Rent will increase up to 5% per year in Switzerland, according to OFL

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Rent will increase up 5%:

Keystone-SDA

The rents on the Swiss market will increase by 3 to 5% per year in the coming years. Nevertheless, warns the director of the Federal Housing Office (OFL), Martin Tschirren on Sunday. Meanwhile, “The demand for housing remains greater than the supply”. However, – Rent will increase up 5%

(Keystone-ATS) Without falling from economic activity, we must expect an increase in rents, indicates Mr. Furthermore, Tschirren in an interview disseminated by the NZZ AM Sonntag. Nevertheless, The touched tenants are those who rent will increase up 5% arrive on the housing market or who must move, he notes.

He explains this increase by the fact that the housing market serves more and more placement for capital. Added to this is the fact that building land has become rare in Switzerland, he continues. “In the past, the problem of growing demand could be resolved through zone [à bâtir]. Today, this is no longer possible ”.

Less building permit

The director of the OFL also notes that the number of building permits has dropped by almost. a third since 2016 in Switzerland. “The construction activity has not yet decreased in the same proportion, but it will continue to decrease”. He quotes a study that points to oppositions and appeals as the main cause of hindrance to housing construction projects.

The study recommends limiting the right of opposition to persons directly concerned, specifies Mr. Tschirren. “In principle. the right to be consulted would rent will increase up 5% be maintained”, but it would be more targeted in order to prevent projects from being unnecessarily delayed or prevented for opportunistic reasons, he adds.

Introducing an obligation to pay fees. damages in the event of a manifestly abusive opposition could also be an effective means, underlines the manager.

As for a cap of rents as practiced in Basel, Mr. Tschirren is mixed: “the effect seems ambivalent”. From the point of view of the association of tenants. he notes, the model is a success, because abusive terminations have decreased, but, at the same time, construction and renovation suffered. “The canton of Basel-city therefore had to adapt the regulations in order to make the renovations more attractive”.

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