Received a Rent Increase – What to Do? How Swiss Tenants Can Respond Correctly

You open your mailbox and find a letter from your property management: rent increase. Your pulse rises, questions crowd in. Is this legal? Do I have to accept it? What can I do? That's exactly what happened to us – the founders of mietcheck-app.ch.

Our Story: How It All Began

In 2023, we received a letter from our property management announcing a rent increase because the lease was tied to the mortgage reference interest rate. The management had done everything correctly – the reference rate had risen and the increase was legally permissible.

Then something decisive happened: when the reference rate was lowered in September 2024, nothing happened. No property management contacted us to reduce the rent. We had to take care of it ourselves.

That's when we realised: if it's already this difficult for us, what must it be like for the over 2 million tenant households in Switzerland?

Rent Increase: When Is It Permissible?

In Switzerland, landlords may only increase rent under certain conditions:

Rise in the reference rate: If the mortgage reference rate rises, the landlord may increase rent by 2.91% per 0.25 percentage point (Art. 13 VMWG).
Inflation adjustment: 40% of the change in the consumer price index (CPI) may be passed on to the rent.
General cost increase: A flat surcharge of approx. 0.5% per year for increased maintenance costs.
Value-adding investments: When the landlord has invested in the property (e.g. kitchen renovation).

The Flip Side: Your Right to a Rent Reduction

What many tenants don't know: the same principle works in reverse. When the reference rate drops, you have the right to a corresponding rent reduction. Currently, the rate is at 1.25% (since September 2025) – its all-time low.

The catch: the landlord is not obliged to reduce the rent on their own. You as a tenant must take action and submit a formal rent reduction request.

How to Respond: 3 Steps

Step 1: Check Your Entitlement

Check your rental contract: what reference rate applied when the contract was signed or last adjusted? If it's above the current rate of 1.25%, you generally have a right to a reduction.

Tip: With mietcheck-app.ch, simply upload your rental contract – our AI automatically identifies the relevant reference rate, calculates your savings and creates a legally sound reduction request. In under 3 minutes.

Step 2: Submit the Reduction Request

The reduction request is a formal letter to your landlord, invoking the lower reference rate to demand a reduction in your net rent. It must meet certain formal requirements (OR 269d) and should be sent by registered mail.

Step 3: Wait for the Response

The landlord has 30 days to respond. In most cases, the reduction is accepted – the law is on your side. If there's no response or the landlord refuses, you can contact the competent conciliation authority. The procedure is free.

Conclusion: Don't Accept It – Take Action

A rent increase doesn't have to be the final word. Check your rights, use the lower reference rate to your advantage and get your money back. With mietcheck-app.ch, it takes just a few minutes – no legal jargon, no stress, and with a money-back guarantee.