Since 1983, the Lex Koller (Federal Act on the Acquisition of Real Estate by Persons Abroad, BewG, SR 211.412.41) has governed when foreigners may buy residential property in Switzerland. EU/EFTA citizens with a Niederlassungsbewilligung C (settlement permit C) are treated like Swiss nationals and buy freely. With a residence permit B (EU/EFTA or third country), a primary residence at one's place of residence is possible without a permit. Foreigners without residence may only buy holiday homes in tourist zones — capped at around 1'500 permits per year nationwide. Commercial properties are permit-free for all foreigners.
Swiss citizens and EU/EFTA citizens with a permit C buy without authorisation and without restriction. With a permit B (EU/EFTA or third country), a primary residence at one's place of residence or work is allowed without a permit, but no second home. Cross-border commuters (permit G) require authorisation and may only buy a holiday home in a tourist zone; short-term residents (permit L) generally cannot acquire property. Foreigners without residence in Switzerland need a cantonal permit and are limited to capped holiday homes.
All foreigners with a valid residence permit (B, C or Ci) may acquire a maximum of one property as a primary residence without authorisation — it must be at or near the place of work and be sold upon moving away. Inheritances are also permit-free, as inheritance law takes precedence; however, the inherited property may not be rented out as an investment object if the heir lives abroad. If one spouse is a Swiss citizen or permit C holder, the property can be registered in both partners' names.
The quota is around 1'500 permits per year nationwide, allocated among the cantons. Purchases are only permitted in tourist zones (Zurich, for example, is not one), with a maximum of 200 m² net living space and 1'000 m² plot area (varying by canton). A 5-year holding obligation applies, with no quick resale; occasional renting is allowed, commercial renting is not. Since 2012, municipalities with more than 20 % second homes — such as St. Moritz, Verbier, Gstaad or Zermatt — may no longer authorise new second homes.
No. The Lex Koller concerns only residential property; the acquisition of commercial property such as offices, retail space, industrial buildings or hotels as operating businesses is possible for all foreigners without a permit. For mixed-use properties — such as commercial premises on the ground floor and an apartment above — special rules apply: if the commercial share predominates, the entire property can be acquired permit-free. In case of doubt, the cantonal land registry office can help.
If a permit is required (e.g. for holiday homes), the procedure runs through the cantonal authorising authority. First, the purchase contract is signed before a notary with a suspensive condition, then the application is submitted with the contract, a copy of identification and supporting documents. The authority checks the quota, the municipality and the area limits. The permit is granted within 4 to 12 weeks or refused with reasons; the land register entry is only made once the decision is legally final.
After 5 to 10 years (depending on nationality) you can apply for the Niederlassungsbewilligung C (settlement permit C) — after which the Lex Koller restrictions no longer apply. Until then, a primary residence can be bought with a permit B without authorisation. If your partner is a Swiss citizen or permit C holder, you buy jointly without restrictions. Because the Lex Koller recognises many special cases, a lawyer specialised in real estate law and the cantonal land registry office can quickly provide clarity.