Each person who expresses interest in an offer will be given access to the following documents on the Foxstone platform: 

• The brokerage and management mandate 
• Co-ownership management regulations 
• The draft mortgage contract 
• The draft deed of sale 

To invest in a property, they must complete, sign and return the following documents, which are required by the mortgage bank and the notary: 

• Subscription Form 
• Notarized Power of Attorney Form* (two copies) 
• Mortgage provider accreditation form (KYC) 
• Account statement in their name from a Swiss bank, less than three months old, with a balance equal to or greater than the amount of the investment.
• The documents for the notary
• Two notarized copies of their ID (valid for at least 6 months) 
• For foreign investors, a copy of their Swiss residence permit 
• Declaration of US tax status (FATCA) 
• A copy of their social security or health insurance card 

For notarized documents, Foxstone has partnered with a notary public to provide online notarization. 

Once these documents have been provided, it is possible to invest in Foxstone’s co-ownership offerings without further notarization, as long as the ID is valid. 

* To avoid the need to visit notaries in the various cantons, investors sign a power of attorney authorizing Foxstone to represent them in finalizing the acquisition of the property. 

No. This is a rental investment, not a primary residence. 

For logistical reasons, we don’t arrange visits to properties prior to purchase. However, you will have access to photos, technical details and appraisal reports. All of these documents are included in the descriptions of our listings. 

Co-owners receive quarterly the net cash flow from the property. It results from the rental income from which operating expenses, investment expenses for the improvement of the property and mortgage-related expenses are deducted. Below is an example of an annual account:

At the time of sale of the property or when the investors sell their shares, they shall receive their invested capital in return plus any capital gain resulting for the appreciation of the property. Each investment carries a risk which can strongly impact the yield. Foxstone advises every investor to read the Risk Factors document, which summarizes some of these risks, and to consult a financial expert and a tax advisor for each investment. No guarantee whatsoever is given as for the reimbursement of the capital and the payment of dividends.

Once the property is acquired, each investor is registered as a co-owner in the land register of the canton where the property is located. This registration guarantees ownership through the existence of a real right. 

A co-owner can obtain a certified extract of the co-ownership directly from the canton’s land registry to prove and enforce his rights. A copy of the notarized deed is also available in your Foxstone account. 

Co-ownership is the direct purchase of a fractional interest in a property, with the purchaser’s name entered as co-owner in the land registry. The properties offered for purchase are existing, rented investment properties. 

Co-owners receive their net rental income quarterly in proportion to their shareholding. They don’t have to worry about managing the property and realize potential capital gains when they sell their shares or the building. 

The main risks of investing in residential property are vacancy and renovation: empty apartments lower yields, and renovations can be costly. 

The co-ownership model mitigates the risk of vacancy, as it is diluted across all the apartments in the building. Renovation risk is shared by all co-owners. 

Example: 

If you own an apartment and receive rent from the tenant, you lose 100% of your income when the apartment is vacant. 

In the co-ownership model, if you own one or more shares in a 40-unit property, a single tenant represents 1/40 of your income (if all units were rented at the same price). 

Foxstone takes these risks into account in its return projections and sets aside provisions accordingly. 

Foxstone maintains a network of institutional investors, private owners and brokers, giving it direct access to the heart of the Swiss real estate market. 

The selection of properties is based on their ability to deliver stable returns within the risk tolerance limits set by our conservative approach. 

Foxstone therefore applies strict criteria to minimize the risks associated with vacancy and dilapidation, retaining on average only 3% of the properties it evaluates. 

These criteria are as follows: 

• The units must be fully, or at least mostly, leased. 
• The property must be located in an area with high rental demand. 
• Rents must be market rate or have potential for increase 
• The property must be well-maintained or have the potential to increase its value through easily performed work. 

Properties that meet these criteria are then subjected to in-depth analysis, including in-house technical, legal and financial reviews. These reviews are then compared to independent appraisals performed by reputable appraisal firms recognized in their field. 

Technical Audit: Evaluation of the condition of the property and establishment of a preliminary budget for the investments required to maintain or increase its value. This allows us to proactively adjust the renovation fund. 

Legal review: Review of all contracts related to the property (leases, insurance, maintenance contracts) to identify any legal risks—risks that we do not want to pass on to our clients or take on ourselves. 

Financial Audit: Valuation of the property to ensure that the purchase price reflects market reality. 

These steps allow us to make investment offers based on solid, transparent data. Foxstone can then select only those properties that meet the high standards required to hedge risk and maximize long-term return potential for our clients. 

Rental income, net of all expenses, is paid quarterly into the co-owners’ bank accounts according to their shares. 

Full details of rental income and management reports are available in your personal space under the Portfolio tab.

Condominium ownership allows a building to be divided into independent units while the common areas are managed collectively. Specifically, investing in condominium ownership generally amounts to buying an apartment to live in or rent out. 

Co-ownership in participative investment means buying one or more shares in a property in order to receive income from it. 

Compared to condominium ownership, co-ownership investment has the following advantages: 

A more affordable investment 

The minimum amount for a Foxstone co-ownership investment is CHF 25,000, compared to an average contribution of CHF 150,000 for an 80 square meter condominium. 

Lower vacancy risk 

In a co-ownership real estate investment, each investor is a co-owner of a portion of the building. Specifically, they own a fraction of each apartment and receive a percentage of the rental income generated by all the apartments, based on their share. 

If one apartment is vacant, the other apartments continue to generate rental income. This diversification limits the financial impact for each investor, as the loss of income from one unit is offset by the income from the others. This mechanism of spreading the risk of rental vacancy across multiple units is known as risk dilution. 

Conversely, owning a single unit exposes the owner to greater risk. In the event of a vacancy, the owner loses all rental income from that unit, while still having to pay the associated fixed costs such as taxes, maintenance and management fees. In this scenario, the risks are entirely concentrated in a single unit, which can have more severe financial consequences. 

Professional property management 

As part of a shared-ownership investment, a property management company is responsible for the management of the building, including rent collection and routine maintenance. 

As the administrator of the property, Foxstone makes strategic decisions aimed at maximizing its value and returns. Co-owners are encouraged to take part in major decisions at the annual meeting, which is held online to facilitate participation. 

In order to protect the co-owners from a potential interest rate hike which could negatively impact the investment’s revenues, Foxstone generally sets interest rates over a seven-year period.

Foxstone has partnerships with several renowned Swiss banks through which agreements are concluded to make the crowdinvestment in co-ownership as fluid as possible. Each investor has to have filled beforehand the investment form supplied by Foxstone at the time of his subscription. These forms are sent to the bank in order to verify the origin of the funds and the investor’s solvency.

In Switzerland, the debt ratio on residential buildings can reach 80% of the value of the building. For the financial stability of the investment and in anticipation of future hikes of interest rate, we generally prefer to borrow a maximum of two-thirds of the property’s value. We want the building to be self-sustained and the mortgage cost to be largely covered by the rental income.

For co-ownership investments, Foxstone charges a finder’s fee of the gross value of the asset at acquisition and management fees ranging from 0.05% to 0.25% of the property price (decreasing with the size of the transaction). 

If renovations are required, the property management company responsible for the day-to-day management of the building may arrange for them to be carried out independently, up to a maximum of CHF 3,000 per intervention and CHF 10,000 per year. 

For work exceeding these amounts, the management must obtain approval from the property administrator, i.e. Foxstone. 

For work exceeding 2% of the value of the property, a decision by the general meeting of co-owners is required (by a simple majority). 

All these procedures are detailed in the co-ownership management regulations. 

The co-owners are free to choose the property manager and revoke Foxstone’s management mandate. This will require a qualified majority of co-owners, as provided in the co-ownership agreement.

As manager of the property, Foxstone is delegated by the community to make decisions regarding renovations and mortgage payments. 

The collection of rents and the day-to-day management of the property are delegated to established and reputable property management agencies, with whom Foxstone has entered into partnerships that allow the co-owners to benefit from preferential rates throughout Switzerland. 

In order to ensure the necessary maintenance and renovation of the building over the years, the co-ownership’s governing documents require the appointed manager to establish a renovation fund on behalf of the co-owners. That way, Foxstone protects the co-owners whose property it manages from a potential call for funds. 

The percentage of income deducted from this account is determined by the condition of the property and the recommendations contained in the condition report. It is set each time by the director at the general meeting for the following year. 

This fund is used when renovations are needed and can also be used to cover interest payments to the bank when rental income is insufficient. 

When they sell their shares, investors receive the balance of this account in proportion to their shareholding. 

With co-ownership, your name (and that of each co-owner) will be recorded in the land registry. Your actual rights to the property are thus guaranteed, and you are not dependent on Foxstone to enforce them. 

Foxstone is only the administrator of the property. If Foxstone were to disappear, the administration would simply have to be delegated to a third party, such as the agency in charge of property management. 

Co-owners are strongly encouraged to participate in general meetings held online and asynchronously. 

Co-owners can vote, make recommendations, and ask questions through the Foxstone platform. 

The meeting is chaired by the manager, i.e. Foxstone, who presents the financial statements for the past year and the budget for the coming year. 

The documents are posted online at least 10 days before the meeting. 

Foxstone takes a conservative approach in preparing the financial plan for each property. 

We incorporate a rental loss forecast based on the building’s historical vacancy rate into our income projections. This ensures that in the event of a vacancy, revenues are never too far off projections. 

Please note: 

This is a forecast, not a provision, i.e. the advertised yield takes into account the fact that a certain number of apartments may remain unoccupied for some time due to tenant turnover. If, during the year, all apartments are occupied without interruption, the yield paid out will be higher than the yield advertised. 

This approach gives us a margin of safety when calculating the expected yield, ensuring that it is as close to reality as possible. 

Finally, Foxstone has an extremely positive rental track record, with only 1% of its 33 properties under management vacant. 

Yes, co-owners can put their shares up for sale on the Foxstone platform by writing to contact@foxstone.ch. The price is set by the seller; the buyer is responsible for all costs. 

The aim is to minimize rental vacancy periods, which have an impact on income. We therefore seek to re-let units as quickly as possible and anticipate the effect of tenant turnover on returns. 

Foxstone therefore delegates the day-to-day management of the properties to professional property managers who are capable of minimizing vacancy periods. We also take a conservative approach to the financial planning of each building. 

We incorporate a rental loss forecast based on the building’s historical vacancy rate into our income projections. This ensures that in the event of a vacancy, revenues are never too far off projections. 

Please note: 

This is a forecast, not a provision, i.e. the advertised yield takes into account the fact that a certain number of apartments may remain unoccupied for some time due to tenant turnover. If, during the year, all apartments are occupied without interruption, the yield paid out will be higher than the yield advertised. 

This approach gives us a margin of safety when calculating the expected yield, ensuring that it is as close to reality as possible. 

Finally, Foxstone has an extremely positive rental track record, with only 1% of its 33 properties under management vacant.