Home prices continue to rise
The prices for single-family houses and condominiums continued to rise across Switzerland in April in a month-on-month comparison. Asking rents, on the other hand, remained almost unchanged. This is shown by the current Swiss Real Estate Offer Index of the SMG Swiss Marketplace Group.
The prices for residential property continued to rise in April, according to the Freiburg real estate marketplace ImmoScout24 , which belongs to the Zurich SMG Swiss Marketplace Group . According to the latest Swiss Real Estate Offer Index compiled by the group in cooperation with the real estate consultancy IAZI , prices for single-family homes rose by 0.6 percent in April compared to March. An increase of 8.3 percent was measured over the last twelve months.
Condominium prices rose even more sharply in April, up 1.4 percent month-on-month. Compared to April 2021, the analysts of the index have observed a price increase of 8.1 percent. In April, however, rents throughout Switzerland remained almost unchanged in both a monthly and year-on-year comparison. A slight decline in asking rents in the greater Zurich region offset increases in eastern Switzerland, north-western Switzerland and Ticino.
For the future, the analysts are assuming a weakening of the price dynamics for residential property. “De facto, mortgage interest rates have been rising for several months, making real estate financing more expensive,” explains Martin Waeber, Managing Director Real Estate, SMG Swiss Marketplace Group, in the press release. “The more these costs rise, the more likely it is that prices will calm down.” The SMG Swiss Marketplace Group combines the digital marketplaces of TX Group , Ringier and Mobiliar .