Legal Basis
How do I take out a mortgage? – Step-by-step guide
Taking out a mortgage works most reliably with a structured approach. First clarify your budget, own funds and affordability. This involves checking how much equity is available, what loan-to-value ratio results, and whether the annual burden from imputed interest, amortization and maintenance remains sustainable in the long term. At the same time, gather documents on income, taxes, assets as well as property documents such as the sales dossier, land register excerpt, plans and construction specifications.
hypothek.ch
16.12.2025
2 min
In the next step, obtain offers. The bank or broker evaluates the property, determines the lending value and prepares proposals for interest model, term and amortization plan. You decide whether a fixed-rate mortgage, a SARON tranche or a combination fits better and whether to amortize directly or indirectly. In this phase interest rates, margins, period lengths and contract clauses are negotiated.
After that the legal securities are prepared. The mortgage deed is created or — if it already exists — transferred to the buyer and pledged in favor of the bank. The purchase contract is notarized, and the disbursement conditions are checked, for example proof of own funds, insurance and the absence of open encumbrances. Only when all conditions are met is the mortgage disbursed and the transfer of ownership recorded in the land register.
After disbursement the mortgage term begins. Interest becomes due according to the contract; with SARON products it is adjusted periodically. The amortizable portion is reduced according to plan until the loan-to-value is again roughly two-thirds. Before the end of a fixed term you review the follow-up financing, compare offers again and, if necessary, adjust the interest strategy to market conditions, life plans and investment needs.
If you want support, involve an independent mortgage advisor or a broker. They structure the dossier, know market windows and conditions and align the financing with loan-to-value, affordability and pension provisions. This speeds up the process, increases comparability, and improves the chance of obtaining suitable terms.
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