The mortgage market continued to move forward last year in Switzerland, even if growth was somewhat lower. The cantonal banks have still cut the lion’s share, while UBS recorded a decline in this sector.
In 2024, the total volume of real estate credits displayed an increase of 2.6% to 1271 billion francs, according to figures published Thursday by the Moneypark portal. However, this increase is somewhat below 3% average annual growth of the last ten years.
Cantonal banks have further strengthened their dominant position on this market, recording mortgage growth of 5% or 23.3 billion francs, and totaling a market share of 38%, to compare to +4.6% or +9.7 billion for Raiffeisen establishments (17% market share). Regional banks (+3.7%) and pension funds (+8%) also accelerated, while UBS recorded a decrease of 3.4%for a market share of 22%.
Moneypark experts explain the decrease of the bank to the three keys by the consolidation effort following the acquisition of its competitor Credit Switzerland in March 2023 and a risk adjustment.
This year, the growth of mortgage volumes should accelerate somewhat below the 3%mark, supported by the drop in the master rate of the Swiss National Bank (ENB). The latter has indeed planed in June its main rate at 0%, resulting in low -lower mortgage rates.
/ATS
