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Thinking about buying a 3-bedroom apartment in Zurich? It’s a great area, but you're probably wondering: is now the right time to buy, or should you wait for prices to drop?
And what about long-term investment—should you look into other cantons like Geneva or Zug where property values might appreciate more over time?
In this article, we’ll answer these questions. We know this market quite well - and we have put all our knowledge in the Switzerland Property Pack.
Will property prices increase in Switzerland in 2025?
Yes, property prices in Switzerland are expected to rise in 2025, driven by a combination of high demand and a limited supply of housing.
Backed by our fresh, in-depth market analysis, we’re confident that Switzerland remains one of the most attractive markets for both domestic and international investors.
Sure, there are some economic challenges like inflation and rising interest rates, but the main drivers behind Switzerland’s price growth remain strong.
Demand, especially in prime areas, continues to outstrip supply, making any major price dips unlikely. Additionally, Switzerland's stable economy and high quality of life keep attracting buyers from around the world.
Signals pointing to a property price increase in Switzerland
Here are some factors suggesting prices could increase:
The limited availability of land for new construction in Switzerland, particularly in urban areas, continues to constrain supply. This scarcity is expected to drive up property prices as demand remains robust.
Switzerland's strong economic performance and low unemployment rates contribute to a stable housing market, with more people able to afford home purchases, thereby increasing demand.
The Swiss government’s ongoing investment in infrastructure projects, such as improved public transportation networks, is likely to enhance property values in connected regions.
Switzerland's reputation as a safe haven for investors, especially during times of global economic uncertainty, continues to attract foreign buyers, adding upward pressure on property prices.
The trend of urbanization, with more people moving to cities for work and lifestyle reasons, is expected to continue, increasing demand for urban housing and driving up prices.
The Swiss franc's strength makes Swiss real estate an attractive investment for international buyers, further boosting demand and prices.
The increasing popularity of remote work is leading to a demand for larger living spaces, which could drive up prices in suburban and rural areas as people seek more space outside city centers.
Signals pointing to a property price decrease in Switzerland
Here are some factors suggesting prices could fall:
Rising interest rates could make mortgages more expensive, potentially reducing the number of buyers able to afford property, which might dampen demand.
Economic uncertainties, such as potential global recessions, could impact consumer confidence and reduce the willingness of people to invest in property.
Stricter regulations on foreign property ownership could limit the number of international buyers, potentially reducing demand and slowing price growth.
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If property prices go up in Switzerland, how much would they increase by?
If real estate prices in Switzerland were to rise in 2025, the increase would likely be between 2% to 6% of their 2024 values.
Typically, real estate in stable, mature markets like Switzerland appreciates by approximately 2% to 6% annually over the long term. However, fluctuations can occur depending on factors such as region, season, and property type.
It means that, if you spot a charming 2-bedroom apartment in Zurich for 1,200,000 CHF today, don't be surprised if it's priced between 1,224,000 and 1,272,000 CHF this time next year.
To give you a better understanding, here is a table that shows 7 types of Swiss real estate properties, their estimated prices in 2024, and projections for 2025 based on potential price increases of 2%, 4%, and 6%.
| Type of Property | Average Price in 2024 (CHF) | Price in 2025 (2% increase) | Price in 2025 (4% increase) | Price in 2025 (6% increase) |
|---|---|---|---|---|
| Apartment in Zurich (60 sqm / 646 sqft) | CHF 1,000,000 | CHF 1,020,000 | CHF 1,040,000 | CHF 1,060,000 |
| Modern Apartment in Geneva (75 sqm / 807 sqft) | CHF 1,500,000 | CHF 1,530,000 | CHF 1,560,000 | CHF 1,590,000 |
| Luxury Chalet in Zermatt (100 sqm / 1,076 sqft) | CHF 3,000,000 | CHF 3,060,000 | CHF 3,120,000 | CHF 3,180,000 |
| Studio in Lausanne (30 sqm / 323 sqft) | CHF 500,000 | CHF 510,000 | CHF 520,000 | CHF 530,000 |
| Loft in Basel (80 sqm / 861 sqft) | CHF 1,800,000 | CHF 1,836,000 | CHF 1,872,000 | CHF 1,908,000 |
| Townhouse in Bern (150 sqm / 1,615 sqft) | CHF 4,000,000 | CHF 4,080,000 | CHF 4,160,000 | CHF 4,240,000 |
| Investment Property in Lucerne (50 sqm / 538 sqft) | CHF 800,000 | CHF 816,000 | CHF 832,000 | CHF 848,000 |
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If real estate prices go up in Switzerland, which areas are likely to see the biggest increases?
Today, people who want to move to Switzerland seek picturesque landscapes, but they also desire modern amenities and vibrant cultural scenes, which Zurich delivers. Hence, we could see a price increase there in 2025.
Also, lately, there's been a shift toward more youthful, vibrant neighborhoods, and Geneva has really taken off.
We like it when information is clear and easy to digest. So, here’s a table that highlights the areas where prices might rise the most, along with the reasons behind those expected increases. It’s very high-level. If you want more details on a specific area, please check our real estate pack tailored to the Swiss market.
| City/Region | Level of Increase | Why |
|---|---|---|
| Zurich | High | Recent development of luxury housing projects and its increasing appeal to international buyers as travel normalizes post-pandemic, driving demand. |
| Geneva | High | Expected rise due to limited housing stock, upcoming renovations to heritage buildings, and growing demand for prime properties in central Geneva. |
| Lausanne | Medium-High | Ongoing gentrification and new transport links, along with several planned redevelopment projects in the area, are likely to push prices higher. |
| Basel | Medium | The shift towards hybrid workspaces is driving demand for residential properties near business districts, combined with new mixed-use developments. |
| Lugano | Medium-High | Eco-friendly urban projects and recent construction of new schools and parks are increasing its attractiveness for families, pushing prices upward. |
| Lucerne | Medium | Investment in local infrastructure, such as the extension of tram lines and renovation of historic areas, is boosting long-term value. |
| Bern | Medium-High | With new cultural and commercial spaces being developed, this trendy city is seeing increased demand from both residents and investors. |
| Zug | High | Upcoming large-scale urban regeneration projects and improved public transport access are expected to make this area more desirable. |
| Winterthur | Medium-High | Its proximity to Zurich, along with new office and residential developments, makes it increasingly attractive to professionals seeking more space. |
| St. Gallen | Medium | Gentrification and cultural regeneration projects are attracting new residents, leading to rising prices as the area becomes more fashionable. |
| Montreux | High | As new luxury developments are launched, demand for premium housing among wealthy buyers is expected to further increase property values. |
| Interlaken | High | Upcoming restoration of historic sites and high-profile cultural projects are driving a renewed focus on this central, scenic location. |
If I'm looking to invest in real estate, what types of properties should I focus on for the best value appreciation in Switzerland?
In 2025, Swiss real estate trends focus on tech-smart, energy-efficient apartments, larger suburban homes for families, properties with outdoor spaces, and eco-friendly buildings—all driving higher demand and prices. Here is a summary.
- Tech-Equipped and Energy-Efficient Apartments:
Driven by remote work and sustainability trends, these homes offer smart technology features and energy-saving systems. They cater to young professionals and tech workers, making them a hot commodity in 2025, especially in cities like Zurich and Geneva.
- Family-Sized Apartments in Suburban Areas:
With a growing demand for larger living spaces, especially among families, suburban areas near major Swiss cities are seeing increased interest. Proximity to the Alps, lakes, and quality schools is a major factor driving value.
- Properties with Outdoor Spaces:
Post-pandemic, outdoor spaces like terraces, balconies, or gardens have become highly desirable. In dense cities like Zurich, these features offer a much-needed escape and are likely to drive up property values.
- Eco-Friendly Buildings with Low Carbon Footprints:
Switzerland's commitment to sustainability is boosting demand for eco-certified buildings. Buyers are increasingly valuing properties that align with the country's green goals, leading to price appreciation in this category.
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