Dear real estate enthusiasts,

In mid-January, the Council of States Commission decided to change the system for imputed rental value. The consultation process is currently underway and will probably be adopted in March.
The main residence would no longer be taxed with an imputed rental value. Maintenance costs and debt interest would no longer be deductible. The Federal Council has also shown that tax justice can only be achieved with a mortgage interest rate of 3% or more, which means that homeowners today pay more tax than tenants despite a high loan-to-value ratio.
Opponents of abolishing the imputed rental value are the banks, as owners of residential property recognise the advantage of the rapid amortisation of mortgages. As investing in the value preservation of real estate loses its appeal, the industry is also reluctant to change. Nevertheless, we are in favour of abolishing the imputed rental value, as it will finally abolish the unfair taxation of residential property.

Newsletter February 

Sincerly yours,

Claude Ginesta