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Old 12.02.2020, 10:42
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Rent decreases

Under which conditions is a rent reduction possible in Switzerland?
I understand that the level of rent decrease (or increase) is linked to a base rate. Where can I find this rate?
Also is it the absolute level of the rate that counts, e.g. if it is negative this implies a rent decrease, or it is the differential from previous marking that counts, if only if the rate decreased the rent would be decreased.
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Old 12.02.2020, 10:48
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Re: Rent decreases

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Under which conditions is a rent reduction possible in Switzerland?
I understand that the level of rent decrease (or increase) is linked to a base rate. Where can I find this rate?
Also is it the absolute level of the rate that counts, e.g. if it is negative this implies a rent decrease, or it is the differential from previous marking that counts, if only if the rate decreased the rent would be decreased.
It's based on the rate written in your contract v the actual rate today.
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Old 12.02.2020, 11:10
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Re: Rent decreases

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It's based on the rate written in your contract v the actual rate today.
So if I had a rate decrease last year and the rate hasn't moved today vs last year, then there is no decrease I guess.
Where can I see the rate today?
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Old 12.02.2020, 11:18
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Re: Rent decreases

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So if I had a rate decrease last year and the rate hasn't moved today vs last year, then there is no decrease I guess.
Where can I see the rate today?
The comparison rate is called the Hypothekarischer Referenzzinssatz in German and can be found here (Swiss Confederation website available in D, F, I). It is currently 1.5% and has been that way since 02.06.2017.

There's a long thread on EF here in which someone will usually post any changes to the rate. You can also find templates for letters of application for a rent reduction due to lowering of the Referenzzinssatz.
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Old 12.02.2020, 11:44
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Re: Rent decreases

It is a process and by no means guaranteed. If the landlord can show his interest rate on his mortgage is high, expenses are high, there have been renovations, or the rent is not out of line with rents being charged in the area etc, then you may not not get any reduction.
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Old 12.02.2020, 12:35
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Re: Rent decreases

just ask, you will see what happened.
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Old 12.02.2020, 12:44
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Re: Rent decreases

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just ask, you will see what happened.
Best to check first before awaking people, OP would not be the first who ends up with a higher rent after asking for a lower one.
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Old 12.02.2020, 13:51
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Re: Rent decreases

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Best to check first before awaking people, OP would not be the first who ends up with a higher rent after asking for a lower one.
well I didn't know or think about it.
When I was renting I just did it. and it works.

But it's a good warning.
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Old 12.02.2020, 15:38
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Re: Rent decreases

As I mentioned above, the rate hasn't moved for more than a year and a half, so there's no justification for asking for a rent reduction now unless you have a higher rate in your pre-June 2017 rental contract and haven't requested a reduction in the last 20 months.
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Old 12.02.2020, 16:58
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Re: Rent decreases

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There's a long thread on EF here in which someone will usually post any changes to the rate. You can also find templates for letters of application for a rent reduction due to lowering of the Referenzzinssatz.
We tried this back a couple of years when the rate moved. Didn't get a response from the landlord but after some research concluded this was no bad thing as we also didn't get any increase, and with hindsight were probably on a pretty good deal. Definitely something to research and understand individually for each property…
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Old 12.02.2020, 17:18
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Re: Rent decreases

We moved into our apartment when the reference interest rate was 2.5%, and it is now 1.5%.

A year ago, we requested a review of the rent, which was reduced by around 8%.

Link in french to the reference rate history. https://www.bwo.admin.ch/bwo/fr/home...szinssatz.html
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Old 12.02.2020, 17:26
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Re: Rent decreases

I requested reductions twice and go them each time. The landlord can of course apply their own adjustments to offset things, but overall I still pay around 6% or so less than when I moved in.
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Old 06.03.2020, 15:24
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Re: Rent decreases

The reference rate dropped again (1.5% -> 1.25%) at the 2nd of march 2020 .

here a useful link about this:

https://en.comparis.ch/immobilien/mi...tzinsreduktion



Cheers,
Fabrizio
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Old 21.05.2020, 14:46
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Re: Rent decreases

When is the next date when a new base rate will be announced? is it at some point in June ?
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Old 21.05.2020, 15:14
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Re: Rent decreases

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When is the next date when a new base rate will be announced? is it at some point in June ?
2nd of June 2020.
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Old 02.06.2020, 12:29
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Re: Rent decreases

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2nd of June 2020.
At what time is it announced - is the 1.25% I see the new rate ?
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Old 02.06.2020, 12:52
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Re: Rent decreases

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At what time is it announced - is the 1.25% I see the new rate ?
1.25% is the new rate (tho equal to the previous one)
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