Rent increases of 15% possible for Swiss tenants by 2026
The director of the Swiss Federal Office for Housing expects rents to rise by more than 15% between now and 2026.
This content was published on
2 minutes
Keystone-SDA
A third increase in the benchmark interest rate is possible in the next one to two years, Martin Tschirren said in the newspaper Blick on Saturday.
If the benchmark interest rate goes up by 25 basis points, landlords can increase rents by 3%. But, said Tschirren, “40% of the increase in rent since the last rent adjustment can be added to this”. He expects the next interest rate increase to take place in December 2023 or March 2024.
More
More
Swiss face rent hikes with first mortgage gauge jump in 15 years
This content was published on
Switzerland’s national benchmark for mortgage costs has risen for the first time in its history.
On Friday, the housing office announced that it was maintaining the benchmark interest rate at 1.5%. This rate, which was introduced in 2008, fell steadily before reaching its lowest level of 1.25%. The rate was raised for the first time last June, to 1.5%.
Mr Tschirren points out that the rise in the interest rate has been compounded by the decline in construction activity despite high demand, and by rising prices for energy and building materials.
In May, the Swiss government organised a round table to tackle the housing shortage. A first draft of an action plan is now being finalised, according to Tschirren, who is calling on politicians to show “courage”.
This news story has been written and carefully fact-checked by an external editorial team. At SWI swissinfo.ch we select the most relevant news for an international audience and use automatic translation tools such as DeepL to translate them into English. Providing you with automatically translated news gives us the time to write more in-depth articles. You can find them here.
If you want to know more about how we work, have a look here, and if you have feedback on this news story please write to english@swissinfo.ch.
External Content
Your subscription could not be saved. Please try again.
Almost finished… We need to confirm your email address. To complete the subscription process, please click the link in the email we just sent you.
Swiss climate activists block vehicles near Gotthard tunnel
This content was published on
Around ten climate activists briefly blocked the A2 motorway near the northern entrance of the Gotthard tunnel on Thursday.
Watches belonging to Michael Schumacher up for auction
This content was published on
Schumacher's family is auctioning off eight rare watches from his collection in Geneva. The Christie's auction will take place on Monday.
Joya Marleen and Baschi named best solo acts at Swiss Music Awards
This content was published on
St. Gallen singer Joya Marleen and Baschi from Basel were named artists of the year at the Swiss Music Awards 2024 on Wednesday night.
Swiss authorities announce cost-cutting in asylum sector
This content was published on
The government notably wants to improve integration into the labour force, particularly for people with protection status S.
Various leaders confirm participation at Ukraine peace conference
This content was published on
The presidents of Poland, Finland, and Latvia and the prime ministers of Spain and Belgium will be at the Swiss-hosted talks in mid-June.
This content was published on
In the winter season up to April 2024, railway and cable car operators ferried 3% more visitors compared to the previous winter, and 5% more than the five-year average.
Rhine flooding: Swiss to invest CHF1 billion with Austria
This content was published on
As part of an international agreement with Austria, the Swiss government wants to pump CHF1 billion ($1.1 billion) into flood protection measures along the Rhine over the next three decades.
Swiss government proposes CHF10 million UNRWA donation
This content was published on
After months of debate, Switzerland plans to give CHF10 million ($11 million) to the UN agency this year, rather than the CHF20 million initially foreseen.
This content was published on
Rents for flats in Zurich, Switzerland’s business capital, are reaching stratospheric levels – one reason for this is Google’s international campus.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.