Home ownership promotion through occupational pension plans

The dream of homeownership is becoming increasingly difficult to achieve for many families due to rising property prices. In this regard, the pension fund may possibly provide relief. With the so-called "home ownership promotions," funds from professional pension plans can be accessed early for the financing of home ownership.

What funds can be accessed for:

In principle, the pension savings can be accessed for the purchase of home ownership. It is important to note that it must necessarily be home ownership for personal use. The property must therefore be owner-occupied. It does not matter whether the future domicile is located in Switzerland or abroad.

The early withdrawal can be used as equity for the purchase, for repayment of the mortgage, for acquiring shares in a property, or even for financing renovations.

Main restrictions:

There are still certain limitations when accessing the 2nd pillar:

·        The early withdrawal can only be used for one property at a time.

·        The minimum amount for the early withdrawal is CHF 20,000.

·        An early withdrawal can only be claimed every 5 years.

·        If the age of 50 is reached, only the amount that has been paid in up to that point can be withdrawn early.

 Repayment

If one wishes to sell the home ownership purchased with the early withdrawal, the withdrawn amount generally must be repaid.

However, there is an important exception:

If the proceeds from the sale are used within the next two years for the purchase of a new property, the amount does not need to be repaid.

The withdrawn capital will then be transferred to a portability institution for two years and can be used for the purchase of new home ownership.