WHY YOUR OWN HOME?
Anyone looking for flats near large cities will quickly realise how high the current rents are - and the more central you want to live, the more money you will have to fork out each month. The problem is that rents have doubled in some locations in recent decades, while wages have unfortunately not risen to the same extent.
However, owning your own home can help here: A long-term mortgage is usually much more favourable than renting a comparable property over the same period.
It also has the fundamental advantage that your home really belongs to you. This is a big plus, especially for young families, as they can organise their home according to their needs.
We will be happy to provide you with further information.
TAX ADVANTAGES
Furthermore, the purchase of residential property also brings tax advantages: you can deduct the mortgage interest to be paid (and value-maintaining renovations) in full from your taxable income. To compensate for this, however, an imputed rental value is added to your income. This amounts to around 60 % of a standard market rent for a comparable property.
In addition to these deductions on the income side, the entire mortgage debt can be deducted from taxable assets. If you opt for indirect amortisation via a pillar 3a account, further tax deductions apply.
HOME OWNERSHIP = BIG INVESTMENT
Buying a home is a major investment, but it can turn out to be a sound investment in the long term. As space in Switzerland is limited and the population is constantly increasing, there is a shortage of building and living space - and a basic rule of economics is: the less of a certain supply there is, the more expensive it becomes. The chances of a gain in value are therefore good.
AGE PROVISION
If you buy your own home early enough with a mortgage, you can pay it back in full or in large part by the time you retire. As a result, the cost of housing is partially (or even completely) eliminated at retirement age, which elegantly compensates for the reduction in income as a result of retirement.
And if you reach an age at which you can no longer or no longer want to live in a house, the profit from the sale of the property is a welcome addition to your pension.
