Yield curve and yield structure
For mortgages

Die Zinskurve gehört zu den wichtigsten Instrumenten bei der Analyse von Sie zeigt auf einen Blick, wie stark sich die Zinsen verschiedener unterscheiden und wie sich die aktuelle Marktsituation entwickelt hat. Wer die Zinskurve versteht, kann Hypotheken besser vergleichen, die passende Laufzeit wählen und fundiertere Entscheidungen treffen.

Explanation
What is a mortgage yield curve?

The yield curve (also known as the interest rate curve) is a graphical representation of mortgage interest rates for various terms. It shows how high the interest rates are, for example, for a a two-year fixed-rate mortgage, a or a . The yield curve illustrates how much the interest rate rises or falls as the Term lengthens. It is therefore an important tool for choosing a mortgage strategy and the appropriate Term.

Understanding Yield Curves

Interest rates on short-term Mortgages are generally lower than those on long-term Mortgages. However, the size of this difference changes constantly.

A is when long-term mortgages are significantly more expensive than short-term ones. A is when the differences between short- and long-term terms are small. In rare cases, long-term mortgages are even cheaper than short-term ones. This is referred to as an

Analyzing the yield curve helps provide a better understanding of the current market situation and assess the pros and cons of various Mortgage loan models.

Daily interest rate curve
Updated hourly

Target audience
The yield curve is important for mortgage borrowers

Many homeowners focus exclusively on the current interest rate. However, the shape of the yield curve is often just as important.

Among other things, the yield curve shows:

  • How expensive long-term interest rate security is right now
  • Whether short or long terms seem more attractive
  • How much prices differ across various Terms
  • What the market expects regarding future interest rate trends

Those who understand the yield curve are better able to assess whether a short- or long-term fixed-rate mortgage currently seems attractive or whether a SARON mortgage might be a good option.

FAQ

Frequently Asked Questions
Answers about the yield curve

The yield curve shows how much extra interest rate security costs. It helps assess whether short or long terms are currently more attractive. Those who understand the yield curve can more effectively and make more informed decisions.

No. The yield curve is not a forecast; rather, it reflects market participants’ current expectations. It provides insight into market sentiment but does not guarantee future trends in mortgage rates.

The yield curve is influenced by factors such as inflation, the SNB’s key interest rate, economic trends, capital markets, and the supply and demand for Mortgages. International interest rate trends also affect Swiss mortgage rates.

No. Banks, and calculate differently. That is why the providers’ yield curves sometimes differ significantly. The cheapest provider for a SARON Mortgage is often not the same as for a ten-year fixed-rate mortgage.

The yield curve shows which providers offer particularly attractive mortgage rates for specific terms. It allows for a quick comparison between banks, insurance companies, and pension funds, helping you find the best mortgage for your specific situation. As a result, mortgage borrowers in Switzerland can often save several thousand francs.

Beautiful Curves
The Different Shapes of the Yield Curve

Standard form
Rising yield curve

Sample data from December 15, 2013

Interpretation
Rising yield curve

In a normal yield curve, interest rates rise as the Term increases.

This is the most common form of the yield curve. Mortgage lenders charge an additional premium for longer terms to compensate for interest rate risk and the long-term commitment of capital.

A steepening yield curve may indicate that the market expects interest rates to rise in the long term.

Stable market conditions
Flat yield curve

Sample data from July 1, 2020

Interpretation
Flat yield curve

When the yield curve is flat, interest rates for different terms differ only slightly or not at all.

In such market phases, long-term fixed-rate mortgages are often particularly attractive because the added interest rate security comes at a relatively low cost. A flat yield curve is frequently observed when the market anticipates falling interest rates in the future.

Rare form
Inverted yield curve

Sample data from July 10, 2023

Interpretation
Inverted yield curve

In an inverted yield curve, long-term mortgages are cheaper than short-term ones.

An inverted yield curve is rare and is often seen as an indication that market participants expect interest rates to fall significantly in the future.

In Switzerland, for example, inverted yield curves were observed in the early 1990s and at times in the more recent past.

Variation
Types of providers

Sample data from July 10, 2025

Yield curves vary from provider to provider

One important point is often overlooked: Every mortgage lender has its own yield curve. Banks, insurance companies, Pension funds, and investment foundations use different calculation methods. That’s why the cheapest provider for a SARON mortgage might suddenly turn out to be significantly more expensive for a ten-year fixed-rate mortgage.

Anyone looking for the should therefore not only compare the terms but also always consider multiple providers.

No forecasts
The yield curve reflects expectations

The yield curve is often used to draw conclusions about future trends in mortgage rates. However, it is important to note that the yield curve is not a forecast.

It merely shows what expectations market participants currently have.

The yield curve is influenced in particular by:

  • Economic growth
  • Capital markets
  • Risk and liquidity premiums
  • Supply and Demand for Mortgages

That is why banks, institutional investors, and professional investors are closely monitoring the development of the yield curve.

Each one is different
Calculate your personalized yield curve

Your personal mortgage interest rate—and thus your individual yield curve—depends on numerous factors. These include, among others:

  • Property Type
  • Region
  • Asset
  • Term

On HYPOTHEKE.ch, after entering your personal information, you can view your personalized Mortgage Yield Curve. This allows you to see exactly how much each term costs in your specific situation.