House prices fall, condominiums and rents more expensive

05.06.2024

There was a noticeable fall in prices for single-family homes for sale in May. In contrast, advertised condominiums and rental properties are being offered at slightly higher prices.

Prices for single-family homes published in adverts fell noticeably in May following the sharp rise in the previous month. The Swiss Real Estate Offer Index, compiled by ImmoScout24 in collaboration with the property consultancy IAZI, shows that asking prices for houses fell by 1,4%. Prices are, therefore, at the same level as a year ago.

“The high price level restricts the potential group of buyers of single-family homes due to the high financial requirements,” says Martin Waeber, Managing Director Real Estate at SMG Swiss Marketplace Group. “For example, a single-family home with a purchase price of CHF 1,000,000 requires a minimum equity capital of CHF 200,000 and a household income of around CHF 160,000 to ensure affordability,” Waeber calculates. In addition, the supply of available properties for this sought-after type of home ownership is limited and is becoming increasingly scarce. This is because, in addition to the slowdown in new construction activity, fewer existing properties have been offered for sale for some time.

The current market situation for condominiums is different: The sellers of condominiums adjusted their asking prices slightly upwards by 0,3% in May. Over the last twelve months, this resulted in a moderate increase of 0,8%. Despite the increase, the market for condominiums also appears to have left the very high growth rates of previous years behind.

Regional differences in the development of rental offers
Rental flats were advertised at 0,4% higher prices on a national average in May. Flat seekers in the Lake Geneva region (+0,9%), the Greater Zurich region (+0,8 %), Northwestern Switzerland (+0,7%) and Central Switzerland (+0,3%) were confronted with higher asking rents, while rents were slightly lower in the Central Plateau (-0,4%), Eastern Switzerland (-0,8%) and Ticino (-0,9%).


As a result, asking rents have fallen slightly since the beginning of the year (-0,4 %). Nevertheless, the pressure on rents is likely to remain dynamic over the remainder of the year due to excess demand, particularly in city centres. People in existing tenancies are likely to be spared further rent increases for the time being. Inflation has flattened out considerably, general costs have stabilised, and the mortgage reference interest rate will remain unchanged at 1,75% as at 1 June 2024.

As at 31 Mai 2024

The Swiss Real Estate Offer Index is published on the ImmoScout24 and IAZI AG websites.
www.immoscout24.ch/immobilienindex
www.iazi.ch/angebotsindizes

Detailed information and statistics about the overall Swiss trend and those in the various regions are available in the Download section.

Rental offers throughout Switzerland (CHF/m2 per year)

 01.05.202431.05.2024Changein %
Month279.0280.0+1.0+0.4%
 31.05.202331.05.2024Changein %
Year272.3280.0+7.7+2.8%

Offers to buy detached houses throughout Switzerland (CHF/m2)

 01.05.202431.05.2024Changein %
Month7518.07416.4-101.7-1.4%
 31.05.202331.05.2024Changein %
Year7415.87416.4+0.5+0.0%

Condominiums for sale throughout Switzerland (CHF/m2)

 01.05.202431.05.2024Changein %
Month8679.98702.2+22.2+0.3%
 28.02.202329.02.2024Changein %
Year8629.88702.2+72.4+0.8%

The values may contain rounding differences.

Sebastian Sinemus
Senior Communications Manager Real Estate & Media Spokesperson

[email protected]
+41 79 819 21 50

Marta Andreoni

Head of Design for Automotive

Introduce yourself and your role at SMG

I’m Marta Andreoni, Head of Design at SMG Automotive. I lead the design and UX writing team shaping AutoScout24 user experience. 

In my role, I wear many hats. My main focus is ensuring we stay true to our vision “simplifying people’s lives and connecting humans through innovative digital platforms” and our brand promise, “make it happen”. I challenge my team to think user-first, push for innovation, ease of use for our customers and make forward-thinking decisions, even within business and technological constraints.

 A big part of my role is supporting each designer’s growth, motivation, and career development. Through one-on-one coaching, mentoring, group work, and projects, I help my colleagues set and achieve their goals while fostering new learning opportunities.

What helps you feel empowered and confident in your role?

If I had to mention one thing I would say “being proactive” has been key to feeling more empowered. I enjoy solving problems, so when issues or opportunities arise, be it in the product, market or the team, I get curious and I proactively investigate the reasons and try to bring inputs to be discussed with others, this makes me feel I can be part of the process or solution and my point of view is going to be taken seriously. My optimism also plays a role, giving me confidence that even the most complex challenges can be solved. 

Besides, having trust from other managers and colleagues makes me feel in a safe environment where I can take ownership on topics I’m passionate about. 

What’s one thing SMG does well in fostering an inclusive workplace? What more can be done to amplify and support different perspectives in the workplace?

In my experience, we strive for balancing top-down and bottom-up inputs, ensuring employees can influence product directions, processes, and culture. People are approachable, and our strong feedback culture helps voices be heard. Across SMG, initiatives like regular People & Culture Surveys, topic guilds, and events in our locations across the world foster open exchange and mutual learning.

That said, I’ve noticed that quieter voices sometimes get less space, or interacting with top management can feel intimidating, especially when giving critical feedback. To make participation more inclusive, we could apply more facilitation and group work techniques like structured turn-taking, written input, and smaller group discussions – ensuring everyone, regardless of confidence level, seniority or personality, feels comfortable contributing. 

Design is often about seeing the world differently. How do unique perspectives contribute to more innovative, inclusive, or impactful design?

Design is about understanding diverse user personas and perspectives to create solutions that truly meet their needs or create new opportunities. I believe in the power of collaboration to shape user experiences – bringing together different disciplines, backgrounds, and lived experiences helps challenge assumptions, uncover blind spots, and drive more inclusive, innovative, and impactful solutions.

Looking back on your career, what’s one lesson or piece of advice you wish you had known earlier as a leader in design?

There are three things no one really prepares you for as a design leader: dealing with constant change, facing failure and handling emotions at work. These topics aren’t talked about much until you face them. I was lucky to learn from others’ experiences, but much of it came through my own.

One thing I wish I had understood earlier is the power of emotional intelligence, my job is no longer about the content and the design, it is about people. Self-awareness, not just of your own emotions, but also how others feel and react, can be the difference between conflict and harmony, frustration and clarity. The more I grow as a leader and designer, the more I realise that design isn’t just about doing the design job, delivering solutions on the market: it’s about navigating people, their emotions, and making change more acceptable and transforming issues into opportunities, both within the organisation and through great products.

 

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