Switzerland's economy has shown resilience in the face of global challenges such as the pandemic, inflation, and geopolitical tensions.
In the second quarter of 2024, the Swiss economy experienced slightly above-average growth of 0.7%, driven by the chemical and pharmaceutical sectors.
However, employment growth slowed and the unemployment rate increased.
The Swiss National Bank has responded to low inflation by cutting interest rates.
The real estate market in Switzerland has seen a shift in investor sentiment, with risk premiums returning to levels just above the long-term average.
Despite challenges in the commercial real estate sector, the demand for rental apartments continues to rise, leading to increased rents.
The mortgage reference interest rate has also contributed to rising rents.
The commercial real estate market remains relatively robust, with employment growth providing stability.
The future of Switzerland's real estate landscape will be shaped by the interplay between demand, supply, and economic conditions.