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Swiss Property Prices Soar in 2025
21 Jan
Summary
- Single-family home prices rose 6.5% and condos 5.9% in 2025.
- Buyer financing reached highest level since interest rate hikes.
- SNB key interest rate dropped to zero percent from 1.75%.
Across Switzerland, the year 2025 saw a notable increase in real estate values. Single-family homes experienced an average price rise of 6.5%, while condominiums saw a 5.9% increase. Price momentum particularly accelerated in the final quarter of the year for both property types.
German-speaking regions observed stronger price growth for single-family homes at 7.0% compared to 5.0% in French-speaking areas. For condominiums, the price development was more uniform, with a 6.0% rise in French-speaking Switzerland and 5.9% in German-speaking Switzerland.
The buyer's market showed renewed activity in the latter half of 2025. The share of new financing reached 47%, its highest mark in four years, attributed to the Swiss National Bank's strategic lowering of the key interest rate from 1.75% to zero percent starting in 2024.
Buyers increasingly opted for medium-term fixed-rate mortgages over long-term ones. The use of Saron mortgages also saw an uptick, as many borrowers anticipated further reductions in mortgage rates and waited for optimal times to secure fixed rates.
