Cross-border commuter mortgage: financing in Germany on CHF income
You live in Germany and work in Switzerland, Austria, Luxembourg, the Netherlands or France. Income is often in a foreign currency — and that is a problem for many banks. We know the banks that handle this actively.
What do banks check for a cross-border commuter mortgage in Germany?
Above all the income. If you live in Germany and work in a neighbouring country, the bank checks foreign-currency income, typically Swiss francs, and the foreign employment contract more closely and applies a safety discount. Some institutions treat CHF income more generously, others more cautiously. With early proof and a suitable lender, you usually finance on regular terms.
Living in Germany, paid in CHF: is a cross-border commuter mortgage possible?
Yes — a cross-border commuter mortgage on CHF income is possible because you live in Germany; banks apply a safety discount to the franc income.
- What is the key issue for cross-border commuters? Financed from Germany, not against it. The issue is foreign-currency income (often CHF); we know the banks that handle this actively. Euro commuters from Luxembourg or Austria are the simplest cases. Foreign-currency income and the banks that accept it.
- What is special about Swiss commuters? It is the largest commuter market with an established pool of banks. Some lenders do not accept foreign-currency income — others do, and each applies its own safety margin to it. Bank selection matters most. Foreign-currency income and the banks that accept it.
- 650+ Banks compared; §34i Licensed adviser; 2016 Experience since; 89 Published case reports.
Which cross-border commuter profiles are common?
Common cases are cross-border commuters living in Germany and working in Switzerland, Luxembourg, Austria, the Netherlands or France. Switzerland is the largest cross-border commuter market with CHF income; in the other countries, income is paid in EUR.
- Konstanz · Lörrach · Singen ↔ Zurich · Basel (DE → CH): The largest cross-border market. CHF income, an established pool of banks.
- Saarland · Trier ↔ Luxembourg (DE → LU): EUR — no currency issue. The simplest case. LU incomes are often high, which means very good terms.
- Bavaria · Vorarlberg border ↔ Austria (DE → AT): EUR, established. The Hochrhein–Vorarlberg commuter case is also well served.
- Aachen · Lower Rhine ↔ Netherlands (DE → NL): EUR, straightforward. A Dutch employer with a German residence — many banks underwrite that.
- Baden ↔ France (DE → FR): EUR, a small but active market. Saarland ↔ Lorraine also works.
Which bank finances cross-border commuters with CHF income? Not every bank — many banks struggle with foreign-currency income. As a financing broker licensed under Section 34i of the German Trade Regulation Act (GewO), we check 650+ banks and know the lenders that actively finance cross-border commuters. The initial consultation is free of charge for you; the commission is usually paid by the bank. Foreign-currency income: which bank takes it into account.
What is special about Swiss francs as income? The CHF income is converted into euros at the exchange rate on the reference date, and the bank deducts a currency discount (Währungsabschlag) of 10–25 % (50 % for 100 % financing) — it affects the loan amount available, not the instalment. Some lenders do not accept foreign-currency income — others do; which currencies are on the list is set out in the lending guidelines. Foreign-currency income: which bank takes it into account.
As a cross-border commuter, am I a foreign case? No — you are resident in Germany; only your place of work is abroad. SCHUFA and German creditworthiness are fully in place, KfW funding applies without restriction (tax-resident status), and the notary appointment takes place in Germany. As a result, the pool of banks is considerably larger than for non-residents for tax purposes. Which banks finance non-residents for tax purposes?.
- 650+ banks compared
- §34i verified licence
- 2016 experience since
- 89 published case reports
Can I get a German mortgage as a cross-border commuter to Switzerland? Yes — as a cross-border commuter to Switzerland resident in Germany, a German mortgage is quite possible, as it is with a place of work in Austria, Luxembourg, the Netherlands or France; after all, your residence is in Germany. The special feature is the income: it is often paid in a foreign currency — typically Swiss francs — and comes from an employment relationship abroad.
The bank applies foreign-currency income with a safety discount and examines the foreign employment contract more closely; some institutions calculate CHF income more generously, others more cautiously. The tax treatment — cross-border commuter rules, withholding tax (Quellensteuer) — also feeds into the documents. Anyone who puts together the right evidence early and chooses a lender that is used to cross-border commuter income usually obtains financing on standard terms.
We clarify which lenders these are in a conversation, not on the website.
What are the requirements for the application?
You need stable employment with a foreign employer for at least 12 months, payslips, a tax assessment in line with the double-taxation treaty, SCHUFA from the German residence and own funds covering purchase costs of 8–15 %.
Stable employment with a foreign employer — at least 12 months, ideally longer; Payslips in the original language + EN/DE translation where needed; Tax assessment in line with the double-taxation treaty — typically taxation in Germany as the country of residence (CH commuters) or foreign payroll tax (LU commuters); SCHUFA from the German residence — should be in place; Equity similar to a standard mortgage: purchase costs of 8–15 % covered by your own funds, no further equity strictly required.
Switzerland, Luxembourg or Austria: What is different for cross-border workers?
The currency and the type of proof of income, which decide how many banks consider the case. Residence in Germany, work abroad and a property in Germany are the same in all three.
Switzerland — Currency: CHF; Key feature: The bank accounts for the exchange rate risk by applying a discount of 10–25 % (50 % in the case of 100 % financing) to the converted income. Withholding tax (Quellensteuer) is deducted from the salary, but taxation still takes place in Germany. The largest category — and the one where the banks’ approaches differ the most. Luxembourg — Currency: Euro; Key features of the case: No currency discount (Währungsabschlag), as there is no exchange rate involved. Instead, a payslip issued in accordance with Luxembourg law, which not every loan officer is familiar with.
The 13th month’s salary and the index adjustment need to be explained; otherwise, the bank will treat them as a one-off payment. Austria — Currency: Euro; Key feature: Also without a currency adjustment and, formally, the simplest case. The treatment of the 13th and 14th monthly salaries needs to be clarified: they form an integral part of the annual remuneration, but are easily overlooked when examining the last three monthly payslips.
The practical conclusion from the table: In the case of Luxembourg and Austria, it is not the currency that matters, but the explanatory note. A payslip submitted without any comments will result in an annual income being set too low — and thus in a loan limit that is too low because the 13th and 14th payments are left out. In the case of Switzerland, on the other hand, the choice of bank is the deciding factor, as the discount is determined by the bank’s own policy.
What remains the same in all three cases is that the property is situated in Germany, the notary is German, and the land charge is created in accordance with German law — see Registering and cancelling a land charge.
What often makes commuters cheaper to finance?
They are not a classic foreign case: resident in Germany, with SCHUFA and German credit history in place, full KfW eligibility and a much larger pool of banks than for non-residents.
- SCHUFA + German credit history fully in place
- KfW funding applies without restriction (resident-taxpayer status)
- The pool of banks is much larger than for non-residents
- The notary appointment in Germany is easy
Swiss commuters: What is special?
For Swiss commuters, CHF income is converted with a discount of 10–25 % (50 % at 100 % financing), a German tax assessment is still produced alongside the withholding-tax advance payment, and the notary is in Germany.
CHF income is converted, with a discount of 10–25 % (50 % at 100 % financing), depending on currency and type of income; Withholding-tax advance payment via payroll — a German tax assessment is still produced; The 4.5 % rule on a move across the border — relevant for assessment questions; Notary in Germany — no dealings with Swiss notaries.
Frequently asked questions
Which documents do banks require for a cross-border commuter mortgage?
Banks ask for stable employment with a foreign employer for at least 12 months, payslips in the original language with an EN/DE translation where needed, a tax assessment in line with the double-taxation treaty and SCHUFA from the German residence.
How much equity does a cross-border commuter need for a mortgage in Germany?
Equity is similar to a standard mortgage: purchase costs of 8–15 % are covered by your own funds, and no further equity is strictly required.
How do banks convert CHF income for a cross-border commuter mortgage?
For a cross-border commuter mortgage, the bank uses the CHF income, converted into euros at the exchange rate on the reference date and reduced by a safety discount of 10–25 % (50 % for 100 % financing). The discount affects the loan amount available, not the instalment. The bank also examines the foreign employment contract more closely; some institutions calculate CHF income more generously, others more cautiously.
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No legal or tax advice.
Related pages
Property financing for expats, Germans abroad & cross-border workers
International mortgage broker under § 34i GewO: German property finance for expats, Germans abroad and cross-border workers, in four languages.
Buy a house in Germany while living abroad
Buy a house in Germany while living abroad: which banks lend to non-residents, how much equity is needed and what documents are required.
Buying German property from Switzerland — residence and cross-border work
Buying German property from Switzerland: CHF income counted with a 10–25 % (50 % at 100 % financing) discount, 60–100 % loan-to-value and banks that accept a Swiss residence.
Editorially responsible: Olga Nikushkina — owner, §34i GewO (German mortgage brokerage), adviser register D-W-132-ZUCB-95. Specialised in German property financing with an international dimension: non-residents, foreign-currency income, cross-border workers, expats. Siegfried Perini is entered in the German intermediary register under this licence as a person directly involved in brokerage and advice (§ 11a GewO), active in real estate since 1992. Not legal or tax advice.
