Overview

The apartments are governed by the floor-by-floor provisions laid down in Article 712 and following of the Swiss civil code and the general law on development zones of 29 June 1957 (L 1 35).

The initial highest selling price for apartments is provisional and set by the Department of Land use, Dwellings and Energy (DALE) of the Canton of Geneva.

In compliance with the general law on Development zones (LGZD) the prices and rents are controlled by the Canton of Geneva for a ten-year period (art.5 para 3 LGZD). During this period purchasers are obliged to occupy the dwelling (art. 5 para 1 letter b LGZD). Failure to comply is subject to a ban on reselling (art. 8A LGZD) and to a fine amounting to 20% of the cost price of the apartment (art 9 LGZD)


Once the sale contract has been signed the purchaser will be listed in the Land Registry.

Simultaneously, a regulation governing the administration and usage of the condominium, detailing the rights and obligations of each purchaser with respect to the said condominium will be set down in the Land Registry.

The area of each apartment will be registered in the listing of premises (CRL) as established by the surveyor and included in the Land Registry before the signature of the final sales contract (these surface areas are official and calculated taking into account the thickness of the walls around each apartment).

Comments:

The purpose of the Terra et Casa Foundation is to facilitate the integration of the people of International Geneva. This programme is therefore aimed, first and foremost, at those whose employer belongs to this community, and to whom particular consideration will be given when selecting purchasing candidates.

However, registration for purchase is open to all.


The purchasing process:

General conditions applicable to all apartments
  • All those interested must apply via the specific Internet site.
  • The selection of future purchasers is based on criteria according to the General law on development zones (LGZD).
  • Obtaining the agreement for appropriate mortgage finance.
  • Signing in front of a notary public a sale and purchase promise and the transfer to the notary’s account of an advance equivalent to 20% of the purchase price.
  • To the sale price will be added the acquisition costs (notary fees, Land Registry fees, transfer rights, costs of establishing the mortgage certificates) amounting to approximately 5% of the selling price.
  • Available funds should therefore amount to 25% of the purchase price of which a minimum of 15% must be available personal funds (to the exclusion of LPP retirement pension or 3rd pillar funds). This amount includes the down payment (20%) and acquisition fees (about 5%) of the purchase price. Any additional works are to be paid at the time of the purchase order and with available funds in addition to those aforementioned.
  • For information, pension and 3rd pillar funds do not make finance available at the time of the promise to sell and buy, but only at the signing of the final selling contract. Purchasers who do not have 20% of the purchase price in personal funds available will have to pay an interest equal to that of the building credit obtained by the project developer, on the difference between their contribution and the advance due.
  • Signing the final sale contract at the time the apartment is available and transferring the balance (80%) of the selling price.
  • It should be noted that the Casatax allows for a reduction in the registration fees provided that:

    • The price of the apartment does not exceed CHF 1,172,986.- (2018 level)
    • That the purchaser occupies the property as from the day it is available and continuously for a period of at least three years.
  • The monthly costs allowed by the banks must not exceed 30% of earnings.
  • The annual rates of a condominium property average 1% of the purchase price.
  • Pre-selected candidates will be requested to provide evidence of prior information provided.
    • Valid identity card or passport of all future occupants
    • Valid residence permit
    • Employer certificate (salary certificate, salary slip etc)
    • Pregnancy certificate
    • Proof of personal funds.
  • Furthermore, the bank will request documentation proving availability of funds.
    In case of being unable to provide the entirety of this documentation within the established time frame, pre-selected candidates will be replaced by those next listed.