Replace mortgage
At the right time
Switching is easier than you might think—and can be hugely beneficial financially. Even small differences in interest rates can mean savings of several thousand francs per year. The right time to also depends on the and the terms of the contract.
A mortgage lender provides capital for a Mortgage. In Switzerland, these are primarily banks, insurance companies, Pension funds, and investment foundations, whose offers can vary significantly in terms of interest rates, terms, and lending criteria. HYPOTHEKE.ch works with all major Swiss mortgage lenders.
A mortgage loan model describes the type of interest rate structure and term of a mortgage, such as Fixed-rate mortgage,SARON mortgage, or variable-rate mortgage. Transparent models make it easier to compare options and help you consciously manage interest rate risk and ensure planning certainty. Find more information here about mortgages with long terms: 10-year fixed-rate mortgage
Overview
When can you replace your mortgage?
In general, mortgages can only be switched on the expiration date. There are no legal restrictions on this, but there are contractual ones. Most providers offer the option to sign a new contract as early as 12 to 24 months before the expiration date—known as a
The key point is:
- Term / Expiration Date
- Notice Period
- Mortgage loan model
Even though the replacement of a mortgage can only occur upon its expiration, a new mortgage can be taken out with another provider beforehand (effective as of the expiration date of the current mortgage).
The tool used for this is the Forward Mortgage.
Our Top Interest Rates
Apply directly on our platform
Information on the best mortgage rates from HYPOTHEKE.ch
The interest rates on our Mortgage platform are updated hourly by our Mortgage lenders. The “starting at” rates / top rates displayed here are offered by at least one provider on HYPOTHEKE.ch. These represent the best possible Mortgage interest rates currently available. Individual rates ready for closing depend on various parameters such as Loan-to-value ratio, Affordability, property value, region, and other factors, and may differ from the rates displayed here.
Switching Providers
Best Time to Switch
Anyone who wants to should start taking action 12 to 18 months before the term expires and request quotes. Depending on your personal situation, the ideal time to sign the new contract is about 6 months before the expiration date.
Note: Signing a contract too early may result in higher . However, this depends heavily on the future mortgage provider. Depending on the situation, it may make sense to finalize the deal well over six months before the existing Mortgage expires.
Tip: Enter your situation early on at
. You can also set up an interest rate alert so you’re always informed about the best mortgage offers.
Mortgage
A Mortgage is a loan for the purchase or construction of real estate in Switzerland, with the property serving as collateral. Mortgages can be arranged directly with a mortgage provider or through mortgage platforms. HYPOTHEKE.ch is the largest online mortgage platform. The main types of mortgages in Switzerland are as follows: Fixed-rate mortgage,SARON mortgage
Forward Surcharge on Mortgages
A forward surcharge is an additional fee added to the Mortgage interest when a Fixed-rate mortgage is taken out before its actual start date. Mortgage lenders lock in the interest rate for the future and charge a surcharge in return. The amount of the forward premium depends on the provider and the time remaining until the Mortgage begins. Taking out a Mortgage early can make sense if rising mortgage interest rates are expected or if you want planning certainty. The forward premium is related to the Mortgage yield curve. The steeper the current curve, the higher the premium.
Frequently Asked Questions
Answers about the replacement of a Mortgage
A mortgage can generally be replaced at the end of the term or after the notice period has expired. For , this usually only makes sense at the end of the contract. You can usually sign a new contract with a third-party provider as early as 12 to 24 months before the contract ends, allowing you to renew the Mortgage ahead of schedule.
A fixed-rate mortgage is a mortgage with a fixed interest rate over an agreed-upon term. This means that the mortgage interest rate remains unchanged throughout the entire term, providing predictability regarding financing costs. Fixed-rate mortgages are among the most popular types of mortgages in Switzerland. Learn more here: Fixed-Rate Mortgages in Switzerland
Many providers do not charge fees for replacing a mortgage. In some cases, however, fees may be charged for the one-time cost of replacing the mortgage or for the delivery of the Borrower's notes. As a general rule, though, the fees are low, and switching providers is still worth it.
Ideally, you should start the process 12 to 18 months before the expiration date and finalize the deal 3 to 6 months before the expiration date.
Check interest rates regularly and take out the “new” Mortgage as soon as you find a truly good offer. This way, you can secure the with very low or no additional costs. Depending on your interest rate expectations or the shape of the , it may also make sense to take out a mortgage much earlier.
Mortgage with the Best Interest Rate
The Mortgage with the best interest rate isn’t always the first offer you see, but rather the one with a low interest rate, suitable terms, and transparent fees. A comprehensive comparison of mortgage providers’ interest rates increases your chances of saving money. For a personalized calculation of offers, you can use mortgage marketplaces such as HYPOTHEKE.ch.
Switching providers typically results in interest savings of 0.2 to 0.5%—which usually amounts to several thousand francs per year.
Customers of HYPOTHEKE.ch save an average of 0.3% compared to the offer from their primary bank. Over a ten-year term, that translates to an average interest savings of more than 20,000 francs.
No. You can only switch after the term has expired or after giving notice—or with flexible models such as a with no fixed term.
Most lenders do not require a notice period for fixed-term mortgages. However, there are exceptions. Therefore, be sure to review the contract with your mortgage lender.
In this case, there are usually only two options: either temporarily settle for an expensive stopgap solution such as a —or stay with your current provider.
This can cost several thousand francs extra. Be sure to talk to the mortgage lender, though. Since notice periods are rather rare, some mortgage lenders turn a blind eye and “let you go ahead anyway.” However, you’re relying on the mortgage lender’s goodwill.
A variable-rate Mortgage does not have a fixed interest rate. The interest rate can be adjusted by the lender. It is often less transparent than fixed-rate or SARON mortgages and should be carefully reviewed due to potential interest rate changes and cancellation terms.
No. In most cases, replacement is straightforward: The process is standardized, well-organized by financial institutions, and requires very little effort on the customer’s part.
The new provider typically applies to the majority of the processing. You usually don’t have to worry about a thing. If the mortgage is arranged through HYPOTHEKE.ch, we also monitor the replacement and ensure that everything goes smoothly.
Some of the most common mistakes include: comparing options too late or not at all, getting only a single quote, missing cancellation deadlines, and blindly relying on your primary bank.
By reviewing multiple providers, comparing offers, and using such as HYPOTHEKE.ch, you can secure the best terms on the market. The can also be an attractive option.
An online mortgage platform allows you to calculate mortgage rates digitally, compare mortgages, and, depending on the provider, apply for one directly. The advantages include transparency, a wide selection of providers, and the ability to quickly compare mortgage rates. Transparency also helps ensure low interest rates. Would you like to get the best interest rates on your Mortgage? Use our tool:
The online channel for mortgages enables digital mortgage sales and mortgage comparisons via websites, apps, or platforms. Especially when it comes to mortgages, it provides transparency, efficiency, and access to multiple providers at the same time. Learn more here: Mortgage platform
Caution
Notice periods for fixed-rate mortgages
Some fixed-rate mortgages have cancellation periods—while this is rare, it can become a critical issue. Anyone who misses the deadline risks an automatic extension or an expensive interim solution. It is therefore advisable to review the contract at least 12 months before it expires. For providers with cancellation periods, it’s worth submitting the cancellation notice immediately after signing the contract and obtaining written confirmation.
Not very flexible at all
Replacement of a SARON Mortgage
SARON mortgages appear flexible, but they often come with with terms ranging from two to five years. During this period, you cannot switch providers. Therefore, check whether your SARON mortgage includes such a minimum term. If so, you can switch providers—just as with a Fixed-rate mortgage—at the end of the contract term, typically 12 to 18 months before the framework term expires.
Important Practical Tip
Avoid / Plan for Staggered Payments
People who hold multiple mortgages with different terms often run into a problem when switching providers: Large gaps between the maturity dates make it difficult or impossible to switch to a new provider.
Rule of thumb for a smooth switch to a new provider:
- Deferred payments for up to 12 months → no problem
- Installment plan up to 18 months → usually possible
- Installment plan over 24 months → rather difficult
Consequence of an excessively long amortization schedule: You are tied to the lender—and lose bargaining power when renewing the installments that come due early.
Read more here: Should you choose a stepped-rate Mortgage or not?
Mortgage amortization
Stepped-rate mortgages can easily turn into a risky obstacle course.
Flexible or Risky
Take out a SARON loan and switch to a Fixed-rate mortgage later
Those who start with SARON and later want to switch to a Fixed-rate mortgage often find themselves in a bind: The switch is usually only possible with the same provider—with little and, consequently, less favorable terms.
Competition in the Swiss mortgage market arises when banks, insurance companies, Pension funds, investment foundations, and other mortgage lenders compete for the same customers. The more transparent the market is, the stronger this competition becomes. HYPOTHEKE.ch capitalizes on this by ensuring transparency and collaborating with all major mortgage lenders in Switzerland.
Switch your Saron mortgage to a fixed-rate mortgage
Anyone who starts with a SARON mortgage and wants to switch to a fixed-rate mortgage when interest rates are clearly rising usually finds it’s too late—the market has long since priced in the rate hikes.
Common Mistakes
When Switching Providers
The Best Mortgage for You
Only with us is it this easy
The quote is free and non-binding