The construction of holiday homes by foreign residents in the Swiss Alps has been made more complicated following voters approval of controversial proposal in 2012.
Keystone
The government has decided to abandon plans for tighter restrictions on real estate purchases in Switzerland by foreigners living abroad.
Most political parties, organisations and cantons opposed the plan, which was submitted for consultation, according to the justice ministry.
The government initially proposed to reform a 1985 law, notably closing loopholes, simplifying administrative procedures and improving implementation, according to the ministry statement on Wednesday.
Under the plans, citizens from outside the European Union and the European Free Trade Association would have been compelled to apply for an official permit even if they planned to live in the purchased property.
The government says it will continue to examine proposals to restrict co-ownership in Swiss companies by people living outside Switzerland.
Long history
Property ownership in Switzerland for foreign residents has been restricted for nearly 60 years.
The rules were tightened several times before the turn of the millennium. Parliament has blocked attempts by the government over the past 15 years for a partial easing of the regulations.
Several people’s initiatives over the past five decades have also tried to limit the construction of holiday homes. In 2012, voters narrowly approved a 20% cap on holiday homes in mountain regions.
You can find an overview of ongoing debates with our journalists here. Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.
Read more
More
Foreign property purchase to face restrictions
This content was published on
Under the draft bill, buying property in Switzerland for people living outside the European Union or the European Free Trade Association (EFTA) could become subject to approval by the authorities. The reform is aimed at closing loopholes in the current legislation and reducing the administrative burden for the local authorities, according to a statement by…
This content was published on
While the idea of abolishing the so-called Lex Koller is widely accepted, the parliamentarians said that any change to the legislation would have to be accompanied by strong measures to avoid speculation. While those demanding the law be scrapped immediately say it is a hindrance to the development of the tourist trade, many representatives voiced…
This content was published on
Prices have dipped anywhere from 3% to 9 % year-on-year in some of the best-known Swiss tourist destinations, such as St Moritz and Verbier. This contrasts drastically with steadily increasing housing costs in the French and Austrian Alps, UBS says. UBS blames the plunging Swiss holiday home market on the strong franc combined with a…
This content was published on
Environment Minister Doris Leuthard called on all sides involved to cooperate to clarify open questions and prepare the necessary legal reforms which respect the new constitutional amendment. Leuthard said many questions about the scope of the initiative and pending construction permits remained to be answered. She said the cabinet shared voters’ concern about the increasing…
This content was published on
Reaction is split, with politicians, home-owners, hoteliers, estate agents and environmentalists all chipping in but all aware that until the federal government works out how to implement the result, not much is going to change. On Sunday, 50.4 per cent of Swiss voters agreed that “in every commune where at least 20 per cent of…
You can find an overview of ongoing debates with our journalists here. Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.