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Single-family houses in greater demand than ever, and expensive than ever

The dream of owning a home can be a dream. With the advantage of interested parties to focus on condominiums, because here a large selection is available. The detached house is rare and expensive.

At the end of the first quarter of 2019, the single-family homes have marked a new price all-time high, as the current Raiffeisen-study " real estate , Switzerland". Single family homes are more in demand than ever, the offer to stay, but thin, it means the communication of the Bank from Monday.

Expensive building land is slowing the construction of single-family homes

A part of this price increase is likely to be due to an expected, even greater shortage of Supply. "Because the permit applications for single-family homes are within two years with a Minus of 25 percent literally broke", is quoted in the message of Raiffeisen chief economist Martin Neff. In the densely populated centers of Switzerland would be built because of the scarcity of affordable building land for years, hardly more single-family homes.

real estate the study of Raiffeisen

condos are so many on the market like never before. According to the study, were switched in the first three months of this year, almost 25 percent more listings than the average of the past three years.

floor is also on the Land scarce

Increased in recent years, the proportion of planning applications for condominium ownership. Already, nearly 20 percent of all of the condos today are built in rural communities. Because there, too, given the high land prices could not afford anyone a single-family home, would have to Dodge a potential buyer more and more on the lower-priced condos.

The housing generally, this means taking into account the rental properties, but is also in decline as the sales in the whole of the construction industry. On the one hand, this is due to the slowing of the economy and on the other hand, the modest population growth that is still below the long-term average. According to Raiffeisen, the number of inhabitants in each fourth of the 106 in Switzerland, the investigated regions has decreased in the past year.

vacancy rates are expected to continue

And an end to the downward trend of construction activity to rise is still not in sight, because of the housing exceeds the demand. Vacancy rates are likely to rise therefore in the current year, the conclusion of Raiffeisen. It's the ninth year in a row.

This insight coincides only partially with the assessment of the real estate consultant WüestPartner. Because of this recently in his study "Immo-Monitoring, 2019", the construction cost due to the low financing of both new construction and the renovation is likely to remain high. The sustaining force behind the rain, residential construction activity is the high level of investment in the construction of multi-family houses remained.

in Addition to the institutional and private investors, the public Hand in the area of affordable housing is likely to take a more active role than in the past, it was said a month ago in WüestPartner. And this in a time of population growth has subsided. This increases rent according to WüestPartner the pressure on the supply. This is expected to decrease.

Regardless of whether the construction activity is declining slightly or stable at a high level remains, scientists are agreed that the supply of rental housing increases, the rising vacancy rates and the prices come under pressure. So also, the online platform moneypark calculated "Real Estate Risk Index held" that the warnings would have in the sub-market of the investment properties on a regional strengthened. It was referred to as strong increase in prices in combination with increasing vacancy rates. (nag/sda)

Created: 13.05.2019, 11:50 PM

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