Net proceeds calculator Zurich: what is left after the sale?

The sale price is the first figure, not the last. In the canton of Zurich, up to five items come off it. The largest is often the mortgage: the bank is repaid directly from the proceeds. Then there is property gains tax (Grundstückgewinnsteuer), which your municipality levies on the gain.¹

If a fixed-rate mortgage is still running, the bank usually charges an early repayment charge (Vorfälligkeitsentschädigung). The early repayment charge calculator shows roughly how much. An agent’s fee only applies if you have agreed one. For notarising the contract and the land register entry, the notary’s office charges 1 per mille of the value each, at least CHF 100.³ VAT is added to the notarisation. There has been no property transfer tax since 2005.⁵

What this means for you: plan with the amount that is left after all five items. Only this figure pays for your next home and your reserves.

Only the gain is taxed: sale price minus investment costs (Anlagekosten).¹ These include your purchase price at the time and investments that improved the house lastingly, such as an extension or a converted attic. Ordinary maintenance does not count.

Customary agent’s commissions and the charges connected with the transfer of ownership also count, both when buying and when selling.¹ This means the notary and land registry fees, as far as you bear them yourself. The City of Zurich’s tax return has separate lines for them.¹⁰ The calculator deducts both from the gain. Add costs from back then to the purchase price above.

An early repayment charge counts too, as the Federal Supreme Court decided in a Zurich case. The condition: you end the mortgage completely because of the sale, take out no new one in the process and pay the charge yourself.⁴ What this means for you: gather all your receipts now. Every documented franc lowers the taxable gain.

In the canton of Zurich, the tax depends not only on the gain but also on how long you owned the house.¹ The rate rises with the gain from 10 to 40 per cent. From 5 full years the tax is reduced by 5 per cent, then by 3 percentage points a year. From 20 full years it is halved.¹

If you owned it briefly, you pay more: a 50 per cent surcharge under one year, 25 per cent under two years.¹ This makes a big difference. A gain of CHF 810,000 costs CHF 250,720 in tax after 10 years. After 20 years it is CHF 156,700.

After an inheritance, the date of the inheritance does not count, but the earlier purchase, for example by your parents.¹ Enter the date of that purchase above. What this means for you: if the next full anniversary falls shortly after your preferred date, a little patience can pay off.