I have inherited an apartment in Geneva valued at CHF 1’200’000.00 (probably undervalued). The selling price could be CHF 1’250’000.00 according to an estimation. The flat is fully paid and has a cédule hypothécaire of CHF 270’000.00.
I was thinking about mortgaging the apartment in order to invest in real estate and generating an income by renting the apartment. In that regard, I have already settled an appointment with my bank to discuss the different options and requirements.
Since 1st of January 2020, the FINMA requires to bring at least 25% of the value of the apartment when it comes to renting a flat for income. Do you have any experience on creating a mortgage on an already existing owned apartment?
Thank you for your help.
It is very hard to find any information in that matter.