Buying Property in Zug as a Foreign National: What Lex Koller Allows

For a foreign national who wants to buy a home in the canton of Zug, the position under Lex Koller depends on three things: nationality, residence status and how the property will be used.

For EU and EFTA nationals who are legally and actually resident in Switzerland, the position is relatively straightforward. Third-country nationals face more restrictions, but may generally acquire a home for their own residential use if they are legally and actually resident in Switzerland. For people living abroad, the position is much narrower.

Zug also differs from cantons such as Valais or Graubünden. It has no quota for holiday or second homes under Lex Koller, so the ordinary route that allows some non-residents to purchase residential property in designated tourist areas does not exist here.

A federal proposal published in 2026 could tighten the regime further. If you are considering a purchase, it is worth understanding both the rules that apply today and the changes that may follow.

What Lex Koller is

The Federal Act on the Acquisition of Real Estate by Persons Abroad — commonly known as Lex Koller — restricts certain acquisitions of Swiss real estate by persons considered to be resident abroad for the purposes of the Act.

Its purpose is to limit foreign acquisition of Swiss residential property and land.

It is federal law, but the assessment is carried out by the competent cantonal authority. Whether an acquisition requires authorisation depends on the status of the buyer, the type of property and its intended use.

Residential property is the main focus of the regime. Genuinely commercial property has historically been treated more permissively and, under the current rules, can generally be acquired without Lex Koller authorisation even where it is rented to third parties.

Where you stand, by status

Swiss citizens are not subject to Lex Koller. EU and EFTA nationals who are legally and actually resident in Switzerland are likewise not subject to Lex Koller and may acquire residential property on the same basis as Swiss residents generally. Third-country nationals holding a C settlement permit are also no longer treated as persons abroad for these purposes and may acquire residential property without Lex Koller authorisation. Other third-country nationals who are legally and actually resident in Switzerland may generally acquire a home for their own residential use without authorisation. The property must genuinely serve as their principal residence; this exemption does not extend to acquiring an additional residential property purely as an investment. Persons domiciled abroad and foreign-controlled companies remain subject to Lex Koller where the acquisition falls within the Act. Holiday and second homes are possible only where the relevant cantonal and municipal authorisation and quota regime exists.

For Zug, this distinction is decisive. The canton has no quota for holiday or second homes. A person abroad therefore cannot use the ordinary holiday-home authorisation route to acquire residential property in Zug.

The 2026 proposal

In April 2026, the Federal Council opened consultation on a substantial revision of Lex Koller. The consultation closed on 15 July 2026. The proposals are not law, and the Federal Council will now determine whether and in what form to take them forward.

As proposed, the changes would:

• require third-country nationals to obtain authorisation even when purchasing a principal residence
• require affected owners to sell within two years of leaving Switzerland
• tighten the treatment of commercial property, preserving permit-free acquisition primarily where the premises are used for the acquirer's own business operations
• reduce cantonal holiday-home quotas and change how certain transfers between foreign owners are counted
• further restrict acquisitions of interests in residential real estate companies and real estate investment vehicles by persons abroad

The proposal points toward a more restrictive regime, particularly for third-country nationals, but its final form remains uncertain.

For someone considering a purchase in Zug, the most material proposed change is the treatment of principal residences. Today, a third-country national who is legally and actually resident in Switzerland may generally acquire their own home without Lex Koller authorisation. Under the proposal, that acquisition could itself become subject to approval, together with an obligation to dispose of the property after leaving Switzerland.

What this means in practice

Three points matter particularly for buyers.

Sequence matters. Nationality, residence status and intended use determine what you may buy. For third-country nationals especially, it makes sense to clarify the residence position before committing to a purchase. "Primary residence" is a factual test, not a label. The property must genuinely be the home you live in. Buying a residential property while continuing to live elsewhere, or structuring an acquisition to look like personal occupation while it functions as an investment, can fall outside the exemption. The legal assessment belongs with a specialist. Lex Koller can be technically complex, and the consequences of an unauthorised acquisition can be serious. A Swiss lawyer, notary or the competent cantonal authority should confirm the legal position before a binding commitment is made.

Our role is different: to help identify the right property, assess the market, coordinate the search and manage the process around the transaction. Where a Lex Koller question arises, we involve the appropriate legal specialist.

If you are planning a move to Zug and want to understand what is realistic in your circumstances, we are glad to talk it through.