Swiss Condominium Law 2026: What the Reform Would Change

The condominium ownership in Switzerland is to be modernized. The Federal Council on the 13th May 2026 adopts its message to Parliament. The focus is on greater legal certainty when purchasing ex-plan, clearer special use rights and a new right of action to set up a renewal fund. For associations of owners, buyers and administrations, it is worthwhile to incorporate the planned rules into long-term real estate planning today.

Condominium ownership Switzerland 2026: Where the reform stands

Condominium ownership was introduced in 1965 in the Swiss Civil Code and has proven itself in principle according to the assessment of the Federal Council. Nevertheless, more than six decades of practice show gaps and areas of conflict: apartments are sold before the building is built, parking or gardens are used exclusively without all issues being explicitly regulated by law, and necessary renewals fail in part due to a lack of financial reserves or blocked resolutions.

The proposal is not a total revision. It is intended to clarify individual provisions of Articles 712a to 712t ZGB and make them more practical. The Federal Council has referred the embassy and the bill to Parliament. Which provisions will definitely be adopted and when they will come into force has therefore not yet been determined. For today’s contracts, resolutions and transactions, the existing law still applies.

The planned adjustments shall cover in particular the following topics:

• Creation of condominium ownership before completion of the building;
• distribution plans and their follow-up;
• special use rights in common parts such as gardens or parking spaces;
• renewal funds and financing of necessary works;
• Community component defect rights;
• calls for contributions, protocols of decision and quorums;
• Dealing with particularly anti-Community behaviour.

Renewal Fund: Value preservation needs more than one account balance

For many floor-owner communities, the Renewal Fund is the financial backbone of major maintenance and renovation measures. It can be used, for example, to finance work on the roof, facade, heating, lines, lifts or common outdoor surfaces. However, the law does not require a fund today. Nor does the reform provide for a general obligation.

The decisive factor is therefore not only whether a fund exists, but also whether its financing fits the building. A credit of CHF 200,000 can be solid for a small, young property, but it can be too deep for a large superstructure with upcoming facade, heating and strand renovation. A professional assessment combines the current balance with a status report, a multi-year investment plan and the expected contributions of the owners.

Anyone who buys an apartment should not consider the fund as an isolated plus number. A high balance can be largely bound by already decided works. Conversely, a deep balance may be reasonable if the building is new, is regularly inspected and the community has decided on appropriate deposits. The decisive factors are substance, time horizon and financial capacity.

These five details make a renewal fund meaningful

• Current stock: available funds after deduction of commitments already agreed;
• Annual deposits: height, distribution key and previous continuity;
• Technical condition: age and remaining service life of the large components;
• Investment planning: expected work over at least ten years;
• Financing gap: possible special contributions or additional financing in several scenarios.

Especially energy measures should not be considered in isolation. Building envelope, heat generation, photovoltaics and building technology influence each other. The contribution Energy-efficient renovation Switzerland: promotion, GEAK and real estate value shows how owners put measures in a meaningful order.

New right of action instead of mandatory renewal fund

According to the draft, individual condominium owners should be able to demand the establishment of a renewal fund in court under certain conditions. The Federal Council justifies this by the fact that missing or underfunded funds can make necessary maintenance, restoration and renewal work more difficult or prevent.

The Federal Council, on the other hand, rejects a general legal duty because it would interfere too much with the autonomy of the communities. The proposed right of action is therefore intended as a targeted instrument. In practice, this means that communities retain room for manoeuvre, but should be able to justify their solution objectively. A protocol with comprehensible state, cost and liquidity planning creates a better basis for decision-making than a blanket discussion about a supposedly correct percentage.

Purchase from plan: more legal certainty before completion

Many new apartments are sold before the building is created. Buyers decide on the basis of plans, building descriptions, visualizations and contract documents. However, the current condominium ownership law primarily regulates existing land at the legal level. The template expressly wants to cover the justification of condominium ownership before the construction of the building.

The distribution plan is also to be strengthened. It shows which parts of the building belong to which unit and which parts remain communal. If changed during planning or execution, legal documentation, purchase contract, construction description and actual execution must match. Deviations in areas, cellar compartments, terraces, parking lots or technical facilities can otherwise lead to conflicts years later.

However, more legal clarity does not replace careful buyer examination. In particular, plans, area calculation, special rights, payment plan, collateral, change rights, acceptance procedures, defect rights and cost allocation shall be checked before the deed. In the case of substantial sums, specialists and legal specialists must come to the table early.

Clearly document special use rights to garden and parking

A garden seat, a roof area or a parking space can be a communal part of the building and still be used exclusively by an owner. Such special use rights are economically relevant because they influence use, attractiveness and purchase price. At the same time, questions arise: Who can transform? Who pays for maintenance and replacement? Can the Community change the law later?

The draft law seeks to regulate more explicitly the justification, transfer, amendment and repeal of such rights. For owners and buyers, contradiction-free documentation remains central. Explanatory acts, regulations, plans, assembly decisions and sales documents should show the same assessment. A beautiful visualization in the sales prospectus does not by itself create a permanently secured right.

Deficiencies, decisions and Community interests

The reform contains other points that can become important for the leadership of a community. In the case of defects in common parts, certain requirements of individual owners should be better coordinated with the community. For building rights, an extension under certain conditions should no longer necessarily fail on the basis of a single vote. The safeguarding of open demands for contributions, the effect of meeting protocols and the calculation of quotas should also become more practical.

Provision is also made for a possible temporary exclusion from voting rights in the event of particularly serious infringements of Community law. Such instruments are not intended for ordinary disagreements. However, they show how much property value and quality of use depend on functioning decision-making processes. A community of condominium owners is not just a legal construction, but a permanent organization with common assets and obligations.

What Buyers of Floor Property Should Consider Before Acquiring

The price per square meter is only part of the purchase decision. Anyone assessing a condominium in Switzerland should include at least the following documents and questions:

• act of reasoning, regulations and current distribution plan;
• minutes of the last three to five owners’ meetings;
• the annual accounts, budgets and status of the Renewal Fund;
• agreed and discussed reorganisations and special contributions;
• Condition of roof, facade, windows, wiring, heating and lift;
• distribution of costs by value ratio or special key;
• special use rights, easements and any building rights;
• pending disputes, arrears and insurance claims.

This examination helps not only legally, but also economically. A low purchase price can be relativized by an imminent special contribution. A higher price can be traceable if the Community components are well maintained, the reserves are adequate and the decisions are transparently documented.

Consequences for property value and financing

For condominium ownership, the evaluation includes more than the apartment behind your own door. The condition and organisation of the Community parts affect marketability, risks and future capital requirements. Buyers and banks can assess a property more cautiously if large works are foreseeable, but neither decided nor financed. Conversely, a credible maintenance plan creates transparency and reduces surprises.

The renewal fund is not simply added francs for francs at market value. What matters is the commitments to the funds and how well the Community manages its investment needs. For the assessment of the overarching market environment, the contribution helps Real estate prices Switzerland 2026: market, regions and opportunities.

Private financing must also be able to cope with special contributions. Those who exhaust portability to the limit have little room for manoeuvre in an unexpected renovation. Therefore, in addition to purchase price and mortgage, ongoing community costs, personal liquidity reserve and possible investments in planning are included. The differences between variable and long-term tied funding explained SARON or Fixed Mortgage 2026: Which strategy fits?.

Five Steps for Owner Communities in 2026

1. Clean up documents: Check rules, distribution plan, special use rights and resolutions for contradictions.
2. Capture state: Document components, remaining service life and urgency in a rolling investment plan.
3. Modeling funds: Connect stock, annual deposits and expected expenses in several scenarios.
4. Record decisions in a comprehensible manner: Clearly establish basics, variants, quorums and responsibilities.
5. Pursue reform: Wait for the final parliamentary decision and the entry into force, then specifically update treaties and regulations.

A community does not have to anticipate every possible change in the law. However, it can already improve its technical, financial and organisational transparency. This strengthens the decision-making ability and makes apartments better classifiable when financing or selling.

Frequent questions about the reform of condominium ownership law

Is the renewal fund mandatory in future?

After the draft, no. The Federal Council waives a general duty. Instead, a right of action is provided by which an owner can, under certain conditions, demand the judicial establishment of a fund.

Does the reform of condominium ownership already apply?

No. The Federal Council has the message on the 13. May 2026 to Parliament. The parliamentary procedure, a final decision and later entry into force are still pending. The applicable law is decisive until then.

What does the reform mean for the purchase from plan?

The justification of condominium ownership before construction of the building is to be explicitly regulated by law and the distribution plan strengthened. Buyers should nevertheless have all contract, planning, payment and defect topics individually checked.

Does a well-stocked renewal fund increase housing value?

It can support marketability positively, but it is not an isolated value add-on. Decisive factors are the state of the building, work already decided, future investment needs, the level of deposits and the quality of community management.

Further real estate insights

• Energy-efficient renovation Switzerland: promotion, GEAK and real estate value
• Real estate prices Switzerland 2026: market, regions and opportunities
• SARON or Fixed Mortgage 2026: Which strategy fits?