GREATER ZURICH RESIDENTIAL MARKET

DEVELOPMENT OF RENTS AND SALE PRICES GREATER ZURICH

RENTS AND SALE PRICES BY MARKET AREA

regions Net rent
CHF/m² p.a.
Median
CHF/m² p.a.
Vacancy
Quote in %
advertising period in days purchase price
CHF/m²
Median
CHF/m²
advertising period in days
Baden 175-315 225 1.4 39 5510-10005 7300 41
Brugg / Zurzach 150-275 200 2.7 43 4230-8405 6015 68
Einsiedeln 165-280 210 0.9 19 4635-11630 7750 39
Freiamt 160-270 205 1.8 32 5000-8880 6420 48
Glattal / Furttal 200-380 265 1.0 24 7110-12610 9505 37
Höfe / March 190-410 260 1.4 24 6320-16295 9780 41
Konaueramt 190-330 245 1.1 26 7020-11010 9165 38
Limmattal 210-380 270 0.8 21 8075-14740 10245 34
Linthgebiet 165-295 220 1.7 37 5215-10725 7080 64
Mutschellen 170-290 215 2.0 34 5830-11445 7700 54
Pfannenstiel 205-425 275 1.2 23 8210-20460 13150 29
Schaffhausen 145-255 190 1.6 52 3900-7600 5875 62
Weinland 155-260 205 1.0 33 5185-9740 7370 45
Winterthur 190-335 245 0.6 26 5890-11465 8115 33
Zimmerberg 215-415 280 0.7 22 8805-18760 12125 28
Zug 230-540 320 0.3 11 9810-17310 12545 24
Zurich Highlands 185-305 235 1.4 30 6160-12090 8420 30
Zurich Lowlands 180-305 230 1.1 30 6375-11315 8440 47
City of Zurich 270-835 395 0.17 20 10465-21985 14800 21
In terms of quality, the impact of the Covid-19 pandemic dominated: working from home, particularly in urban areas, has meant that residential quality and a separate workspace at home are more important than before. This led to an increased desire to own a home and also to a partial shift in demand from small to larger apartments, in particular outside core cities. Experience shows that these days couples forgo 2.5-room apartments in favour of those with at least 3.5 rooms – and preferably, if they can afford it, 4.5 rooms. This is also borne out by the figures: in the canton of Zurich, the proportion of 1- to 2.5-room apartments among vacant apartments rose to 27 %; a year earlier, this figure stood at 22 % (2019: 20 %). However, this is also due in part to the fact that in recent years investors have increasingly been developing small apartments. Overall, the vacancy rate fell in 2021 compared with the previous year due to high demand in nearly every sub-region of Greater Zurich. At 0.72 %, the canton of Zurich has a very low level compared with the national average of 1.54 %. As expected, the city of Zurich had the lowest vacancy rate. Although the vacancy rate rose slightly in 2021, to 0.17 %, the market is still extremely tight. Little wonder then that the advertised net rents per m2 largely climbed or remained the same in the regions of Greater Zurich in 2021 compared with the previous year. For the most part, the duration of rental advertisements fell – further evidence of enormous demand. Micro-location became more important in everyday marketing. Depending on transport links, noise levels, proximity to green spaces and neighbourhood characteristics, a different marketing concept is required for properties that are 100 to 200 metres apart. When it comes to defining target groups, the more precisely the apartments are tailored (layouts, amenities) to them, the better.

There continued to be strong demand in the owner-occupied market in Greater Zurich in 2021. Due to limited supply, prices rose everywhere in the area, with increases of as much as 12 % in the individual regions. The enormous demand is also reflected in advertising duration, which declined for advertisements for properties in nearly every region. It continues to be low in Zurich, at 21 days. The supply shortage has been worsened by the investor focus on rental properties in recent years and by longer permit processes, partly as a result of the pandemic. This is reflected by the fact that about 23 % fewer condominiums were advertised in the second half of 2021 than in the first half of the year. There was an increase in condominium sales through bidding processes in 2021.