The decline comes at a time when conditions for refinancing on the capital markets have eased. According to the Swiss National Bank, the yield on ten-year Swiss government bonds stood at 0.491 per cent on 23 October 2026, after the SNB had kept its key interest rate at 0 per cent since 20 June 2025.
For homeowners and prospective buyers, the gap between current rates and benchmark rates is particularly relevant. The FuW Mortgage Index does not reflect quoted rates, but rather mortgage transactions actually concluded via the CredEx platform. It therefore provides a quicker indication of where banks are actually concluding deals, even though market movements may be reflected in contracts with a slight time lag due to reservable terms.
Market stabilises in October
In the third week of October, ten-year fixed-rate mortgages averaged 1.72 per cent. Compared with the previous week, this represents a fall of 0.05 percentage points. Five-year fixed-rate mortgages stood at 1.59 per cent, unchanged from the previous week. Compared with the annual high recorded in early October, the ten-year rates were thus clearly lower once again.
Capital market sends a signal of easing
For mortgages, this is more than just a technical correction. Swap rates and bond yields are key indicators for banks’ refinancing. When these curves fall, price pressure on longer-term mortgages eases. This could prove significant for deals in the fourth quarter, following the upward trend since the end of August, which had once again made financing more expensive for many buyers.
Actual deals rather than window-dressing prices
The news value of the index lies in its data basis. It publishes average interest rates from actual contracts rather than published provider reference rates, which are often higher than the subsequent terms. Particularly in a volatile interest rate environment, this makes it clearer whether banks are actually passing on higher refinancing costs to customers or whether competition is cushioning some of the impact.
