Summary: You invest a large chunk of capital in the Genossenschaft - in return you can rent one of their properties - they then use the capital to build more properties.
10 years ago figures banded about were 30k+
Some Genossenschaften are organised solely on the basis explained above, and simply as a cost-saving measure. Since the capital for developments is effectively borrowed from the tenants (interest free) and not from Banks (with interest), it is "cheaper" for the Genossenschaft. A tenant moving out of the Genossenschaft gets his/her capital contribution back, typically without interest.
Many (though not all) Genossenschaften place great emphasis on community. They carefully select people who will most likely fit in, i.e. who value exchange with the neighbours, who are ready to contribute to the shared parts of life in the complex, e.g. by keeping the playground in good shape, participating in the annual party of the complex, helping out neighbours who aren't well, etc.
I can only recommend this solution. I'm sure my neighbours would say the same.
To get in, you'll have to buy yourself in (the money will be returned when you move out) and you'll still end up with some rental charges, though as it's a cooperative, it's a not for profit. They're generally very good value for money.
Many of the cooperatives will have limitations of some kind on who can come in - which can be pretty much anything - singles, doubles, with children, no children, pets. My wife used to live in one which was women only.
Hahaha, not .... :-(
No, it is a good way to have a rather cheap accomodation compared to other rentals. I have lived in one in Neuhausen and enjoyed it.
- A larger sum of money than a the usual rental deposit was required, but we get paid (a decent rate of) interest on that each year and get it back in full (less any damages, as is usually the case) should we decide to move out. The actual amount varies between Genossenschafts - I've seen it range from as low as CHF 15K to around 60-80K for a family size apartment.
- Not for profit - this means rents remain stable, do not go up just for the sake of it and are generally very good value to start with. They drop when the reference rate goes down (and will presumably rise again when they go up), and sometimes for other reasons (e.g. we moved into a new build and they dropped our rent a few months in when the final balance sheet of the building costs had been totalled up, and it hadn't cost as much as expected). Since moving in 5 years ago our rent has actually dropped approx. 20%. It is simply amazing value for the quality and size of apartment within Zürich city. it is certainly not high end or luxurious (i.e. no en-suite or private washing machine provided) but otherwise very good quality.
- Sometimes, but not always, there is a proportion of subsidised apartments set aside only for verifiable low income households.
- There is a team of hauswarts and gardeners who are always around, contactable and are generally friendly and know the residents. So far we have never had to pay a penny for any of the small repairs that have been necessary and they have been fixed usually within 24hrs.
- There are limitations on the apartment size depending on the number of inhabitants, e.g. the larger 4.5/5.5 room apartments are only allocated to families with dependent children still living at home.
- Great emphasis is placed on forging an active community, we have communal outdoor play and recreation areas and a pavilion available to rent for residents for private functions, as well as various committees, organised events, aperos, summer bbqs, activities, excursions, etc.. It is great for the kids, since there is a lot of green space and play areas between buildings and they have more playmates than they know what to do with. We feel safe and enjoy the fact that we know our neighbours both in our building and in neighbouring buildings, and know that the parents know and look out for eachother's kids. We are invited to an AGM every year (we are effectively share holders) where we are informed about how the Genossenschaft is being managed financially, current/future building plans, any issues to be raised, etc. etc..
- Any potential tenants are usually screened in an effort to maintain balance and stability for the area, whatever that may be. In our case we had to be either EU or Swiss citizens or have a C permit. But no formal interview or anything. Being in a fairly 'multi-culti' area, our Genossenschaft reflects that and is also fairly multicultural. There is a good mix of Swiss and many other nationalities. I have heard stories of other Genossenschafts, for example, if a swiss family with 2 kids moves out, then only a swiss family with two kids of similar age will be sought to replace them. No idea how strict they really tend to be though. Given the mix of smaller and larger apartments, there is also a good mix of singles, families and older residents.
We think it is fab and consider ourselves very lucky as we happened to spot our current place on homegate and somehow sailed right in. But it is common from what I hear that Genossenschaft apartments are very much in demand and often carry waiting lists so aren't advertised publicly. If you can get one and you like it, go for it!
Its ethical living far removed from private owners and their greed for money.