Buying Gstaad Property Through a Company

If you are not resident in Switzerland, buying a Gstaad chalet through a company or trust does not get you around Lex Koller. A company controlled by people abroad is itself a "person abroad" under Swiss law, and holiday-home authorisations go only to individuals buying in their own name. If you are already resident, you can buy property in Switzerland through a company, but for a family chalet it is usually more expensive and more complicated than owning directly.

Clients often arrive with a structure already in mind, set up by advisors in London, Geneva or New York for property elsewhere. Here is why the Swiss answer is usually different, and the few cases where a company makes sense.

This is general information, not legal or tax advice. Structuring decisions need a Swiss lawyer and tax advisor working together, ideally before you make an offer.

Lex Koller Looks Through the Structure

The Federal Act on the Acquisition of Real Estate by Persons Abroad (BewG, known as Lex Koller) was written with structures in mind. Three points matter most.

1. Foreign-controlled companies are persons abroad

A company with its seat outside Switzerland is a person abroad. So is a Swiss company if it is controlled by persons abroad, whether through share capital, voting rights or significant loans. A Swiss AG owned by a non-resident family is treated exactly like the family itself. As one Swiss legal overview puts it, legal entities are subject to the same authorisation requirement.

2. Buying shares can count as buying the property

Lex Koller does not only cover land registry transfers. Acquiring shares in an unlisted company whose real purpose is holding residential property is treated as acquiring the property. You cannot buy the company that owns a chalet in Lauenen and sidestep the rules that would apply to buying the chalet.

3. Holiday homes are for individuals

The holiday-home route that allows non-residents to buy in tourist municipalities such as Saanen is open to natural persons, in their own name, within the cantonal quota and size limits. A company cannot hold a holiday-home authorisation. Our guide to Lex Koller covers the quota and limits in more detail.

What about trusts?

Switzerland has no domestic trust law, although it recognises foreign trusts under the Hague Convention. In the land registry, the trustee is the owner. For Lex Koller purposes, the authorities ask who really stands behind the acquisition. A trust with non-resident settlors, trustees or beneficiaries will normally be treated as a person abroad. A trust is not a route around the holiday-home rules for a family living abroad.

Where a Company Can Work

There are legitimate uses. They are narrower than most people hope.

Swiss residents and Swiss-controlled companies

If you hold a C permit or Swiss citizenship, you are outside Lex Koller entirely, and so is a Swiss company you control. EU and EFTA nationals with a B permit can buy their primary residence personally without authorisation, but a company they control is a different question and needs checking case by case.

Genuine business premises

Property used as a permanent business establishment, such as a hotel, a restaurant, or offices, falls outside the authorisation requirement. The use must be genuine. A residential chalet with a nominal business inside it will not qualify, and the authorities look at substance.

Listed property companies

Shares in Swiss real estate companies listed on a stock exchange are currently outside Lex Koller. That is an investment in a portfolio, not a way to own a specific chalet. The Federal Council's 2026 consultation on tightening Lex Koller proposed bringing some of these holdings back under the regime, so treat this as subject to change.

Why Swiss Residents Usually Still Own Personally

Even when a company is legally possible, we rarely see it pay off for a family chalet in the Saanenland. The reasons are tax and practicality.

Private use has a price

If you, as shareholder, use a chalet owned by your company, the tax authorities expect you to pay the company a market rent. If you do not, the free use is treated as a hidden profit distribution (verdeckte Gewinnausschüttung). The company is taxed as if it received the rent, and you are taxed as if you received a dividend. In a market where a large chalet can command a substantial seasonal rent, that adds up quickly.

Two layers of tax

The company pays cantonal and federal profit tax and capital tax. You pay wealth tax on the value of the shares, and income tax on anything distributed. Owning personally, you pay wealth tax on the property and, until 2029, income tax on the Eigenmietwert. After 2029 the picture shifts again, as we explain in our article on the new second-home tax in Canton Bern.

A common idea is that a company lets you sell the shares rather than the property, avoiding transfer tax and property gains tax. Canton Bern generally treats the transfer of a controlling interest in a real estate company as an economic change of ownership (wirtschaftliche Handänderung). Both taxes can still apply. Confirm the treatment of your specific structure with a Bernese tax advisor.

Financing is harder

Swiss banks lend most readily to individuals on residential property. Company-owned residential property is underwritten differently, often with lower loan-to-value ratios and more covenants. See our guide to Swiss mortgages for foreign buyers for the personal route.

Succession: The Real Reason People Ask

Most clients who ask about companies are really asking about inheritance. They want the chalet to pass smoothly, without Swiss forced heirship disputes or a messy co-ownership among children.

A few points worth knowing:

Canton Bern does not levy inheritance tax on transfers to a spouse or direct descendants. For many families, the tax motive for a structure simply does not exist here.
Swiss forced heirship rules were relaxed in 2023, giving more freedom to dispose of an estate. Foreign nationals can often choose the law of their nationality for their estate. Our article on Swiss inheritance law and property covers this.
Lex Koller exempts legal heirs. Inheriting from a parent does not require authorisation, although heirs under a will who are not legal heirs may face conditions.
A shareholder agreement is not the only tool. A well-drafted co-ownership agreement, with use rules and buy-out clauses, can achieve much of what families want from a company. We discuss this in our guide to co-owning a chalet with family.

The Questions we Ask Before Any Structure Is Considered

What is your residence status today, and what will it be in five years?
Is the property a home, a rental investment, or both?
Who will use it, and who will inherit it?
Where do you pay tax, and how does that country treat a Swiss company or a Swiss property held directly?
Will you need a mortgage?

The answers usually point to personal ownership, sometimes jointly with a spouse, with good wills and a clear agreement among family members. When they point elsewhere, the structure is designed by specialists and approved before the purchase, not improvised at the notary.

Frequently Asked Questions

Can a foreigner buy a holiday home in Gstaad through a company?

No. Under Lex Koller, holiday-home authorisations are granted to individuals buying in their own name. A company controlled by persons abroad is itself treated as a person abroad, so the structure does not unlock anything a non-resident could not buy personally.

Can a Swiss resident hold a Gstaad chalet in a Swiss company?

Legally yes, if the company is not foreign-controlled. In practice it is rarely efficient for a family home, because private use by the shareholder must be paid for at market rent or it is taxed as a hidden profit distribution, and the company pays profit and capital tax.

Does selling the shares of a property company avoid transfer tax in Canton Bern?

Generally not. Canton Bern treats the transfer of a controlling stake in a real estate company as an economic change of ownership, which can trigger both property gains tax and transfer tax. Confirm the specific case with a Bernese notary or tax advisor.

Can a trust own Swiss property?

Swiss law has no domestic trust, so title is held by the trustee. Lex Koller authorities look at who stands behind the structure, including trustees and beneficiaries abroad. A trust held by non-residents will normally be treated as a person abroad.

If you are planning a purchase and have been advised to use a structure, we are glad to look at it with you early and connect you with Swiss lawyers who handle this every week. Get in touch.

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For a confidential conversation about your search or sale, contact The Gstaad Collection.