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In the first half of the year, prices for single-family homes rose by an average of 3.4 percent across Switzerland. (Archive image)
Keystone
Houses and apartments became more expensive again in the first half of the year. In the second quarter of 2025 in particular, momentum increased across Switzerland due to high demand and low interest rates.
In the first half of the year, prices for single-family homes rose by an average of 3.4 percent across Switzerland and for condominiums by 2.4 percent, as mortgage broker Moneypark and Zurich-based startup Pricehubble, which specializes in real estate data, reported on Tuesday. In a year-on-year comparison, single-family homes rose by 7.4 percent and condominiums by 4.2 percent.
Prices for single-family homes rose by 3.6 percent in French-speaking Switzerland and 3.2 percent in German-speaking Switzerland in the first half of the year. The price trend accelerated significantly in the second quarter after a subdued start to the year.
Prices for condominiums have risen by 2.4 percent in German-speaking Switzerland and 2.3 percent in French-speaking Switzerland since the beginning of the year. Year-on-year, the increase was 4.5 percent in French-speaking Switzerland and 3.8 percent in German-speaking Switzerland.
When financing their own homes, buyers increasingly preferred medium-term terms of five to nine years rather than long-term mortgages. Saron mortgages are currently more in demand in German-speaking Switzerland than in French-speaking Switzerland, where their share has even fallen slightly compared to the last six months. Saron mortgages account for 19 percent of mortgages in German-speaking Switzerland and only 7 percent in French-speaking Switzerland.
Mortgage borrowers are increasingly opting for Saron mortgages due to the uncertain interest rate trend - either as an alternative to short terms or as a second tranche alongside a fixed-rate mortgage. For first mortgages, the Saron share is a good 10 percent and for second mortgages over 20 percent. This gives them a certain degree of flexibility and they are currently benefiting from the low prime rate.
The banks were able to expand their market share to 67%, an increase of 12% compared to the first half of the previous year. They benefited from the increased demand for Saron mortgages. This is because these are not offered by insurance companies and pension funds. The market share of insurance companies is 19 percent (-39%) and pension funds account for 14 percent (+56%).
12.08.2025, 08:19
