All Countries
Real Estate
Home Loan Sanction Letter

Home Loan Sanction Letter Template for Switzerland

Create a bespoke document in minutes,  or upload and review your own.

4.6 / 5
4.8 / 5

Let's create your Home Loan Sanction Letter

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Get your first 2 documents free

Your data doesn't train Genie's AI

You keep IP ownership of your information

Key Requirements PROMPT example:

Home Loan Sanction Letter

"I need a Home Loan Sanction Letter for a 750,000 CHF mortgage to purchase a residential property in Zurich, with a fixed interest rate for the first 5 years, including specific provisions for property insurance and early repayment options."

Celebrated by
Collaborations with
Investors
Document background
The Home Loan Sanction Letter is a critical document in the Swiss mortgage lending process, issued by banks to formally approve housing loans. It is used when a prospective borrower's loan application has been successfully evaluated and approved by the lending institution. The document serves multiple purposes: it confirms the bank's commitment to provide the loan, details all essential terms and conditions, and establishes the framework for the subsequent mortgage agreement. Under Swiss law, this document must adhere to strict banking regulations set by FINMA, incorporate consumer protection requirements, and consider specific property laws including Lex Koller for foreign nationals. The letter typically precedes the final mortgage contract and includes comprehensive information about loan amount, interest rates, repayment terms, security requirements, and conditions precedent to disbursement.
Suggested Sections

1. Bank Details and Reference Number: Complete details of the issuing bank and the unique reference number for the loan application

2. Borrower Information: Full name and contact details of the borrower(s), including their current address

3. Property Details: Complete information about the property being financed, including address and basic specifications

4. Loan Amount and Purpose: Approved loan amount, purpose of the loan, and loan-to-value ratio

5. Interest Rate Terms: Details of the applicable interest rate (fixed or variable), reset periods if any, and calculation method

6. Repayment Terms: Loan tenure, EMI amount, repayment schedule, and prepayment conditions

7. Security and Collateral: Details of the mortgage security and any additional collateral required

8. Fees and Charges: Complete breakdown of all applicable fees, charges, and processing costs

9. Key Conditions Precedent: Essential conditions that must be met before loan disbursement

10. Validity Period: Time period for which the sanction letter remains valid

11. Declaration: Statement of the binding nature of the terms and conditions

12. Acceptance Section: Space for borrower's acknowledgment and acceptance of terms

Optional Sections

1. Insurance Requirements: Details of mandatory insurance coverage, used when the bank requires specific insurance policies

2. Foreign National Provisions: Special conditions applicable under Lex Koller, included when the borrower is a foreign national

3. Construction Drawing Terms: Specific terms for construction-linked disbursement, included for under-construction properties

4. Co-applicant Details: Information about co-applicants when the loan has multiple borrowers

5. Special Conditions: Any unique terms or conditions specific to the borrower's situation

6. Government Subsidy Details: Information about applicable government schemes or subsidies, if any

Suggested Schedules

1. Repayment Schedule: Detailed amortization table showing principal and interest breakup for each installment

2. Fee Schedule: Detailed breakdown of all fees and charges applicable to the loan

3. Property Valuation Report Summary: Key findings from the property valuation report

4. Required Documentation List: Comprehensive list of documents required for loan processing

5. Interest Rate Calculation Methods: Detailed explanation of interest calculation methodology and examples

6. Insurance Requirements Detail: Specific insurance requirements and acceptable insurance providers

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Banking

Real Estate

Financial Services

Insurance

Property Development

Mortgage Broking

Legal Services

Construction

Property Valuation

Relevant Teams

Legal

Credit Risk

Mortgage Operations

Compliance

Customer Service

Underwriting

Document Processing

Property Valuation

Credit Analysis

Branch Operations

Relevant Roles

Mortgage Officer

Loan Officer

Banking Relationship Manager

Credit Analyst

Risk Manager

Compliance Officer

Legal Counsel

Property Valuator

Mortgage Broker

Real Estate Agent

Banking Operations Manager

Credit Risk Officer

Customer Service Representative

Branch Manager

Underwriting Manager

Industries
Swiss Civil Code (ZGB/CC): Articles 793-815 specifically deal with mortgage and real estate law, including the creation and registration of mortgage liens
Swiss Code of Obligations (OR/CO): Governs contractual relationships and obligations between parties, including loan agreements and financial contracts
Federal Act on Banks and Savings Banks (Banking Act): Regulates banking activities including mortgage lending, setting requirements for financial institutions offering home loans
FINMA Guidelines on Mortgage Lending: Specific guidelines from the Swiss Financial Market Supervisory Authority regarding minimum requirements for residential mortgage lending
Swiss Consumer Credit Act (KKG/LCC): While primarily focused on consumer credit, certain provisions may apply to mortgage lending, particularly regarding consumer protection
Federal Act on Money Laundering (AMLA): Requires due diligence in financial transactions, including verification of the origin of funds used in real estate purchases
Federal Act on Financial Services (FinSA): Contains provisions on how financial services, including mortgage products, must be offered to clients, focusing on transparency and client protection
Federal Act on the Acquisition of Real Estate by Persons Abroad (Lex Koller): Restricts the acquisition of residential property by persons abroad, which can affect mortgage lending to foreign nationals
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

Find the exact document you need

Mortgage Preapproval Letter

A formal Swiss banking document providing preliminary mortgage approval, outlining loan terms and conditions under Swiss banking regulations.

find out more

Mortgage Authorization Letter

A Swiss law-governed authorization letter enabling a financial institution to proceed with specified mortgage-related actions on behalf of a property owner.

find out more

Home Loan Contract

A Swiss law-governed agreement establishing terms and conditions for a residential property mortgage between a lender and borrower, including loan terms, security arrangements, and regulatory requirements.

find out more

Certificate Of Mortgage

A Swiss legal instrument creating a security interest in real estate, requiring notarization and land registry registration under Swiss law.

find out more

Home Loan Sanction Letter

A Swiss banking document confirming mortgage loan approval, outlining key terms and conditions under Swiss banking and property laws.

find out more

Deposit Gift Letter

A Swiss law-compliant formal letter documenting the gift of funds from a donor to a recipient, including essential banking and legal declarations.

find out more

Lender Approval Letter

A Swiss law-governed formal letter confirming loan approval and specifying key terms and conditions for lending.

find out more

Letter Of Employment For Mortgage

A Swiss-compliant employment verification letter used to support mortgage applications, confirming employment status and compensation details for lending institutions.

find out more

Bank Pre Approval Letter

A formal Swiss banking document providing preliminary approval for a loan or credit facility, subject to final verification and Swiss banking regulations.

find out more

Pre Approval Letter For Mortgage Loan

A Swiss-law governed preliminary commitment letter from a bank indicating the maximum mortgage loan amount and basic terms available to a potential borrower.

find out more

Home Loan Application Letter

A Swiss-compliant formal letter requesting a home loan from a financial institution, including applicant details, property information, and proposed loan terms.

find out more

Gift Letter For Mortgage

A Swiss-law governed formal document confirming a monetary gift intended for use as mortgage down payment, meeting Swiss banking and regulatory requirements.

find out more

Mortgage Release Letter

A Swiss law-governed document confirming mortgage repayment and authorizing property release from mortgage encumbrance in the land register.

find out more

Mortgage Commitment Letter

A binding commitment letter from a Swiss bank specifying mortgage terms and conditions under Swiss banking and property laws.

find out more

Download our whitepaper on the future of AI in Legal

By providing your email address you are consenting to our Privacy Notice.
Thank you for downloading our whitepaper. This should arrive in your inbox shortly. In the meantime, why not jump straight to a section that interests you here: https://www.genieai.co/our-research
Oops! Something went wrong while submitting the form.

Genie’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; Genie’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

Our bank-grade security infrastructure undergoes regular external audits

We are ISO27001 certified, so your data is secure

Organizational security

You retain IP ownership of your documents

You have full control over your data and who gets to see it

Innovation in privacy:

Genie partnered with the Computational Privacy Department at Imperial College London

Together, we ran a £1 million research project on privacy and anonymity in legal contracts

Want to know more?

Visit our Trust Centre for more details and real-time security updates.

Read our Privacy Policy.