When it comes to the sale of your residential property in Switzerland, the market development of last year has again proved to be quite beneficial. A look back at 2018 shows that political and economic uncertainties on a continental and global level are favoring the price trend for real estate in the Confederation. Accordingly, in 2019 you expect profitable conditions if you want to sell your property. Engel & Völkers Switzerland has summarized the most significant market developments for single-family homes, villas, condominiums and land in Switzerland – find out more here!
Rising Swiss real estate prices: Reasons that speak in favor of the sale of your residential real estate
With regard to the development of the real estate market, Switzerland looks back on a year that’s interesting in multiple aspects by the end of 2018. While the future of international free trade has faltered, the UK’s exit from the EU has taken on more concrete forms, and economic phenomena such as the cryptocurrency boom have created uncertainty, it has been the constancy and reliability of conditions in Switzerland, the real estate buyers and motivated investors to engage in active activity. Accompanied by the ongoing period of low interest rates and a robust Swiss economy with growth of more than 2 percent, real estate demand in many places exceeded existing supply. In particular, in the popular Swiss holiday and winter sports destinations, which were able to achieve a four-percent increase in overnight stays in the tourism sector in retrospect to 2018, the demand for home ownership rose congruently as well.
Developments such as these had a significant impact on the further rise in real estate prices in Switzerland in 2018. So if you are thinking about selling your Swiss property, 2019 will be the perfect time to do so. More information can be found in our current Market Report Switzerland 2019.
Outlook 2019: Forecasts for the market trend for residential property ownership
Expert assessments suggest that the phase of price increases for real estate in Switzerland could soon be over. The portal wallstreet online suspects a turnaround until 2021 – it is not unlikely that it will happen earlier. In fact, active new construction investments in Switzerland are ensuring continuous growth in supply. If, at the same time, the decline in foreign immigration is considered, which is justified, for example, by improving labor market conditions in southern Europe, an increasing vacancy rate of 1.62 per cent, or 72,000 apartments, is not surprising – and the trend continues to rise. The risk of higher interest rates must also be taken into account when considering a real estate sales. The news of US mortgage interest rates, which have been raised several times and have to be evaluated in connection with global economic growth, gives reason to assume that a similar scenario could also occur in Switzerland from autumn 2019 on. If one considers this combination of factors, losses in value and a sinking rental price level can not be ruled out in the medium term. For the sale of your property, this means that you are likely to earn more from a sale sooner than a few years from now.
Successful real estate sale in Switzerland with a strong partner
Parallel to the price development, real estate marketing has also undergone some changes in recent years. Thanks to digital research options, a high level of transparency has found its way into the market. Computers and smartphones can be used to compare dozens of houses, villas, condominiums and land in just a few minutes. Presenting one’s own offer in an exclusive online environment and emphasizing its qualities in a targeted manner is the basic prerequisite for a swift sale of real estate, the proceeds of which will do justice to the value of the property.
Engel & Völkers Switzerland has been active in the Swiss real estate market for 40+ years and has followed all industry developments ever since. Today, the marketing strategies of our real estate agents set standards in terms of presentation and persuasiveness. Based on a detailed analysis of your property, we will create a meaningful, multimedia-based exposé of the property that will become part of our prestigious online portfolio. At the same time, we offer the property to individual clients who have attracted our attention as potential buyers of comparable real estate via our valuable contact network. With our full-service offer, which accompanies the marketing process from the conception to the key handover, we guarantee a fast and profitable sale of your Swiss property.
Now it’s your turn: If you are considering selling your home, villa or condominium, do not hesitate to contact us promptly to benefit from the continued high price level in Switzerland. The real estate brokers at Engel & Völkers Switzerland also advise you on the national market development. Call us today or send us an e-mail. We look forward to you!