UBS study: Construction on the Decline, Switzerland Faces a Housing Deficit
According to the latest UBS real estate study, Switzerland is facing a significant slowdown in construction, resulting in a housing deficit of around 10,000 units per year.
The year 2023 was characterized by a decline in the number of building permits approved, with only around 35,000 new housing units, including dwellings and villas, planned throughout Switzerland by 2025, the lowest figure in the last twenty years.
By 2024, the number of residential units is expected to rise by just 0.8% for owner-occupied apartments and 0.5% for single-family homes, well below the respective ten-year averages of 1.2% and 0.7%.
There are many reasons for this slowdown, including increasingly stringent regulations, growing opposition to densification, rising construction costs and a structural shortage of building land.
Despite this, Switzerland’s attractiveness and economic vitality maintain a strong demand for home ownership, which in turn supports market prices.
At the end of 2023, the rate of residential properties available for sale was below 3.5% of the total housing stock, reaching a historically low level, a trend that could persist, or even worsen, over the next few years.
So, now is the perfect time to consider a property acquisition.
The Capvest Group is currently marketing two projects located on the left bank of the Canton of Geneva, all of which have planning permission in force.
“Le Chêne d’Ehden” in Conches offers two sumptuous contemporary villas with garages and swimming pools, benefiting from the THPE label.
“Les Vignes d’Ehden” in Anières offers a final lot for sale, in the form of a magnificent 260 square-meter garden-level townhouse with generous terraces and a vast garden.
https://rag.lesvignesdehden.ch
Retail Advisors Geneva
info@retailadvisors.ch
+41 22 344 88 00