Asking rents continue to rise in March - momentum weakens

In a monthly comparison, the rents advertised in advertisements rose by 0.2 percent, bringing the index to 133.1 points, as Homegate announced on Wednesday. In the first quarter, there was an increase of 0.7 percent compared to the previous quarter, while the increase for the year as a whole amounted to 2.3 percent.

The main reason for the continuing rise in rents remains the low level of residential construction activity coupled with high demand. However, the rise in prices has slowed recently: a year ago, growth was still at 2.6%, two years earlier it was as high as 5.5%. A decline in immigration and the lowering of the reference interest rate have also had a dampening effect, reducing the pressure on new rents.

The regional picture is mixed: While asking rents fell slightly in many cantons in March - for example in Uri and Obwalden and Nidwalden - they rose by 1.1% in both Vaud and Schwyz. On an annual basis, Central Switzerland continues to record the strongest increases, particularly Nidwalden and Zug.

In the cities, Lucerne is the clear leader with an annual increase of 8.2 percent. Rents in Zurich are also on the rise again: They rose by 1.6% there in the first quarter, indicating an end to the recent breather.

For the year as a whole, experts expect rents to continue to rise despite some relief - albeit less strongly than in previous years.