Prices are in reverse gear, more offers on property portals: These 10 mistakes you should avoid when buying a house

Good preparation is everything! If you’re looking to buy a house or condo, you must first narrow down which communities or areas suit your search. How long is the commute to work? How close do you want to settle to your family and friends? “If you clarify these questions from the beginning, you will save a lot of time and money,” says Adrian Wenger (51), mortgage expert at VZ Vermögenszentrum.

“Ideally, you work out what you can afford, either on your own or with outside help,” says Wenger. The first step is to verify current equity and income. “Buyers should be honest with themselves and take into account the interest on the borrowed capital and any depreciation,” says Ruedi Tanner (59), President of the Swiss Chamber of Realtors (SMK). If things go wrong, can these obligations be paid?

If you want to try owning your own home, it’s not enough to know how much money you have in your account. But it also matters how high the balance in the retirement fund is. These funds can be brought as an advance or as collateral when financing the home. Money in the Pillar 3a account can also be transferred as equity when purchasing a home. Of the 20 percent equity capital, a maximum of 10 percent of the purchase price can come from the 2nd column.

The financial contribution of the family can be very important when buying a house: “Possible loans from the family should therefore be clarified in advance,” says Wenger.

What’s true for a serious property appraisal is also true for home buyers: “The on-site inspection is the most important thing,” says Tanner. Street noise, church bells, the neighbor’s chicken coop: you must be open to all kinds of impressions. And don’t let the photos blind you. Even images on major online portals like Immoscout24 or Homegate can be enhanced and give the wrong impression. In some cases major defects are deliberately not shown in the pictures.

“Ratings are not published objectively,” warns VZ’s Wenger. Home buyers often rely on the information the seller provides. “But a lot of brokers create a valuation and then add 10 percent on top,” says Wenger.

On the contrary, it is also possible for sellers to avoid expertise costs and determine the price themselves. Therefore, buyers should not rely on the seller’s information but instead have an expert or bank estimate the market value.

House prices are also under pressure right now. In some places, prices are already falling. “You can always ask for a lower price,” Tanner told SMK.

To understand the market, home buyers should do cross-comparisons, experts say. For example, by comparing advertised properties in the same area. “This helps us better evaluate affordability,” says Wenger.

Sales documents are not a bible. Misinformation about the area, floor plan, or renovation is more common than you think. Many important information about a property is recorded in the land registry. This is visible to the public.

“The details are often hidden in private protocols that no one looks at,” says Wenger. For example, do other parties have rights of use or right of way over the property? Especially in the case of apartments, detailed justification files and house regulations, including pet care, can be left to the land registry office. Gain insight early and you’ll avoid misunderstandings and cost traps.

The first thing many home buyers do when it comes to financing a home is talk to their “home bank.” However, it is worth getting an offer from a competitor. And not just from other banks. “Insurance companies also offer some good mortgage products with favorable terms,” says Tanner. You can negotiate faster if you have another offer.

“Time pressure is often created by private sellers or unskilled brokers,” says the SMK President. “Don’t step on it!” Buying a home should always be carefully considered. It is one of the biggest decisions in many people’s lives.

Tanner said, “This is absolutely no way to do it!” says. Sellers often require a down payment for the home. This is a lot of money, running into tens of thousands of francs. This amount should never be paid directly or transferred to a special account. But always to a blocked account.