Behind this proposal lies a clear weakness in the current system. Anyone who purchases owner-occupied residential property in Bern currently loses the tax benefit if even parts of the property are rented out or individual rooms are used for business purposes. It is precisely this narrow interpretation that the cantonal government now aims to correct in the law governing real estate transfer tax.
Currently, the real estate transfer tax in the Canton of Bern amounts to 1.8 percent of the purchase price. For owner-occupied residential property, the first 800,000 francs are already exempt. Under current law, however, this applies only if the property is used continuously, personally, and exclusively as the owner’s primary residence for at least two years.
Mixed Use Should No Longer Be a Barrier
Under the new proposal, the tax exemption would also apply if a residential property is partially sublet in addition to the owner’s own use, or if certain areas are used as offices. Ancillary rooms and parking spaces are also to be included, provided they are purchased together with the residence. Second homes, vacation homes, and commercial buildings remain excluded.
Shorter Requirement, Different Procedure
The cantonal government also intends to make significant changes to the time requirements. In the future, it will be sufficient for the property to be used as a primary residence for at least six months within a four-year period. Currently, Bernese law generally requires two years of uninterrupted use, as well as moving in within one year—or within two years for new construction. At the same time, the tax will now be due immediately upon registration in the land registry. Anyone who meets the new requirements later could file a request for a refund within four years. The previous model, which allowed for a deferral of payment, would be eliminated.
A political mandate has already been issued
The proposal stems from motions passed by the Grand Council. As early as 2023, a parliamentary mandate called for the tax exemption to no longer be denied if part of the property is not used exclusively for residential purposes. This would provide greater flexibility for buyers of single-family homes with a granny flat, apartments with a home office, or mixed-use condominiums. The public comment period runs through January 7, 2027. A date for the law to take effect has not yet been determined.
