Go Back   English Forum Switzerland > Help & tips > Housing in general  
Reply
 
Thread Tools Display Modes
  #21  
Old 31.01.2021, 16:53
Newbie 1st class
 
Join Date: Sep 2020
Location: Zürich
Posts: 16
Groaned at 10 Times in 2 Posts
Thanked 0 Times in 0 Posts
maxjonson has no particular reputation at present
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
House prices haven't appreciated here in the past 30 years.

Tom
So it's just the CHF thats is losing value. People i know have almost 30-40% gains in last 15years.
Reply With Quote
This user groans at maxjonson for this post:
  #22  
Old 31.01.2021, 17:02
st2lemans's Avatar
Forum Legend
 
Join Date: Dec 2010
Location: Lugano
Posts: 32,243
Groaned at 2,467 Times in 1,784 Posts
Thanked 39,338 Times in 18,541 Posts
st2lemans has a reputation beyond reputest2lemans has a reputation beyond reputest2lemans has a reputation beyond reputest2lemans has a reputation beyond reputest2lemans has a reputation beyond reputest2lemans has a reputation beyond repute
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
So it's just the CHF thats is losing value. People i know have almost 30-40% gains in last 15years.
Where? Certainly not an any areas that I know.

And the CHF has only gained value over the past 75 years.

Tom
Reply With Quote
  #23  
Old 31.01.2021, 17:22
newtoswitz's Avatar
Forum Legend
 
Join Date: Jan 2010
Location: Rapperswil
Posts: 3,754
Groaned at 75 Times in 70 Posts
Thanked 4,537 Times in 2,076 Posts
newtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond repute
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
House prices haven't appreciated here in the past 30 years.

Tom
"Here" as in Ticino specifically? Because Switzerland they definitely have (although with ups and downs as you'd expect).

1-rule-buying-house-switzerland-property.png

Source: https://tradingeconomics.com/switzerland/housing-index
Reply With Quote
  #24  
Old 31.01.2021, 18:41
fatmanfilms's Avatar
Forum Legend
 
Join Date: Apr 2010
Location: Verbier
Posts: 21,376
Groaned at 461 Times in 352 Posts
Thanked 23,091 Times in 11,824 Posts
fatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond repute
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
"Here" as in Ticino specifically? Because Switzerland they definitely have (although with ups and downs as you'd expect).

Attachment 141235

Source: https://tradingeconomics.com/switzerland/housing-index
Wow 20% in 30 years, thats 0.6% compound.
Reply With Quote
This user would like to thank fatmanfilms for this useful post:
  #25  
Old 31.01.2021, 19:02
Forum Legend
 
Join Date: May 2007
Location: Lugano
Posts: 6,509
Groaned at 129 Times in 95 Posts
Thanked 7,888 Times in 3,677 Posts
Mrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond repute
Re: 1% rule and buying a house in Switzerland

Many houses which are rented out were not necessarily purchased with that intention. They've been in the family for years and no one wants to sell, or the owners don't agree. Sometimes these properties just sit empty.

Builders might rent out a house which they cannot sell, but many have found this is more hassle than it's worth.

If you buy thinking you might need to rent it out, think very carefully about whether the rent you will be asking is realistic and whether there is a demand for such a property.
Reply With Quote
The following 6 users would like to thank Mrs. Doolittle for this useful post:
  #26  
Old 31.01.2021, 23:08
newtoswitz's Avatar
Forum Legend
 
Join Date: Jan 2010
Location: Rapperswil
Posts: 3,754
Groaned at 75 Times in 70 Posts
Thanked 4,537 Times in 2,076 Posts
newtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond reputenewtoswitz has a reputation beyond repute
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
Wow 20% in 30 years, thats 0.6% compound.
Yes it's a pretty poor return, but that's not the same as not appreciating.

And consider that even that level of appreciation over 20 years deals with the amortisation part of the mortgage, you're not paying rent if you live in it, you're insured against a landlord kicking you out, and the investment was leveraged by the mortgage.
Reply With Quote
  #27  
Old 01.02.2021, 13:50
Forum Veteran
 
Join Date: Nov 2007
Location: Vaud
Posts: 1,030
Groaned at 128 Times in 63 Posts
Thanked 533 Times in 282 Posts
markalex has an excellent reputationmarkalex has an excellent reputationmarkalex has an excellent reputationmarkalex has an excellent reputation
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
House prices haven't appreciated here in the past 30 years.

Tom
This isn't true Tom. I got a place 20 years ago and it has almost doubled in value in that time.

But is property generally a good investment, yes I think so although not at the end this guy seems to be playing. If you got that much money, build your own with some granny flats as part of the build and plan to rent those out, live in the main property.

Its all about location really, you want a place close to a big international business like UBS or Credit Suisse. A location that come with tenants to rent with it.
Reply With Quote
  #28  
Old 01.02.2021, 14:27
fatmanfilms's Avatar
Forum Legend
 
Join Date: Apr 2010
Location: Verbier
Posts: 21,376
Groaned at 461 Times in 352 Posts
Thanked 23,091 Times in 11,824 Posts
fatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond repute
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
This isn't true Tom. I got a place 20 years ago and it has almost doubled in value in that time.
Have you done any repairs or renovations in that 20 years, you need to deduct these first.
Reply With Quote
  #29  
Old 01.02.2021, 16:00
Junior Member
 
Join Date: Apr 2020
Location: Basel
Posts: 96
Groaned at 0 Times in 0 Posts
Thanked 80 Times in 43 Posts
basel has earned some respectbasel has earned some respect
Re: 1% rule and buying a house in Switzerland

This page gives a good indication of areas which has seen a price increase , be sure to toggle between apartment and house .. Data is not refreshed from 2018 but you still get a decent indication

https://en.comparis.ch/immobilien/preisentwicklung
Reply With Quote
  #30  
Old 01.02.2021, 16:07
Forum Veteran
 
Join Date: Jul 2014
Location: lugano
Posts: 903
Groaned at 157 Times in 81 Posts
Thanked 841 Times in 451 Posts
DL21 has earned the respect of manyDL21 has earned the respect of manyDL21 has earned the respect of many
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
This page gives a good indication of areas which has seen a price increase , be sure to toggle between apartment and house .. Data is not refreshed from 2018 but you still get a decent indication

https://en.comparis.ch/immobilien/preisentwicklung
that calculator looks like total bullshit to me:

for lugano area:
2007-2008: -3%
2007-2018: +61%
2008-2018: +40%
Reply With Quote
  #31  
Old 01.02.2021, 16:08
fatmanfilms's Avatar
Forum Legend
 
Join Date: Apr 2010
Location: Verbier
Posts: 21,376
Groaned at 461 Times in 352 Posts
Thanked 23,091 Times in 11,824 Posts
fatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond repute
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
This page gives a good indication of areas which has seen a price increase , be sure to toggle between apartment and house .. Data is not refreshed from 2018 but you still get a decent indication

https://en.comparis.ch/immobilien/preisentwicklung
Shame it's over such a short time scale.
Reply With Quote
  #32  
Old 01.02.2021, 16:33
Izzt89's Avatar
Member
 
Join Date: Nov 2020
Location: Zurich, Zug
Posts: 152
Groaned at 0 Times in 0 Posts
Thanked 352 Times in 139 Posts
Izzt89 has a reputation beyond reputeIzzt89 has a reputation beyond reputeIzzt89 has a reputation beyond reputeIzzt89 has a reputation beyond repute
Re: 1% rule and buying a house in Switzerland

Quote:
View Post
I'm buying a one family house 6.5room (186m2 living area) in Switzerland for around 2million chf in a cute village, 30min from Zürich. I have been reading alot about real-estate investing while preparing bank documents and came across the 1% rule which say you should ideally be able to generate 1% of the house total value a month in rental income which to me seems far of in my case. Eg. i will for sure not be able to collect 20.000chf on a 2million chf home. Maybe i could get 4-6000chf.

Is the Swiss market a terrible housing investment or why is this 1% rule so far of in my case.

Article about 1% rule:
https://learn.roofstock.com/blog/the...ironclad-is-it
I heard that podcast, and man, those guys speaking on that website, as well the idea of that roofstock business model in Europe - let alone Switzerland-, for an individual (private) investment, is a mirage....
Reply With Quote
This user would like to thank Izzt89 for this useful post:
Reply

Tags
1% rule, housing, investing, rent a house




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Buying an house in Switzerland Checco Housing in general 76 26.01.2021 22:29
Buying a house on B permit in Switzerland Guest Housing in general 25 07.01.2021 22:27
Advice : Buying A House With My Boyfriend In Switzerland. carloncha Housing in general 39 20.10.2009 02:52
Buying a house in England when living in Switzerland - How? Guest General off-topic 8 27.07.2009 23:30
Your online identity in Switzerland (when buying a house) john_semour TV/internet/telephone 22 01.06.2008 21:37


All times are GMT +2. The time now is 17:27.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2022, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0