The real estate supply in the canton of St.Gallen is led by the Rhine Valley, which has a supply ratio of 4.6%. Although there has been a slight decrease in the availability of condominiums, around 250 new building permits for condominiums were issued in the past year, indicating potential market expansion.

The construction of new single-family homes is declining, but prices remain high. The average transaction price for single-family homes has increased by 2.2% year-on-year, reaching nearly CHF 1.6 million. Condominium prices have seen an even larger increase, with a 4.8% rise, bringing the median transaction price to around CHF 910,000 in the third quarter of 2024.

The Head of Private and Business Clients at SGKB, René Walser, emphasizes that the region is experiencing strong population growth, which is driving high demand for housing. Despite having the highest housing supply in the canton, residential property prices continue to rise. This trend is expected to continue into the next year due to ongoing population growth, increased demand for residential properties, and anticipated decreases in interest rates. However, the international focus of many companies in the Rhine Valley poses economic risks that could impact buyers' willingness to pay.