Switzerland considers stricter rules on foreign real estate purchases

Wednesday 15 April 2026 - 13:45

Switzerland is preparing to tighten its regulations on property purchases by foreign nationals as part of efforts to address growing concerns over housing availability and population pressures.

The Swiss Federal Council has announced plans to revise existing legislation governing foreign ownership of real estate, commonly known as the Lex Koller law. The proposed changes aim to strengthen restrictions and ensure that domestic housing needs are prioritized in a market increasingly affected by demand from abroad.

Under the new proposals, non-European Union and non-European Free Trade Association citizens may face stricter conditions when purchasing property in Switzerland. This could include requiring official permits for acquiring primary residences and limiting the duration of ownership if they leave the country.

Authorities are also considering measures to reduce speculative investment in the real estate sector. Foreign buyers could be restricted from acquiring commercial properties solely for rental or investment purposes, while access to holiday homes may be further limited through reduced quotas and tighter resale conditions.

The initiative comes amid rising concerns about housing shortages in key urban areas, driven in part by sustained immigration and Switzerland’s strong economic environment. Officials argue that updated rules are necessary to maintain balance in the housing market and protect long-term affordability for residents.

Public consultations on the proposed reforms are expected to continue in the coming months, allowing stakeholders to weigh in before any legislative changes are finalized.