Income and financial affordability In general, the higher and more stable your income, the easier it is to take out a mortgage. However, it is not only the amount of income that matters, but also the ratio between your income and ongoing housing costs. Equity for purchasing property As a rule, a substantial proportion of equity is required to buy a property in Switzerland. At least 20% equity is often used as a guideline for financing a property. Mortgage interest rates and estimated costs In most cases, it is not just the current market interest rate that is considered when calculating affordability. The calculation uses estimated costs to check whether the financing would remain affordable if interest rates were to rise. Location, purchase price and ancillary costs The purchase price of a property depends to a large extent on the location, type of property, condition and demand. In addition to the purchase price, it is important to take into account ancillary purchase costs, ongoing maintenance, renovations and financial reserves.

Use Swiss Life’s dream home calculator to find out what is financially achievable and in which regions of Switzerland you could buy your dream home. We would also be happy to advise you in person.

Income and financial affordability

In general, the higher and more stable your income, the easier it is to take out a mortgage. However, it is not only the amount of income that matters, but also the ratio between your income and ongoing housing costs.

Equity for purchasing property

As a rule, a substantial proportion of equity is required to buy a property in Switzerland. At least 20% equity is often used as a guideline for financing a property.

Mortgage interest rates and estimated costs

In most cases, it is not just the current market interest rate that is considered when calculating affordability. The calculation uses estimated costs to check whether the financing would remain affordable if interest rates were to rise.

Location, purchase price and ancillary costs

The purchase price of a property depends to a large extent on the location, type of property, condition and demand. In addition to the purchase price, it is important to take into account ancillary purchase costs, ongoing maintenance, renovations and financial reserves.

Your imputed annual housing costs are compared to your income. These generally include interest costs, amortisation and ancillary costs.

A mortgage is considered affordable if the estimated housing costs do not exceed a third of your gross income. The exact calculation may vary depending on the lender.

If you want to buy a property in Switzerland, you usually have to finance around 20% of the purchase price yourself. At least part of this should come from your own funds and not money that is withdrawn from your occupational provisions.

Your budget for buying a home takes into account your income, equity, mortgage amount, estimated housing costs and ancillary costs. The Swiss Life dream home calculator provides an initial guide.

No. The calculator only provides initial guidance. For a binding financing offer, individual terms and conditions, and the most suitable mortgage strategy for your circumstances, we recommend a personal consultation.