The Swiss voice in the world since 1935
Top stories
Stay in touch with Switzerland

Swiss mortgage market cooled in 2024

Below-average growth in the Swiss mortgage market in 2024
Below-average growth in the Swiss mortgage market in 2024 Keystone-SDA

The Swiss mortgage market witnessed subdued growth in 2024 due to rising costs and stricter regulations.

+Get the most important news from Switzerland in your inbox

This is the conclusion of the Mortgage Market Study 2024 published by MoneyPark. According to the study, the mortgage market in Switzerland grew by 2.6% or CHF32 billion last year. This means that growth was once again below the long-term average of 3%.

According to MoneyPark, the cantonal banks once again secured the biggest slice of the cake, accounting for around 75% of overall growth. The mortgage volume at the Raiffeisen banks grew by 4.6% and that of the pension funds by 8%. By contrast, UBS bank lost almost CHF10 billion or 3.4% in volume.

More

In addition, the financiers earned less with mortgages in 2024 than in the previous year and had to cope with a return to the level of 2022 after the record results of 2023. “However, this development was not driven by falling interest rates for borrowers, but by rising refinancing costs for the banks,” the report states.

On average, the banks’ net interest margin was 1.26% in 2024. This was significantly lower than the previous year’s figure of 1.40%.

Despite interest rates falling again, rising refinancing costs and the stricter regulatory environment have therefore slowed down the granting of mortgages. And further trouble is looming. For example, the abolition of the imputed rental value, which will be voted on in September 2025, could have a “substantial” impact on the market.

According to the study by the Helvetia subsidiary, between CHF50 and 150 billion could be amortised over the next five years and thus drastically slow down growth. In the worst case, stagnation could even be expected.

More
Property in Switzerland is expensive - and the debt burden is also high.

More

Mortgages in Switzerland: how the system works

This content was published on Home loans are cheap in Switzerland. There are good sides and bad sides to this. Here is what you need to know about mortgages in Switzerland.

Read more: Mortgages in Switzerland: how the system works

Translated from German by DeepL/mga

We select the most relevant news for an international audience and use automatic translation tools to translate them into English. A journalist then reviews the translation for clarity and accuracy before publication.  

Providing you with automatically translated news gives us the time to write more in-depth articles. The news stories we select have been written and carefully fact-checked by an external editorial team from news agencies such as Bloomberg or Keystone.

If you have any questions about how we work, write to us at english@swissinfo.ch

Popular Stories

Most Discussed

News

Aargau police continue to search for escaped prisoner

More

Swiss police still hunting handcuffed escapee

This content was published on A prisoner who escaped on Thursday in Baden, canton Aargau, is still on the run. The 23-year-old Albanian, who was in custody for burglary, was wearing handcuffs when he escaped.

Read more: Swiss police still hunting handcuffed escapee
Switzerland reinforces its ground-air defence with German systems

More

Swiss reinforce ground-air defence with German systems

This content was published on Switzerland has purchased five IRIS-T SLM systems for ground-based air defence from Germany, the Federal Office for Defence Procurement (armasuisse) said on Monday.

Read more: Swiss reinforce ground-air defence with German systems
Deer return to Winterthur cemetery

More

Evicted deer return to Swiss cemetery

This content was published on Individual deer are continuing to return to the Rosenberg cemetery in Winterthur, northeastern Switzerland, even after an eviction campaign last winter.

Read more: Evicted deer return to Swiss cemetery
You hardly earn any interest on savings accounts in Switzerland anymore

More

Hardly any interest earned on savings accounts in Switzerland

This content was published on Interest rates on savings accounts in Switzerland have fallen significantly. The brief high in savings interest rates is over, according to a study by online comparison service Moneyland.

Read more: Hardly any interest earned on savings accounts in Switzerland
Nazis

More

Nazi hikers questioned by Swiss police

This content was published on A group of around 25 men in uniforms of the Wehrmacht – the army of Nazi Germany – crossed the Wildhorn massif on Saturday and were questioned by Bern cantonal police.

Read more: Nazi hikers questioned by Swiss police

In compliance with the JTI standards

More: SWI swissinfo.ch certified by the Journalism Trust Initiative

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.

SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR

SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR