�۶���Ƶ

Zurich, 15 May 2025 – St. Moritz has maintained its position as the most expensive location for luxury real estate, with square-meter prices starting at around CHF 43,000. Gstaad and Verbier follow as two other mountain destinations where prices begin at CHF 39,000 and CHF 36,000 per square meter, respectively. Depending on the specific location and features, square-meter prices can exceed CHF 50,000 and, in exceptional cases, even CHF 100,000. Outside these mountain regions, the most expensive properties are found in Cologny on Lake Geneva, at nearly CHF 36,000 per square meter. Other municipalities near Geneva with a high proportion of luxury properties generally list square-meter prices starting at CHF 25,000. The highest prices on Lake Zurich are in Küsnacht, at CHF 32,000 per square meter, while in other areas, luxury properties begin at roughly CHF 28,000 per square meter.

Price trend hitting a ceiling

Price momentum in the Swiss luxury segment slowed in 2024 for the second consecutive year. As a result, the price increase for luxury homes halved to an average of 1.2% compared to the previous year. The luxury segment’s price trajectory was mainly driven by condominiums, whose prices rose by an average of 3%, whereas prices for single-family homes remained almost stagnant. Moreover, luxury property prices increased less than those in the broader market for owner-occupied housing, which registered an average gain of 3.2% over the same period.

A key driver for luxury property prices in 2024 is likely to have been the strong performance of stock markets. Significantly lower interest rates during the course of the year also boosted buyers’ willingness to pay. The subdued price momentum observed in 2024 was therefore not due to weak drivers in demand but rather to price overshoots in earlier years. Current price levels are now 27% above the levels of 2019. The Zug region recorded the sharpest rise at over 40%. Around Lake Zurich, prices increased by 30 to 40%, while the Lake Geneva region and Ticino both recorded gains of under 20% during the same timeframe.

Muted outlook

The elevated price levels are reducing the pool of potential buyers. This is likely to especially affect luxurious condominiums in the mid-single-digit million range, where the mortgage affordability guidelines have the greatest impact within the luxury segment. In addition, the strong Swiss franc is making domestic luxury properties more costly for foreign buyers. Market volatility and the subdued outlook for the Swiss economy this year suggest only limited impetus for domestic demand. Consequently, 2025 is expected to be another year of consolidation for the luxury segment, with price increases anticipated to remain similarly restrained as in the previous year.

The most expensive luxury locations

Asking and transaction prices in the luxury segment observed from 2022 to 2024, in CHF thousands per square meter in selected municipalities, from the 95th percentile.

�۶���Ƶ Switzerland AG