In Switzerland, the housing supply is failing to keep up with the rising population demand, leading to significant pressures on rental markets. A recent analysis has highlighted that the number of apartments being constructed is at its lowest since the 1950s. Real estate economist Andreas Loepfe predicts that rental prices are set to rise dramatically over the next decade. Contributing factors include limited land availability and stricter building regulations following the 2014 Spatial Planning Act, which has resulted in a reduction of construction permits by 27%.
Experts warn of a worsening housing shortage in Switzerland, driven by demand outstripping supply, resulting in rising rents unaffordable for many.
According to real estate economist Andreas Loepfe, the already tight housing situation is expected to get worse, predicting unimaginable rents in the next decade.
In the last ten years, fewer apartments have been built per capita in Switzerland than at any time since the 1950s, despite population growth.
Legislation has tightened since the 2014 Spatial Planning Act, making it more difficult to obtain construction permits, which has further exacerbated the housing crisis.
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