Purchasing a property under the Propriété Par Étages (PPE) scheme is an increasingly popular option in Switzerland, especially in the canton of Valais. This form of ownership, governed by the Swiss Civil Code, combines individual and shared ownership. In this article, we explore the main advantages of PPE and provide practical advice for a successful purchase.

What is Condominium Ownership (PPE)?

PPE is a form of co-ownership that allows you to be the full owner of a private unit (apartment, commercial premises, etc.) while sharing ownership of the common areas of the building (roof, elevator, boiler room, etc.) with other co-owners. It is governed by articles 712a to 712t of the Swiss Civil Code.

1. More Affordable Access to Property

Buying a property under PPE is generally more affordable than purchasing a standalone house. This makes ownership more accessible to a greater number of households, particularly in desirable regions of Valais such as Sion, Crans-Montana, or Martigny.

2. Shared Maintenance Cost

Maintenance costs for the common areas are shared among all co-owners. This pooling of resources helps ensure good upkeep of the building at a lower cost.

3. Autonomy in Your Private Unit
Each owner has full freedom within their private space (subject to the PPE regulations), allowing for interior modifications according to individual needs.

4. Asset Appreciation
The PPE market is dynamic in Switzerland, especially in Valais, where demand for both primary and secondary mountain residences remains strong.

1. Review the PPE Regulations

This document sets out the rules for community living, the rights and obligations of each co-owner, and the allocation of shared costs. It is essential to read it carefully before making any purchase.

2. Check General Meeting Minutes and the Renovation Fund Status

Before buying into a PPE, request and review the minutes of the last three general meetings to avoid unpleasant surprises. This will allow you to assess how the property is managed, examine past decisions, and obtain the latest breakdown of co-ownership charges. The renovation fund is a financial reserve intended to cover future works. A well-funded reserve is a good indicator of the property’s long-term planning.

3. Participate in Co-Owners' Meetings

These meetings allow you to stay informed about building management, vote on budgets and works, and influence maintenance policies. It is highly recommended to attend them.

4. Check the Monthly Charges
PPE charges include maintenance costs, insurance, management fees, etc. In Valais, expenses may be impacted by climate-related constraints (e.g., snow removal, heating), which should be factored into your budget. Major maintenance of common areas can also significantly affect co-ownership charges.

5. Inquire about the Property Management Company

A competent administrator is essential for proper management of the PPE. In Valais, many local agencies offer personalized support. Before buying a PPE property, it's advisable to check the reputation and qualifications of the administrator and the management company.

6. Anticipate Local Taxation

In Valais, taxes on rental value and property taxes may vary by municipality. Be sure to include them in your financing plan.

Conclusion

Buying a PPE property in Switzerland, especially in Valais, is an attractive opportunity to access homeownership while benefiting from a well-structured collective living environment. With the right information and guidance from real estate professionals, your project can be carried out with peace of mind and long-term success.