By far the most popular mortgage remains the one with a ten-year term. Their interest rate fluctuated in the last three months between 1.04 and 1.07 percent and was thus just above the 1 percent mark, as Comparis announced on Tuesday morning.
Fixed-rate mortgages remained stable with terms of five and two years. They stayed between 0.90 and 0.86 percent in the fourth quarter. “The second Corona wave has left the mortgage market cold so far,” says Comparis expert Frédéric Papp.
During the first corona wave, the mortgage market reacted much more nervously. At the end of the first quarter of 2020, the benchmark interest rates for ten-year mortgages had climbed from a record low of 0.98 percent to almost 1.20 percent within a few days.
A comparison of the terms pays off for mortgage borrowers. There are big differences in the offers. Mortgages with a term of ten years are already available from 0.61 percent. The current average benchmark interest rate is 1.05 percent.
With a mortgage over CHF 750,000, this saves CHF 3,300 per year. Over the entire term, the difference is well over CHF 30,000. If competition in the hypo market intensifies, as expected, the difference is likely to increase.