Cblo:

Thanks. Maybe you know what this really means: does the landlord HAVE to give me back the money, by law?
Nir Ofek, Jun 3, 2009 @ 19:02

Here  is some additional information from the GenevaLunch website

Switzerland (GenevaLunch) - Good news for Swiss tenants: a majority should be able to ask for a rent reduction as of today, 3 June, according to the Federal Housing Office (FHO) in Bern. The FHO every three months sets the “reference” interest rate to which rents have been indexed since autumn 2008. It has remained at 3.5 percent despite sliding mortgage rents but 2 June for the first time the lower average pushed the reference rate down to 3.25 percent. If a lease is based on a reference rate of 3.50 0r higher, tenants can now ask for a reduction.

Some 90 percent of Swiss rents are linked to the reference rate, although the rate of inflation is generally also factored into the lease and landlords can build in the shifting costs of building maintenance.

As a result, landlords are not obliged to cut rents and in any event tenants have to ask them to do so, citing the current official interest rate.

The Swiss tenants’ association, Asloca, reacted to the news by suggesting that tenants write to their landlords, while the building owners’ association, HEV (Ger), suggests that in fact few tenants will see their rent drop.

The reference rate is an average of Swiss banks’ mortgage rates and provides a common rate for all of Switzerland. Before September 2008 leases fixed rents in relation to variable mortgage interest rates.

Rates have been falling steadily since the new system went into effect, from an average of 3.43 percent in September 2008 to 3.07 percent today. The reference rate is determined using a calculation that takes into account the number of loans of banks which hold more than CHF300 million in mortgages and 15 interest rates. The data was gathered 31 March 2009 for the reference rate that goes into effect 2 June.

Translator, Jun 3, 2009 @ 19:33

OK, so I can now go to my Regie and ask them to lower my rent cos the index went down...With 50 people lining up to take every apt that frees up, I don't think I'll have much luck there...(-:
Nir Ofek, Jun 3, 2009 @ 19:42

No, they have to do it unless they make some big expenses in your appartment lately (kitchen, bathroom,...), or they claim they did no increase the rent when the rate went up last time.



Otherwise you can claim for a reduction at the "office des conciliations" and if you go to that stage, they will not be able to end up your contract for 2 years.

cblo, Jun 3, 2009 @ 19:56

Your regie cites the same law when it increases the rent...
rainer_d, Jun 4, 2009 @ 00:13

The Matin wrote that you are only eligible to ask for this reduction if at the time you signed the lease the interest rate was above 3.25% you can then ask for a 2.91% reduction. Otherwise the regie is not obliged to reduce the rent.



The matin also brilliantly illustrated this with a cartoon of a couple writing to Father Christmas!
DJ_Symcard, Jun 4, 2009 @ 02:23

There is some very useful information on the "bon a savoir" website (in French only). It allows you to calculate if you should be entitled to a rent reduction: http://www.bonasavoir.ch/loyer.php

and also has a sample letter you can use:

http://www.bonasavoir.ch/comment_reagir.php.



Worth noting that the letter should be sent as a registered letter. You need to check the next expiry date of your tenancy agreement and send the letter to arrive within the notice period for this (for example my tenancy agreement is from November 1 to November 1 with a notice period of 4 months which means I need to send my request for a decrease in rent before end of June for it to apply from November 1 of this year.



Good luck!
irish_eyes, Jun 4, 2009 @ 11:38