The dream of a profitable second home in France: myth or reality for the Swiss?

Imagine: you, a Swiss executive or freelancer, are considering acquiring an apartment in Lyon or a house in Bordeaux to rent out and generate additional income. But is this still a wise strategy in 2025? And how can you finance such a project from Switzerland?​

Why invest in real estate in France in 2025?

Attractive prices compared to Switzerland

In 2025, the French real estate market offers interesting opportunities. Prices per square meter in cities like Nantes, Toulouse, or Montpellier remain affordable, often between EUR 3,000 and EUR 4,500, well below the rates in Geneva or Zurich.

Sustained rental demand

Rental demand in France remains strong, particularly in large metropolitan areas and university towns. Cities like Rennes, Angers, or Strasbourg show average gross rental yields of around 5% to 6%, providing interesting profitability for investors.

What financing options are available from Switzerland?

Borrowing from a Swiss bank

Some Swiss banks offer mortgage loans for the purchase of real estate in France. These loans can be denominated in Swiss francs (CHF) or euros (EUR), depending on your income currency. The terms are similar to those of loans in Switzerland, with a personal contribution usually required of at least 30%.​

Borrowing from a French bank

It is also possible to obtain a mortgage from a French bank. However, as a non-resident, the conditions may be stricter: a personal contribution of 20% to 30% is often required, and interest rates may be slightly higher.​

Pitfalls to avoid

Neglecting taxation

Real estate investment in France involves tax obligations, both in France and in Switzerland. It is essential to inform yourself about the tax agreements between the two countries to avoid double taxation.​

Underestimating additional costs

In addition to the purchase price, you must account for notary fees (around 7% to 8% of the property price), condominium fees, property taxes, and any renovation work that may be needed.​

Conclusion

Investing in rental real estate in France from Switzerland remains a relevant strategy in 2025, provided you prepare your project well. It is advisable to consult a wealth management advisor to develop a strategy tailored to your personal and tax situation.