In the coming decades, hundreds of thousands of homes belonging to the highest birth cohorts will become available. However, the transfer to the next generation is likely to occur less quickly than many hope. Despite being one of the richest countries in the world, Switzerland has a low ownership rate compared to other developed nations. At 36 percent, Switzerland’s ownership rate is about half as high as in the European Union or the United States.
The statement is only half true in this exaggerated form. But it completely applies to 25 to 64 year olds. Only slightly more than one in five households in this large age group lives in their own property. For those over 65, however, things are different. More than half of these households live in their own four walls. The high ownership rate in the baby boomer generation (1946 to 1964) is due to a time when there was still a lot of building land and construction was booming.
Many of today’s retirees made a wise investment by purchasing an apartment or single-family home over the past 40 years. The real estate price index of IAZI has more than tripled from 62 to 222 points between the early 1980s and today. But at some point in the next two decades, whether after death or due to infirmity, each of these homes will be sold or passed on, leaving young people with no choice but to rent. This raises hopes for those who are currently unable to purchase their own property on their own due to financial limitations.
According to a study by Zurich University of Applied Sciences (ZHAW), many still see home ownership as an ideal goal for themselves and their families. They hope for more supply and lower prices but may not be willing or able to move away from their current properties even if they become too expensive or unwanted by others due
