Guide for owners
Renting and Managing Property in Switzerland: the Complete Owner Guide
Switzerland is a country of tenants: around 60 percent of residents rent (FSO), and with a vacancy rate of around 1 percent (FSO, as of 1 June 2025), the market is as tight as it has been in decades. For property owners that means: those who let correctly and manage cleanly get the most from their property. This guide takes you through the entire journey, from letting and management to law and returns, with checklists, calculators and templates. Written from practice as a property management company specialised in furnished rooms, flatshares and co-living.
By Jens Herbst, Founder of BoVita Property ManagementUpdated on 21 June 202612 min read
Topics
Contents
- 1.Phase 1: Getting the letting right
- 2.Phase 2: Managing and operating
- 3.Phase 3: Law and obligations, securely handled
- 4.Phase 4: Returns and optimisation
- 5.Self-management or professional management?
- 6.Should you hand over management?
- 7.Free for owners: practice templates
- 8.Everything from one source
- 9.Frequently asked questions
- 10.Sources
60 %
tenant share in Switzerland
FSO
~1 %
vacancy rate, as of 1 June 2025
FSO
4 bis 5 %
market-typical management fee
UBS/industry
18 bis 30 %
higher income with co-living
immoday
Phase 1: Getting the letting right
A successful letting starts before the listing: a market-appropriate initial rent avoids vacancies and corrections later. A professional listing with real photos, clear terms and complete information on location, size and furnishings attracts qualified applicants. A thorough creditworthiness check (debt-collection extract) and suitability assessment prevents costly tenant problems down the line.
On the tenancy agreement: it must clearly set out the deposit on a blocked account (CO Art. 257e), all agreed ancillary costs as advance payment or flat rate, and the notice periods. A documented handover with a condition report protects both parties. The faster and cleaner this process runs, the less vacancy and the less dispute. You can find templates in the download section below.
Phase 2: Managing and operating
Ongoing property management divides into three areas: commercial (rent collection, accounts, utility cost statements), technical (maintenance, repairs, claims) and administrative (agreements, communication, tenant changes). The central question is: do it yourself or hand it over?
What self-management actually involves and when professional management pays off is covered in the guide "Self-manage or hire property management?". The full service catalogue of a property management is set out in "What does a property management do?". For rooms, flatshares and co-living, specialist management is almost always the better choice: re-letting individual rooms is not a once-per-apartment event, but a permanent state.
Discuss your property with BoVita
In a short, no-obligation initial call we look at your property and show what runs differently with specialised management.
No obligation and free of charge.
Phase 3: Law and obligations, securely handled
Legal guardrails
This is where legal certainty is decided: the utility cost statement may only include contractually agreed, usage-dependent items (CO Art. 257a/257b). The deposit must be held in a blocked account in the tenant's name (CO Art. 257e). Rent adjustments at the reference interest rate are only valid with the official cantonal form and served on time to the next notice date (CO Art. 269d), otherwise they are void.
Errors in these three areas are expensive: incorrect utility cost statements lead to repayment claims, a misdirected deposit to fines, and a formally defective rent increase to nullity. The complete guide to utility cost statements and the rent calculator are available in the linked guides and tools.
The mortgage reference interest rate is the central instrument for rent adjustment in Switzerland. It is published quarterly by the Federal Office for Housing.
Phase 4: Returns and optimisation
Getting more from a property means reducing vacancy, keeping costs in check and knowing the yield potential. Owners who run suitable properties room-by-room or as co-living achieve around 18 to 30 percent higher income per square metre than with standard long-term letting, according to immoday, though at significantly higher effort.
Yield can be calculated with the free returns calculator: purchase price, target rental income and equity give gross yield, net yield and return on equity as well as annual cash flow. Whether room-by-room letting makes sense for your property is examined in the guide "Renting rooms and co-living: is it worth it?". What professional management costs and when it pays off is covered in "What does property management cost?".
More on this in the related guide: Renting rooms and co-living: is it worth it for property owners?
Self-management or professional management?
The honest answer depends on your situation. This table shows the key differences:
Fee orientation
4 bis 5 %
market-typical management fee for standard rental properties in Switzerland, based on net target rental income (UBS/industry). No binding industry tariff.
| Criterion | Self-management | Professional management |
|---|---|---|
| Time commitment | High, especially at tenant changes | No effort for the owner |
| Error risk (ancillary costs, tenancy law) | High without specialist knowledge | Low with a good management |
| Re-letting and vacancy | Slower, higher vacancy possible | Faster through experience and network |
| Tradespeople network | Needs own network | Established and more cost-effective |
| Availability for tenants | Depends on own availability | Professional on-call service |
| Cost | Time only (often underestimated) | Market-typical 4 to 5% of net target rent income |
| Best suited to | 1 to 2 units, stable tenants, enough time | From 2 units, rooms/co-living, little time |
Detailed decision guide: "Self-manage or hire property management?".
Should you hand over management?
More units, less time and frequent tenant changes speak clearly in favour of handing over. These seven questions help you decide:
- How many units are you managing?
- How much time do you realistically have per month?
- How far is the property from where you live?
- How often do tenants change?
- Do you know tenancy law on ancillary costs, notice and rent adjustment?
- Are there frequent changes or furnished rooms?
- Does managing the property burden you, or do you enjoy it?
If you are unsure about most points or have little time, a free initial conversation is the logical next step.
Free for owners: practice templates
These two templates are the practical toolkit. Both are BoVita-branded and tried-and-tested.
Free for owners
Landlord Checklist
From listing to tenancy start: all letting steps as a print-ready checklist, BoVita-branded.
Handover Report
Template for the documented handover at move-in and move-out, BoVita-branded.
Everything from one source
BoVita operates both: its own room business for tenants, and specialist property management for owners and real estate companies. That means we know what it feels like to be on the other side, as a tenant looking for accommodation. And we still manage consistently on behalf of the owner, with a transparent fee structure and no hidden margin.
Our specialism is furnished rooms, flatshares and co-living, the properties where conventional management companies often struggle. From a single property to a portfolio. If you are ready to put your property in the best hands, everything starts with a short, no-obligation initial conversation.
Frequently asked questions
Is it worth managing a property yourself?
What does professional property management cost?
Which ancillary costs may I bill as a landlord?
How do I adjust rent correctly?
How do I reduce vacancy?
What does co-living offer compared to standard letting?
How do I switch property management?
From what size does professional management pay off?
About BoVita
BoVita is a property management company from Switzerland with a rare specialisation in furnished rooms, flatshares and co-living. We take over the full management of properties, from rent collection and utility-cost statements to tenant changes, and add depth where conventional management firms reach their limits. This guide bundles our hands-on knowledge for owners and management companies.
Sources
This overview is based on the following sources and legal foundations. All information without guarantee.
- 1.Swiss Federal Statistical Office FSO, vacancy and tenant share in Switzerland
- 2.Federal Office for Housing FOH, reference interest rate and tenancy law
- 3.Fedlex, Swiss Code of Obligations Art. 257a/257b, 257e, 269a/269d, 404
- 4.Fedlex, VMWG Art. 13 and 16 (rent adjustment at reference interest rate)
- 5.UBS, Swiss real estate: yield properties and fee orientation
- 6.immoday, Co-living as a yield opportunity in Switzerland
- 7.SVIT Switzerland, Swiss real estate association
Your property in the best hands?
From complete property management to the specialism rooms and co-living. Initial conversation with the founder, non-binding and free of charge.