What are the main types of mortgages in Switzerland?

In Switzerland, there are three main types: the fixed-rate mortgage (guaranteed rate for a term of 2 to 15 years), the SARON mortgage (variable rate based on the SARON reference rate, adjusted daily) and the classic variable-rate mortgage (rate adjustable by the bank, now rare). SARON replaced LIBOR in 2021.

Which mortgage type is the cheapest in 2026?

In March 2026, the SARON mortgage is the cheapest with rates from 0.64% to 1.20%, compared to 1.09% to 1.65% for a 5-year fixed rate. However, SARON is variable and can increase if the SNB raises its policy rate. The choice depends on your risk tolerance and your expectations about rate movements.

How many banks should you compare to get the best rate?

The more you compare, the better. Rate differences between lenders can exceed 0.50% for the same profile. Comparing at least 5 to 10 offers is recommended, but a mortgage broker like Vision Hypotheques compares offers from 40+ partners on your behalf, maximising your chances of getting the best rate.

Is the rate displayed by a bank the rate I will actually get?

No, the displayed rate (window rate) is rarely the final rate. The actual rate depends on your profile: loan-to-value ratio, income, professional situation, existing banking relationship. Negotiation is essential -- a strong application can obtain a 0.10% to 0.30% reduction compared to the displayed rate.

Comparing mortgage types in Switzerland: complete guide

Choosing the right mortgage is a decision that impacts your finances for years. Fixed rate or SARON? What term? Which bank? This guide gives you all the keys to compare effectively and make the choice best suited to your situation.

Overview of mortgage types

The Swiss mortgage market mainly offers two major categories of mortgages, plus a few variants:

The fixed-rate mortgage

This is the most popular choice in Switzerland. You lock in a guaranteed interest rate for a set term (typically 2 to 15 years). Whatever happens in the markets, your payments remain identical for the entire contract duration.

Main advantage: total security and predictability.
Disadvantage: you do not benefit from a rate decrease, and early termination penalties can be high.
Indicative rates (March 2026): from 1.10% (2 years) to 2.05% (10 years).

For everything about fixed rates, see our complete fixed-rate guide.

The SARON mortgage

The SARON (Swiss Average Rate Overnight) mortgage is the reference variable-rate product in Switzerland since LIBOR was replaced in 2021. The rate is composed of the SARON (determined by the interbank market) plus a fixed bank margin.

Main advantage: generally lower rate than fixed, flexibility (3-6 months' notice).
Disadvantage: the rate can fluctuate, both up and down, depending on SNB decisions.
Indicative rate (March 2026): 0.64% to 1.20% (SNB rate at 0.0%).

Discover all the details in our complete SARON guide.

The classic variable-rate mortgage

Historically popular, this form has been largely replaced by SARON. The rate is set by the bank and can be changed at any time. Rates are generally higher than SARON and fixed rates. Today, only a few institutions still offer it.

Mortgage comparison table

Criterion	Fixed rate	SARON	Classic variable
Indicative rate	1.09% - 2.05%	0.64% - 1.20%	2.00% - 2.75%
Predictability	Total	Low	Low
Term	2 - 15 years	Open-ended	Open-ended
Exit flexibility	High penalties	3-6 months' notice	3-6 months' notice
Rate risk	None	High	High
Ideal profile	Cautious, tight budget	Dynamic, financial reserves	Short-term transition

Mortgage rates in March 2026

The environment is favourable for borrowers. The SNB policy rate is at 0.0%, keeping SARON rates at historically low levels. Fixed rates, determined by the capital markets, also remain attractive.

Product	Min. rate	Max. rate	Spread
SARON	0.64%	1.20%	0.56%
Fixed 2 years	1.10%	1.55%	0.45%
Fixed 5 years	1.09%	1.65%	0.56%
Fixed 10 years	1.50%	2.05%	0.55%

The spread between the lowest and highest rate often exceeds 0.50% for the same product. This proves that comparing is essential: on a CHF 800,000 mortgage, 0.50% represents CHF 4,000 per year.

How to compare effectively

Beyond the rate: criteria to examine

The interest rate is the most visible criterion, but not the only one. Here are the other factors to compare:

Processing fees: some banks charge opening fees (CHF 200 to 500), others do not.
Amortisation conditions: direct or indirect amortisation (via pillar 3a)? Minimum amount?
Flexibility: option for extraordinary amortisation? Early termination conditions?
Portability clause: if you sell, can you transfer the mortgage to another property?
Service quality: responsiveness, dedicated contact person, online tools.

Compare alone or with a broker?

Comparing on your own is possible but time-consuming. You would need to contact each bank individually, provide your file to each one, and analyse the offers yourself. A mortgage broker does this work for you, free of charge, and has access to preferential rates that individuals do not always obtain.

Compare offers from 40+ banks and insurance companies in just a few clicks

Launch the comparison

Our in-depth guides

Explore our specialised guides to understand everything about each mortgage type:

And for renewal strategy:

First mortgage or renewal? Find the best rate.

Simulate for free