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Old 08.06.2009, 14:16
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interest rate reduction = possible rent reduction [Referenzzinssatz]

Hi,

not sure if this has already been posted elsewhere or if this is the most appropriate section, anyhow... I got this information in the post this morning from the Zurich Mieterverband, of which I am a member, and thought it might interest some of you:

On 2nd June, the Federal Housing Office (Bundesamt für Wohnungswesen) announced the reduction in the reference interest rate from 3.5 to 3.25%. This means that many tenants* have the right to a reduction of up to 3% in their net rent.

However, most likely you will not be given this rent reduction automatically, but have to request it!

This is currently the first news item listed on the Zurich Mieterverband website, but from what I understand this is Switzerland wide, not just limited to Zurich (other areas are listed on the start page).

If you want to request a rent reduction according to the interest rate drop, you have to do this in writing and abide by the official notice periods as stated in your rental contract - the reduction can only take effect from that date (i.e. if your next official notice date (Kündigungstermin) is 1st October, with a 3 month notice period, you have to send the letter by recorded delivery (Eingeschrieben) by the end of this month for the reduction to take effect from 1st October).

The reduction won't be huge, but if you want to do this, there is a template letter for you to fill in the blanks (name, address, dates) to send to your landlord/agency here.


* There is also a disclaimer in the notes along the lines of 'if the last time your rent was adjusted due to interest rates is between June 2003 and December 2007, then you won't be entitled to a reduction, because the rate then was lower (fell from 3.25 to 3% during this time).' You're only entitled to a reduction if your current rent is based on the 3.5% rate. If you're not sure, it doesn't hurt to ask.
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Old 08.06.2009, 14:32
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Re: interest rate reduction = possible rent reduction

Ours was highered last year with a promise to lower it again if the rate changed again. I suppose some owners are less generous and need to be reminded.
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Old 08.06.2009, 22:11
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Re: interest rate reduction = possible rent reduction

The national reference interest rate was only introduced in September 2008. If you signed your contract back then or later, it does qualify in principle, as I understand it. The same applies if your rent was increased after that date to bring it in line with the national reference interest rate.

Long time tenants have to check their contract or latest adjustment letter to research if their current rent is based on an interest rate over 3.25%. (e.g. if it is a 4% reference rate even, the mathematical reduction is 8.26% of the rent)

The reduction is influenced by inflation (which hovewer in the most recent quarters has been low or even negative) - I assume this is a rather small influence. The reduction can also be lowered if the landlord can prove that maintenance costs have increased.

Most tenants probably have to take action themselves to get the reduction. Livit for example has stated that no rents will be adjusted automatically (source).
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Old 08.06.2009, 22:25
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Re: interest rate reduction = possible rent reduction

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Hi,

not sure if this has already been posted elsewhere or if this is the most appropriate section, anyhow... I got this information in the post this morning from the Zurich Mieterverband, of which I am a member, and thought it might interest some of you:

On 2nd June, the Federal Housing Office (Bundesamt für Wohnungswesen) announced the reduction in the reference interest rate from 3.5 to 3.25%. This means that many tenants* have the right to a reduction of up to 3% in their net rent.

However, most likely you will not be given this rent reduction automatically, but have to request it!

This is currently the first news item listed on the Zurich Mieterverband website, but from what I understand this is Switzerland wide, not just limited to Zurich (other areas are listed on the start page).

If you want to request a rent reduction according to the interest rate drop, you have to do this in writing and abide by the official notice periods as stated in your rental contract - the reduction can only take effect from that date (i.e. if your next official notice date (Kündigungstermin) is 1st October, with a 3 month notice period, you have to send the letter by recorded delivery (Eingeschrieben) by the end of this month for the reduction to take effect from 1st October).

The reduction won't be huge, but if you want to do this, there is a template letter for you to fill in the blanks (name, address, dates) to send to your landlord/agency here.


* There is also a disclaimer in the notes along the lines of 'if the last time your rent was adjusted due to interest rates is between June 2003 and December 2007, then you won't be entitled to a reduction, because the rate then was lower (fell from 3.25 to 3% during this time).' You're only entitled to a reduction if your current rent is based on the 3.5% rate. If you're not sure, it doesn't hurt to ask.
I signed a lease for our apartment starting from 1 April this year. Would I be entitled to this drop in rate too?
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Old 24.06.2009, 23:06
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Re: interest rate reduction = possible rent reduction

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I signed a lease for our apartment starting from 1 April this year. Would I be entitled to this drop in rate too?
Yes, starting from the first lease termination date as defined in your leasing agreement.

Martin
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Old 24.06.2009, 23:15
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Re: interest rate reduction = possible rent reduction

It's interesting: I moved to CH and rented an apartment from May this year - I agreed to a minimum rent duration until October 2010 (I plan to stay long term): and the the surprise, yesterday I received a note from my agency / landlord, that my rent will go down from October 1st...

Needless to say, it's a pleasant surprise (even thoug it's only ca 2% reduction), because I figured I wouldn't have a chance asking for reduction, due to being such a new renter and having agreed a longer minimum term... Go figure
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Old 08.06.2009, 22:40
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Re: interest rate reduction = possible rent reduction

According to jot's link to the Zurich Mieterverband, yes.
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Old 08.06.2009, 22:49
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Re: interest rate reduction = possible rent reduction

Do you send this application to the firm handling the rental property (Livit, Vertit, etc.) or the owner of the property?
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Old 08.06.2009, 23:50
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Re: interest rate reduction = possible rent reduction

According to the Zurich renter's association draft letter, you send it to the administration (e.g. Livit).
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Old 08.06.2009, 23:53
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Re: interest rate reduction = possible rent reduction

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Do you send this application to the firm handling the rental property (Livit, Vertit, etc.) or the owner of the property?
yes to the handler if there is one and direct to landlord if not.

Last edited by bill_door; 09.06.2009 at 00:05. Reason: typos
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Old 24.06.2009, 17:47
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Re: interest rate reduction = possible rent reduction

Can anybody kindly have a template letter in French?
Thanks!

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The reduction won't be huge, but if you want to do this, there is a template letter for you to fill in the blanks (name, address, dates) to send to your landlord/agency here.
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Old 13.07.2009, 22:56
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Rents going DOWN?

Hi folks

We rented an apartment recently, signing the lease about 2 months ago. At the time it was explained to us that the rent would increase automatically with the thingummyjig index (not sure exactly what it's called ... renting index?), but also that it would be decreased if the index decreases -- but ONLY if we apply for a decrease.

Does anyone know where I can track this index on line? Also, any advice or comments about rental decreases due to moves in the index -- has anyone experienced this?

Many thanks!
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Old 13.07.2009, 23:04
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Re: interest rate reduction = possible rent reduction

You can track it here:

http://www.bwo.admin.ch/themen/mietr...285/index.html
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Old 13.07.2009, 23:16
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Re: interest rate reduction = possible rent reduction

Many thanks, Nathu, and thanks for moving my post to the right place.
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Old 14.07.2009, 08:36
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Re: interest rate reduction = possible rent reduction

I think I got this reduction, without even asking! Well, I got a letter saying my rent would go down from 1 November - I know that because it was the numbers bit. As to the rest of the letter, presumably explaining what happened and why, I'll wait till I can get someone to translate for me.

Common sense says it's got to be related to this interest rate thing but I'll have someone check the letter just in case it says 'and we promised your soul to satan'!
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Old 16.07.2009, 01:27
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Re: interest rate reduction = possible rent reduction

Hi,

I just received a letter from my agent informing me that the rent reduction will take effect from 1. April 2010 . Given that I started my tenancy on 1 Jan 2009 based on minimum 1 year contract, is this effective date correct?
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Old 01.12.2010, 16:15
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Info: 'Referenzzinssatz' went down -check your rental contracts

As of tomorrow the new Referenzzinsatz is 2.75 (down from 3%), so you might be eligible for a reduction in your rent (http://www.bwo.admin.ch/themen/mietr...x.html?lang=de). Check on your contracts or earlier reduction allowances what the % was. The Mieterverband suggests that if it is 3.25% or higher you probably are eligible for a reduction (www.mieterverband.ch).
I have no further information, but thought I d share this in case it comes in useful for some of you. You will need to officially apply for the reduction by the next notice date of your contract.
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Old 05.11.2011, 20:45
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Re: Info: 'Referenzzinssatz' went down -check your rental contracts

Would the Referenzzinssatz sink any further in December ?

Attached Thumbnails
interest-rate-reduction-possible-rent-reduction-referenzzinssatz-referenzzinssatz.png  
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Old 09.12.2011, 00:19
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Re: Info: 'Referenzzinssatz' went down -check your rental contracts

Referenzzinssatz - Mietzinsreduktion / Mietzinsherabsetzungsbegehren ( quite a lengthy word - EN Rent Reduction Request ).

There are decent sample letters in the following link that one can customise:

http://www.law-news.ch/2010/12/mietz...tzinsreduktion

Word sample from Beobachter is here



Quote:
Mortgage reference rate for tenancies

Applies for rent adjustments due to changes in mortgage interest since 10 September 2008 for the whole of Switzerland, a single reference rate. This is based on the average interest rate of the mortgage banks. It replaced the earlier in the cantons assessed the interest rate on variable mortgages.

Current reference rate: 2.5%
valid since 02.12.2011

Hypothekarischer Referenzzinssatz bei Mietverhältnissen

Für Mietzinsanpassungen aufgrund von Änderungen des Hypothekarzinssatzes gilt seit dem 10. September 2008 für die ganze Schweiz ein einheitlicher Referenzzinssatz. Dieser stützt sich auf den hypothekarischen Durchschnittszinssatz der Banken. Er ersetzte den in den Kantonen früher massgebenden Zinssatz für variable Hypotheken.

Aktueller Referenzzinssatz: 2,5 %
gültig seit 02.12.2011
Source: ( Federal Office of Housing )Officialdom
Attached Thumbnails
interest-rate-reduction-possible-rent-reduction-referenzzinssatz-rentreductionrequestsample-entranslated.png   interest-rate-reduction-possible-rent-reduction-referenzzinssatz-rentreductionrequestsampleletterde.jpg   interest-rate-reduction-possible-rent-reduction-referenzzinssatz-devintrateen.png  
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Old 23.02.2012, 13:17
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Rent Reduction-Referenzzinssatz für die Anpassung der Mieten

Hi all,

I've been informed by a friend that we might be in title for a reduction on our rent due to the drop of the mortgage interest rate.
By Swiss law (apparently) means that if your rent is linked to the reference rate you could be due a discount. Some landlords do this automatically but it seems with the majority you have to make the request in writing.

Has someone already done it?
Does someone have any further informations?

By the way, this hold be the letter to make the request:

Sehr geehrte Damen und Herren
Den Medien konnten wir entnehmen, dass der Referenzzinssatz für Hypotheken gesunken ist. Wir ersuchen Sie höflich, unsere Nettomiete auf den nächsten Kündigungstermin entspre-
chend zu reduzieren und dabei auch allfällig noch nicht weitergegebene frühere Hypothe- karzinssenkungen zu berücksichtigen. Gleichzeitig bitten wir Sie um eine entsprechende schriftliche Bestätigung innert 30 Tagen.
Sollten Sie unserem Herabsetzungsbegehren nicht oder nur teilweise entsprechen können, bitten wir Sie, uns Ihre Gründe innert der gleichen Frist mitzuteilen.
Freundliche Grüsse
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comparis, housing, interest rate, mieterverband, mietzins, referenzzinssatz, rent, rent decreases, rent reduction




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