Keystone-SDA
Mortgage interest rates have continued to fall. However, the downside potential is limited.
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December 18, 2024 – 07:58
(Keystone-SDA) According to Moneyland’s mortgage index, ten-year fixed-rate mortgages currently cost an average of 1.56 percent and five-year fixed-rate mortgages 1.38 percent. The interest rates for two-year fixed-rate mortgages are now just 1.30 percent, which is their lowest level this year.
Since the Swiss National Bank (SNB) initiated the interest rate turnaround, mortgage interest rates have also fallen significantly again. Since mid-2023, interest rates on ten-year fixed-rate mortgages have almost halved. For five- and two-year mortgages, they have even more than halved.
According to the index, Saron mortgages currently cost an average of 1.49 percent. This makes them slightly cheaper than mortgages with a ten-year term.
Further downside potential limited
According to the announcement, the SNB could reduce the key interest rate again to 0 percent by mid-2025. However, Moneyland analysts do not expect any further significant interest rate cuts. “This expectation is probably already largely factored into the interest rates for fixed-rate mortgages,” said Moneyland expert Felix Oeschger.
However, if the SNB pushes interest rates significantly into negative territory again, then fixed-rate mortgages are likely to become significantly cheaper again. “From today’s perspective, this scenario seems possible, but not very likely,” Oeschger continued.
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