Using an EU property as equity?

[fatduck]

Hello everyone,
I have been recently playing with a frisky thought of buying a property in Switzerland (for own residence, not renting). Since I come from EU (currently on B-permit, plannig to stay and upgrade), I know that my options might be somewhat limited. According to my so-far research, Swiss banks do not like lending money on buying properties abroad. This is not my case. At the same time, I know as equity this can also be counted:

• Personal savings (checking and savings account)
• Securities and valuables
• Surrender of insurance policies
• Advance inheritances, gifts and loans from family and friends
• Early withdrawal from pillar 3a

Now, What I did not find is whether Swiss Banks accept EU-property as equity/collateral as a part of securities for buying a home in Switzerland? Would anyone know more about this?

Thank you for your comments

PS. Also big thanks to Baptiste, thank you for all the efforts and sharing your story.

 

[Baptiste Wicht]

Hi

Even though I am not sure about the details, I would be surprised if they did. I would expect only some very niche situations where banks would accept to take such equity in the downpayment. In some cases, you can pledge yourportfolio for the 10% in cash, but I have never heard of pledging foreign real estate.