Most residents in Switzerland still can’t afford to own a home, study reveals

Most residents in Switzerland still can’t afford to own a home, study reveals
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The majority of Swiss residents are not able to buy a house, a new study shows.

Conducted by the Swiss Home Owners Association (HEV), the findings of the annual survey are based on a poll of more than 200 real estate experts.

They forecast rising house prices, due partly to the limited availability of single-family dwellings.

The survey shows that while 13,000 new homes were planned in 2000, only 7000 had been built by 2016.

House prices in Switzerland increased by six percent last year.

The forecast is also dire for apartment ownership.

The HEV survey confirms the findings of another study, carried out earlier this month by the Raiffeisen Bank, showing that apartment prices rose by two percent in 2018

However, there is good news in the rental property market.

Because a large number of rental apartments are empty — in the last few years, their number has doubled, the study says — prospective tenants have a good selection to choose from and at reasonable prices.

Currently, 42.5 percent of Swiss residents own a home. 

One possible explanation for low ownership rate may be that Swiss laws are more favourable for tenants, as they pay significantly less income tax than homeowners.
 


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