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Real estate – reference rate for rents remains at 1.50 percent News

Friday, September 1st, 2017 | Economy

The average rate, which was calculated as of June 30, 2017, fell by 1.58% from 1.61%, according to the Federal Office of Housing (BWO) on Friday. As a result, the reference rate, which is the most important for rent, amounts to 1.50% in commercial terms. It remains at this level until the average interest rate exceeds 1.38% below or 1.62%.
Since the reference rate has not changed compared with the previous quarter, there has been no new reduction or increase in rental income for residential tenancies since the last announcement. If, however, the rent of a single tenancy is still not based on the reference of 1.50%, then a reduction claim is given, declares the BWO.
The mortgage reference rate as well as the underlying interest rate are published quarterly by the BWO. The next date is 1 December 2017.
(AWP)

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