Can foreigners without a place of residence buy an apartment or house in Zug?

The 3-point orientation

Foreigners without residence in Switzerland are generally not allowed to buy an apartment or house in the canton of Zug as a holiday home, second home or capital investment. Lex Koller restricts the purchase of residential property by people abroad. In the canton of Zug, it is particularly important: There are no quotas for holiday and second homes, which is why such a purchase by people abroad is not possible. On the other hand, anyone who legally and actually resides in Switzerland may be treated differently depending on their nationality and residence status. EU/EFTA citizens residing in Switzerland are generally not covered by the BewG.

The principle: Without a place of residence, home ownership in Zug is severely restricted

The short answer is: No, as a rule, foreigners without residence in Switzerland cannot buy an apartment or house for residential purposes in the canton of Zug. Lex Koller, i.e. the Federal Act on the Acquisition of Land by Persons Abroad, is decisive.

This Act restricts the purchase of Swiss real estate by persons who do not have a legal and actual residence in Switzerland. It is intended to prevent large amounts of Swiss housing being purchased by people without residence in Switzerland as a capital investment, holiday property or second home.

This is particularly relevant for the canton of Zug. Zug is extremely attractive, expensive and scarce. As a result, demand from abroad would probably be very high without restrictions. Lex Koller significantly limits this access.

What does “person abroad” mean?

The central term is person abroad. This does not simply mean all foreign nationals. Nationality, residence, residence status and economic control are decisive.

Depending on origin and authorization, a foreign person with actual residence in Switzerland may be treated differently from a person who lives abroad. Companies based abroad or Swiss companies that are controlled by foreign countries may also fall under the rules.

For natural persons, it is particularly important: Anyone who is not domiciled in Switzerland and lives abroad is regularly considered a person abroad. For such people, the purchase of residential property in Zug is severely restricted or virtually excluded.

Canton of Zug: No quotas for holiday and second homes

The most important cantonal point is: The Canton of Zug has no quotas for holiday and second homes. It is therefore not possible for people abroad to purchase a holiday home or second home in the canton of Zug.

This distinguishes Zug from certain tourist cantons or municipalities, where people abroad can purchase a holiday home under strict conditions and with a quota. Zug is not such a quota market.

For foreign buyers without a place of residence, this means that it is generally not possible to buy an apartment in the city of Zug, Baar, Cham, Walchwil, Risch/Rotkreuz, Unterägeri or Oberägeri as a holiday home. The purchase of a house as a second home is also not easy to solve with a permit if there is no corresponding cantonal basis.

apartment as a capital investment: Also problematic

Buying an apartment or house in Zug as a capital investment is generally not possible for people abroad if they are living space. Lex Koller makes a strict distinction between residential land and permanent property.

Residential properties are particularly protected. A person abroad cannot simply buy an apartment in Zug and rent it out simply because they expect a good return or increase in value. It is precisely such pure capital investments in residential areas that should be prevented.

This is important for investors. Indirect structures involving companies, loans, trust models or controlled Swiss companies can also be critical if a person abroad benefits or controls economically. Such structures should not be attempted without specialized legal review.

EU/EFTA citizens residing in Switzerland

The situation is different for EU/EFTA nationals with legal and actual residence in Switzerland. According to Zug practice, they are not subject to the BewG. This means that anyone who really lives in Switzerland as an EU/EFTA citizen and has the appropriate residence status can in principle purchase residential property.

However, the actual place of residence is important. A mere postal address, a planned later move or occasional stays are not enough. The center of life must actually be in Switzerland.

For these buyers, a house or apartment in Zug may in principle be possible, for example as a main residence. However, financing, bank valuation, equity, taxes and land register processing remain separate topics.

Third-country nationals residing in Switzerland

The situation is stricter for third-country nationals, i.e. people from countries outside the EU and EFTA. The Canton of Zug states that nationals of third countries with legal and actual residence in Switzerland may purchase a residential unit for their own residential purposes.

This means that a person from a third country who legally resides in Zug or Switzerland can purchase an apartment or house as their main residence under certain conditions. However, it is about personal residential purposes, not about holiday use or capital investment.

Anyone who moves away later, no longer uses the property themselves or wants to rent it out should check the consequences beforehand. Depending on the legal situation and authorization, new questions may arise.

Domicile is not the same as property

A common misconception is that when you buy a property in Switzerland, you get a right of residence. That is not true. Owning real estate in Switzerland does not entitle foreign nationals to a residence permit.

This is particularly important for the canton of Zug. A foreign buyer without a place of residence cannot simply buy an apartment first and then derive a right of residence from it later. Right of residence and purchase of real estate are two different areas of law.

Anyone wishing to live in Switzerland must clarify their residence status through immigration and integration law or the right of free movement. Only then does the question arise as to whether and under what conditions it is possible to buy real estate.

Main home instead of second home

If a foreign person legally resides in Switzerland, buying a main home is more likely than buying a second home. The main home is the property in which the person actually lives and lives.

That is a key difference. An apartment in Zug as a main residence may be permitted under certain conditions. On the other hand, an apartment in Zug as a holiday home, weekend apartment or pure investment is generally excluded for people abroad.

For buyers, this means that the use must match the legal basis. Anyone who claims to buy a main apartment but does not actually live in it themselves risks legal problems.

Holiday apartment in Zug: Practically excluded for people abroad

The canton of Zug is very attractive for international buyers: low taxes, a high quality of life, proximity to Zurich, the lake, economic strength and stable real estate values. That is precisely why a Zug holiday apartment would be interesting for many people. However, this is not legally possible for people abroad because Zug does not have quotas for holiday and second homes.

This applies not only to the city of Zug, but also to attractive communities such as Walchwil, Oberägeri, Unterägeri, Cham, Baar, Hünenberg or Risch/Rotkreuz. The location is of secondary importance; cantonal regulations and qualification as a person abroad are decisive.

Anyone looking for a holiday home in Switzerland must check other cantons with appropriate quotas. However, there are also strict requirements, area limits, permits and, in some cases, second home law rules.

Buying a house through a company or foundation

Some buyers ask whether the purchase is possible through a Swiss company, foundation, trust or other structure. Great care must be taken here. Lex Koller not only looks at the formal envelope, but also at economic domination.

A legal entity based in Switzerland may purchase land unless it is considered to be controlled by foreign nationals. Foreign control can exist when people abroad own more than a third of the capital or voting rights or grant significant loans.

This means that a Swiss company is not automatically a solution. If it is controlled economically by people abroad and is intended to buy residential real estate, this may be subject to approval or inadmissible.

Establishments are to be assessed differently

Lex Koller distinguishes between residential real estate and business premises. In many cases, the purchase of permanent property is not subject to the same restrictions. Under certain conditions, a foreign or foreign-controlled company can acquire commercial space for its own business.

But this does not help when buying a private apartment or house. An apartment for residential purposes remains a different case than an office, a production area or a commercial building.

For Zug, this difference is important because the canton is economically strong. International companies may have questions about permanent establishments. However, private residential real estate for people abroad remains severely restricted.

Buying for rent: Not an easy solution for people abroad

Buying an apartment in Zug for rent is particularly problematic for people abroad. It is living space and therefore exactly the area that Lex Koller limits. Pure investment housing for foreign investors without a place of residence is generally not permitted.

Even if the apartment is rented out to Swiss tenant, this does not automatically change the assessment. The acquirer and the purpose of the acquisition are decisive. A person abroad should not be able to invest through the housing market in Switzerland simply because the property is being rented out.

This is also important for sellers and real estate agent. A foreign interested party without a place of residence cannot simply be treated as a normal buyer. The issue of approval must be resolved at an early stage.

Land register and permit check

When a purchase is made, the land register or the competent authority checks whether there is a permit requirement or whether a non-approval requirement can be identified. In the canton of Zug, a questionnaire is submitted when purchasing residential property or building land for residential purposes.

The process is important because otherwise the purchase cannot be processed cleanly. notary, land register and authorities must know whether the acquirer is considered a person abroad and whether the acquisition is permitted.

For buyers, this means that the Lex-Koller question should not be clarified just before notarization. It belongs at the very beginning of the buying process, especially for foreign buyers, complex structures or unclear place of residence.

What applies to Swiss people living abroad?

Swiss nationals are generally not subject to the same restrictions as foreign nationals abroad. Anyone who is a Swiss citizen can generally purchase residential property in Switzerland, even if they live abroad.

That is an important difference. The question therefore does not affect all persons without a place of residence in the same way. A Swiss citizen abroad is to be treated differently than a foreign national who is not domiciled in Switzerland.

Nevertheless, financing, taxes, residence issues, banking requirements and any reporting requirements remain relevant. Banks can impose stricter requirements when residing abroad, even if the purchase is legally possible.

What does the planned Lex-Koller revision change?

In April 2026, the Federal Council opened a consultation to tighten the Lex Koller. Among other things, it is planned to more closely regulate the purchase of housing for third-country nationals and to further restrict the purchase of holiday homes by people abroad.

For Zug, the current situation is already severe because vacation and second homes are not possible for people abroad. Nevertheless, the reform direction is showing: Switzerland wants to limit foreign individuals' access to the residential real estate market more than to ease it.

For buyers, this means that anyone who has a cross-border case should not rely on outdated information. The legal situation and practice must currently be reviewed.

What buyers should specifically check

Foreign interested parties should clarify several questions before making a reservation or purchase: Do I have a legal and actual place of residence in Switzerland? Am I an EU/EFTA citizen or a third-country national? Am I buying as a main residence, holiday home, second home or capital investment? Am I buying privately or through a company?

Residence permits, financing, equity, banking requirements, taxes, land registry review and any approval or assessment procedures are also important. Without this clarification, a purchase can be blocked later.

Especially in Zug, you should take the Lex Koller exam early. The market is fast, expensive and competitive. Anyone who only realizes after negotiating the price that the purchase is not legally possible loses time and credibility.

What sellers and real estate agent should consider

Sellers and real estate agent should check early on whether an acquisition is even permitted with foreign buyers. This applies in particular to interested parties who are not domiciled in Switzerland, foreign companies or complex investment structures.

A high purchase price is of little use if the buyer is not allowed to purchase under land registry law. Especially in the canton of Zug, there can be many international buyers who find the market attractive but do not have the legal right to buy.

A clean process saves time. Sellers should have their residence status, place of residence, purpose and financial capacity clarified in good time. If there is uncertainty, it makes sense to identify the non-approval requirement.

Conclusion: Without a place of residence, it is generally not possible to buy residential property in Zug

The answer to the question Can foreigners without a place of residence buy an apartment or house in Zug? is: Usually no. Anyone considered a person abroad within the meaning of Lex Koller cannot, in principle, purchase residential property in the Canton of Zug as a holiday home, second home or capital investment. The Canton of Zug expressly does not have quotas for holiday and secondary homes.

It may be different if a foreign person resides legally and actually in Switzerland. EU/EFTA citizens residing in Switzerland are not subject to the BewG. Third-country nationals with legal residence may purchase a residential unit for their own residential purposes.

For buyers, sellers and real estate agent, it is therefore crucial: Domicile, residence status, nationality, purpose of income and type of property must be checked at an early stage. Demand in Zug is international, but residential property law remains strict.

Glossary on buying real estate by foreigners in Zug

• Lex Koller: Federal law restricting the purchase of Swiss land by persons abroad.
• person abroad: Purchaser who, according to BewG, is considered to be foreign and not sufficiently resident or entitled in Switzerland.
• Non-approval requirement: Determination that a specific acquisition is not subject to the Lex-Koller permit requirement.
• main apartment: Apartment or house that is actually used by the buyer as a center of life and their own place of residence.

Vacation and second home: Apartment that does not serve as a main residence but is only used occasionally or in addition.