Home ownership more expensive – Switzerland votes on imputed rental value

Prices for condominiums rose again in August. This adds further weight to the debate on home ownership – and it is against this backdrop that voters will decide on 28 September 2025 whether to abolish the imputed rental value. This vote will have far-reaching implications for markets, owners and tenants alike.

“CHF 9,163 – that’s how much sellers are asking per square metre of living space for condominiums at the end of August 2025,” says Martin Waeber, Managing Director Real Estate at SMG Swiss Marketplace Group. This corresponds to a price increase of 0,5% over the course of the month, as shown by the new ImmoScout24 Purchase Index. This index is compiled by ImmoScout24 in collaboration with the real estate consulting firm IAZI. This results in growth of 4,7% within a year. A typical condominium with an area of 110 m2 is therefore already being advertised on the property market for just over CHF 1 million. 

Price tags for single-family homes saw only a slight increase of 0,1% last month. Over the past twelve months, there has been an increase of 4,1%. The model single-family home with an area of 140 m2 is currently listed for around CHF 1.1 million. 

Regional single-family home market: Significant decline in Zurich
The sharp price decline of 2,4% in the Greater Zurich area is striking. Despite this relatively sharp decline, growth over the year as a whole is still high at 5,0%. A slight decline can also be seen in Central Switzerland (minus 0,2%). Almost all other regions recorded increases, led by the Swiss Plateau (up 1,4%), Eastern Switzerland (up 0,7%), Northwestern Switzerland (up 0,5%), and the Lake Geneva region (up 0,3%). In Ticino, on the other hand, there was no change (0,0%).

Condominiums: Offers in Eastern Switzerland show the strongest growth
Asking prices for condominiums are rising in many regions. This is most evident in Eastern Switzerland (up 1,1%), followed by the Lake Geneva region (up 1,0%), Northwestern Switzerland (up 0,7%), Ticino (up 0,6%) and the Greater Zurich area (up 0,4%). Offers in the Swiss Plateau (minus 0,3%) and Central Switzerland (minus 0,3%) have fallen slightly.

What will happen to the imputed rental value?
Prices and access to home ownership are currently on everyone’s mind due to a Swiss peculiarity, as on 28 September 2025, voters will decide on the abolition of the imputed rental value. The taxation of the notional rental value of owner-occupied properties as income is becoming increasingly controversial. Critics see it as a double burden on homeowners and an obstacle to home ownership. Proponents of the imputed rental value, on the other hand, emphasise the equal tax treatment of tenants and owners, as well as the risk of tax losses for the federal government and cantons. If the proposal is accepted, debt interest deductions and maintenance costs will also be abolished in return – a point that directly affects many owners with high mortgages. “The vote, therefore, promises to send a signal not only in financial terms but also in terms of housing policy for the coming years. The move would bring Switzerland into line with international tax policy. For many existing owners, it would mean relief. At the same time, however, the requirements for buyers would increase, for example, through an additional tax burden as a result of the elimination of the debt interest deduction,” Waeber concludes.

Date 31 August 2025

Purchase offers for single-family homes throughout Switzerland (CHF/m²)

	01.08.2025	31.08.2025	Change	in %
Month	7773.2	7783.6	+10.4	+0.1%
	31.08.2024	31.08.2025	Change	in %
Year	7474.9	7783.6	+308.7	+4.1%

Purchase offers for condominiums throughout Switzerland (CHF/m²)

	01.08.2025	31.08.2025	Change	in %
Month	9119.8	9162.6	+42.8	+0.5%
	31.08.2024	31.08.2025	Change	in %
Year	8785.3	9162.6	+410.8	+4.7%

Values may show rounding differences.