How long does the entire purchase process take on average when buying a home?

The timeline in detail: phases and duration

Overview of the home buying process

The entire home buying process can be roughly divided into three main phases: the search, the transaction (financing & contract) and the handover. While the search is extremely variable, the administrative steps in the home buying process follow a relatively rigid pattern.

As a rule of thumb, you should allow around 3 to 6 months from the moment you find the right property to the moment you move in. If you add in the active search, the home buying process often takes between 6 and 18 months. It is important to view the home buying process as a whole in order to avoid idle time.

Phase 1: The search and decision-making (3 to 12+ months)

The most variable part of the home buying process is the search. In a dry market like Switzerland, where supply is scarce, this phase can drag out the home buying process enormously.

• Market research: The first few weeks of the home buying process are often spent figuring out what you want (location, size, budget).
• Viewings: Days often pass between seeing an advertisement and arranging a viewing. It can take months to find the "right" property in the home buying process.
• Decision: Once you have found a property, you should take your time to inspect it (building fabric, surroundings). Hasty decisions will come back to haunt you later in the home buying process.

Phase 2: Financing and reservation (2 to 6 weeks)

Once you have found your dream property, the home buying process picks up speed.

• Financing confirmation: The bank checks your credit rating and evaluates the property. This step in the home buying process usually takes 1 to 2 weeks, provided you have all the necessary documents (salary statement, tax return, pension fund statement) ready.
• Reservation agreement: To secure the property, a preliminary agreement is often signed and a deposit paid. This marks the first milestone in the home buying process. The drafting and signing usually takes 1 to 2 weeks.

Phase 3: Notary and notarisation (4 to 8 weeks)

This is the bureaucratic core of the home buying process.

• Draft contract: The notary draws up the draft purchase contract. In the home buying process, it is common for both parties (buyer and seller) to review it and request changes. This coordination process can extend the home buying process by 2 to 4 weeks.
• Notarisation appointment: Coordinating an appointment for all parties at the notary's office is often more difficult than expected. Allow sufficient lead time for this in the home buying process.
• Land registry entry: After notarisation, the notary registers the purchase. Depending on the workload of the registry office, it can take a few days to several weeks for the entry to be made and the home purchase process to be legally completed.

Phase 4: Transfer of ownership and moving in (variable)

The end of the home purchase process is the handover of the keys.

• Immediate move-in: If the property is vacant, you can move in almost immediately after notarisation. The home purchase process ends quickly here.
• Delayed move-in: Often, the seller still lives in the house or it is a new build. In this case, the home purchase process can be delayed by several months until the handover. This must be specified in the purchase agreement.

Factors that influence the time frame

Financing and equity

The provision of funds is often the bottleneck in the home buying process.

• Early withdrawal from pension fund: If you need funds from your pension fund (2nd pillar) to purchase a home, expect waiting times. Pension funds have processing times of up to three months. This can significantly delay the home buying process.
• Gifts/advance inheritance payments: If these funds are not yet liquid, the home buying process will be put on hold until the funds are in your account.

Legal hurdles for newcomers

The home buying process can be more complex for expats.

• Lex Koller: If you do not have a C residence permit or are a third-country national not purchasing your main residence, permits are required. These checks can prolong the home buying process by several months.
• Withholding tax: Credit checks for those liable for withholding tax are more complex for banks, which can slow down the home buying process.

The notary system

The process of buying a home also depends on the canton.

• Official notary (e.g. Zurich): As notaries here are civil servants, high workloads can lead to waiting times that slow down the home buying process.
• Independent notary system (e.g. Bern): Here, you are free to choose your notary, which often makes the home buying process more flexible and faster.

Tips for saving time in the home buying process

To ensure that the home buying process does not become a test of patience, you can take proactive steps:

• Obtain a financing certificate in advance: Go to the bank before you start looking. A certificate speeds up the home buying process enormously, as you are immediately considered financially solvent when viewing properties.
• Organise your documents: Have all your documents (taxes, salary, debt collection extract) ready in digital form. Any missing document will halt the home buying process at the bank.
• Contact your pension fund: Clarify early on how long a payout will take. This will prevent the home buying process from failing due to a lack of liquidity shortly before the notary appointment.
• Be flexible with the notary: Be flexible when setting the appointment. Those who insist on off-peak hours in the home buying process will have to wait longer.

Conclusion

The home purchase process is a complex interplay of searching, financing and legal matters. On average, you should expect the transaction itself (from the moment you find the property) to take 3 to 6 months. Including the search, the home purchase process often takes over a year.

Above all, do not underestimate the administrative hurdles such as early withdrawal from your pension fund. If you are well prepared for the home buying process and clarify the financing early on, you can save weeks of waiting time and secure an advantage in the race for the best properties. Patience and strategy are your best companions in the home buying process.

Find out now about Loft's offers to make your path to home ownership efficient and secure.

Glossary

• Home buying process: The entire process from the initial search to financing and notarisation to the handover of keys and entry in the land register.
• Proof of financing: A document from the bank confirming that it would provide financial support for the home buying process. Speeds up negotiations.
• Notarisation: The formal legal act at the notary's office. A key milestone in the home buying process, during which the contract is signed.
• Transfer of ownership: The moment when ownership is transferred to the buyer in the land registry. This marks the legal conclusion of the home buying process.
• Early withdrawal from pension fund: Withdrawal of capital from the pension fund for home ownership. Often a delaying factor in the home purchase process due to long processing times.