The Swiss market for holiday homes has seen a significant price increase in recent years. High demand and limited supply, particularly in popular areas like Ticino and Graubünden, have led to significant price rises. According to experts, affordable offers have become rare. Especially in tourist hotspots, prices have increased by up to 40% since 2020.

Those still looking to purchase a holiday home at a lower price might find opportunities in less touristic areas or in sales under time pressure. In more remote mountain regions and less touristic areas in German-speaking Switzerland and Romandy, buyers may encounter more moderate prices. The market in these lesser-known regions often does not benefit from the same media presence and marketing that favor the more well-known locations, which can lead to more favorable prices.

Additionally, buying a holiday property in these less frequented areas often comes with other advantages, such as less competition when buying and more negotiating room regarding the price. However, it should be noted that such properties may not experience the same appreciation as those in established holiday regions. Investors and holiday home buyers are therefore well advised to also consider the long-term prospects and infrastructure development of the respective region.

The National Council has voted to abolish the imputed rental value for secondary residences. At the same time, a constitutional basis for a property tax is to be created to allow cantons and municipalities to compensate for revenue losses. This controversial proposal, which has already failed twice at the polls, will now go to the Council of States.

The abolition of the imputed rental value could have significant financial implications, especially for tourism-dependent cantons. However, the National Council is seeking a long-term solution with compensation through a property tax. This new tax system could lead to property owners being taxed directly based on the market value of their properties, ensuring a fairer distribution of tax burdens. Furthermore, the National Council hopes that abolishing the imputed rental value will invigorate the real estate market and increase the availability of rental properties, as owners might be more inclined to rent out unused apartments instead of leaving them vacant.

The debate in the National Council showed a wide range of opinions, with proponents of the change arguing that the current regulation is outdated and no longer reflects the reality of many property owners. Critics, on the other hand, warn of the financial consequences for public budgets and call for detailed analyses of the economic impacts of this reform.

If the Council of States agrees to the proposal, it would be a significant step towards comprehensive tax reform that could modernize property taxation in Switzerland. However, intense discussions and potential adjustments are expected before a final decision is made. In the meantime, various interest groups are planning campaigns to inform and influence public opinion about the significance and potential impacts of this legislative change.