Market prices for apartment buildings and office properties on the rise
Published: Friday, May 3rd 2024, 09:21
Back to Live Feed
After a few setbacks, market prices for investment properties rose again slightly in the first quarter of 2024. This applies to both apartment buildings and office properties.
Compared to the first quarter of 2023, prices for multi-family homes rose by 1.1%, as the Zurich-based consulting and research company Fahrländer (FPRE) reported on Friday. In the previous quarter, the increase was slightly higher at 1.8%. The price recovery is thus continuing, even if the discount compared to the peak in the first quarter of 2022 is still 11.1%.
Office properties also increased in price. Market prices for this type of property rose by 3.1% year-on-year, compared to 2.6% in the previous quarter.
With falling interest rates, investments in real estate are becoming comparatively more attractive again, comments Stefan Fahrländer. The greatest risk at present is the decentralization of regulation. As a result, the real estate markets in urban centers are increasingly becoming the focus of political attention.
Regional differences in office real estate
Looking at the individual regions, the price trend for multi-family houses is showing an upward trend in all regions compared to the previous quarter, most clearly in southern Switzerland (+2.7%), followed by Basel (+2.1%) and Zurich (+2.0%).
However, the market for office properties developed differently. While prices rose sharply in Basel (+.57%) and Zurich (+4.6%), there were declines in southern Switzerland (-5.5%) and Lake Geneva (-2.7%).
©Keystone/SDA
English 
German 
French 
Spanish 
Arabic