Market Report Switzerland

Market Report Switzerland 2015

E X C A LU T E SI & V V E

Sell your property with a seal of quality!

When you buy or sell a property with us, you benefit from the Zurich property guarantee. This guarantee means you sell your house or apartment with a seal of quality. It not only increases the value of your property, but also takes all the stress out of selling. If you would like to take advantage of the benefits of the Zurich property guarantee, we will be happy to provide you with more information and arrange a non-binding consultation.

Engel & V枚lkers Wohnen Schweiz AG 路 Phone +41-41-500 06 06 switzerland@engelvoelkers.com 路 www.engelvoelkers.ch

Dear reader,

Engel & Vรถlkers has been operating successfully in the real estate sector for over 37 years. The company now has over 550 property shops and more than 5,500 staff worldwide. Engel & Vรถlkers has been represented in Switzerland for 10 years, and now has 45 locations here with around 200 real estate professionals. Engel & Vรถlkers particularly values the local employees' strong connections to their regions and familiarity with the markets. On the pages that follow, we would like to share with you the benefits of our experience and our market forecasts for property price trends in 2015. In our market report, we have divided Switzerland into nine regions: Central Switzerland, where the Swiss nation originated; Eastern Switzerland, with Lake Constance as its heart; Southeastern Switzerland for sport fans and lovers of peace and tranquillity; Northwestern Switzerland with its cultural diversity; Western Switzerland with its French flair; the Bern region with the capital city; the Zurich region with the city of the same name; and the Principality of Liechtenstein with its traditional aristocratic family. We have numerous real estate professionals to support you in each region, and in this market report we share their experience with you and their forecasts for the property market during the coming year. Property price trends vary depending on the region, canton and municipality, and can even vary in different parts of a city. Some areas saw an upturn in 2014 and are set to continue to boom, while in others marketing a property presents a real challenge. In the latter areas in particular, the expertise and professionalism of our licence partners and property consultants are particularly in demand. We provide

ongoing training to our staff which enhances their specialist knowledge so that they can offer clients expert advice and broker properties successfully. In addition to our day-to-day commitment to our customers, Engel & Vรถlkers also offers an exclusive service with our property guarantee. The property guarantee offers sellers added value that extends beyond the purely financial advantages. For buyers too, there are good reasons to give your future home a seal of guaranteed quality. It is not possible to purchase a holiday home or second home everywhere in Switzerland. Our property consultants are familiar with the conditions in your chosen region and help you find a place where you can spend your holidays within your very own four walls. If you have any questions on the property guarantee, or would like to arrange a consultation regarding your property matters, just pop into one of our 45 property shops in Switzerland, or please feel free to contact us. We look forward to hearing from you.

With kind regards your Engel & Vรถlkers Team Switzerland

3

Your property guarantee at Engel & Völkers

Two-year guarantee following change of ownership for houses and apartments – benefits for property buyers and sellers.

It has long been standard practice for car sales to provide a guarantee following a change of ownership, and this type of guarantee is now being offered on the property market too. Engel & Völkers Wohnen Schweiz AG is exclusively offering the Zurich property guarantee, covering damage and defects for up to two years after change of ownership.

The benefits for sellers Increased property value ■ Better sale prospects ■ Protection against disputes after the sale ■ Property commended with seal of quality ■ Property checked by Engel & Völkers ■ Zurich Insurance – reliable insurance partner ■

The benefits for buyers Protection against hidden structural damage and prematurely defective structural elements Coverage of repair costs or renewal at replacement value ■ Low excess of CHF 500 ■ ■

For further information on the property guarantee, see www.engelvoelkers.ch/immobilien-garantie or contact your nearest Engel & Völkers shop.

We look forward to hearing from you.

4

Contents

The Central Switzerland region

6-10

The Eastern Switzerland region

11-15

The Southeastern Switzerland region

16-19

The Southern Switzerland region

20-21

The Northwestern Switzerland region

22-25

The Lake Geneva & Western Switzerland region 26-27

The Bern region

28-32

The Zurich region

Principality of Liechtenstein

39-40

Buying second homes and holiday homes in Switzerland

Locations in Switzerland & Liechtenstein

42-43

33-38

41

Schaffhausen Kreuzlingen Rheinfelden

Frauenfeld

Basel Liestal

Baden

Weinfelden Wil

Bülach

Rorschach

Winterthur Dietikon Zürich Küsnacht Thalwil

Solothurn Grenchen

St. Gallen

Wallisellen

Aarau

Rüti

Rapperswil Pfäffikon

Affoltern a.A. Zug

Vaduz Liechtenstein/Rheintal

Biel Einsiedeln Lucerne

Bern Murten

Chur Scuol Flims

Davos

Thun Interlaken

Gstaad

St. Moritz

Montreux Nyon

Geneva Ascona

Lugano

5

The Central Switzerland region Engel & Völkers Einsiedeln Seeperlen Immobilien AG Hauptstrasse 28 8840 Einsiedeln Phone +41-55-412 71 57 Schwyz@engelvoelkers.com Engel & Völkers Pfäffikon SZ Seeperlen Immobilien AG Rebstockstrasse 4 8808 Pfäffikon SZ Phone +41-43-888 11 11 Schwyz@engelvoelkers.com Engel & Völkers Lucerne Stone Property AG Pilatusstrasse 41 6003 Lucerne Phone +41-41-410 66 91 Lucerne@engelvoelkers.com Engel & Volkers Lucerne-Land Stocker Immobilien Management AG Phone +41-41-910 58 58 LucerneLand@engelvoelkers.com

The region and its special characteristics Central Switzerland with the cantons Lucerne, Uri, Schwyz, Zug, Obwalden and Nidwalden owes its name to its geographic location in the heart of Switzerland. In summer, the region is a wonderful paradise for walkers, with its impressive peaks like Mount Rigi. After all the physical exertion, you can enjoy a cool, refreshing dip in one of the nearby lakes. The region is fabulous in winter too, with diverse winter walking trails and a wide variety of ski pistes and cross-country ski trails. Zürich-Kloten Airport is less than an hour away by car. Another of the many advantages of Central Switzerland is its excellent public transport infrastructure. Central Switzerland is also popular with companies due to its low tax rates.

The canton of Lucerne has Switzerland's lowest rate of business tax, at just 10.6 %. Many prestigious companies have their headquarters in the canton of Zug and Schwyz, the home of the famous Swiss army knife. Wealthy private individuals favour the municipalities on upper Lake Zurich in the canton of Schwyz, and the municipalities in the canton of Zug. Central Switzerland is always a popular residential and business location. The population of 774,100 has increased slightly since last year. The region features some exceptional high-altitude tourist attractions such as Mount Rigi, Mount Titlis and the world's steepest rack railway up Mount Pilatus. The region of Uri is famous as the home of the folk hero William Tell. The Lake Lucerne region offers first-class activities in both summer and winter.

6

Engel & Völkers Zug Engel & Völkers Residential AG Neugasse 15 6301 Zug Phone +41-41-728 77 11 Zug@engelvoelkers.com

Zug

Canton of Schwyz

The location

The location

Covering some 239 square kilometres, Zug is Switzerland’s smallest canton. Nonetheless, it has much to offer: two idyllic lakes, gently undulating hills and the fantastic slopes of Zugerberg mountain. As well as the whole canton, the Engel & Völkers branch in Zug also covers the Küssnacht am Rigi district (SZ). Zug remains a sought-after residential location in 2015. It is an attractive place to live with a flourishing economy.

In the canton of Schwyz, the municipalities on the left bank of Lake Zurich offer excellent locations with breathtaking views over the lake, an attractive fiscal environment and first-rate transport links to Zurich. Properties in Wollerau, Freienbach, Pfäffikon, Altendorf and Lachen are highly sought-after. Other traditional towns in the canton of Schwyz, magnificently situated between lakes and mountains in the heart of Switzerland, are Einsiedeln, Schwyz, Gersau and Brunnen.

The most desirable locations The most desirable locations ■ ■

Zug, Baar Lakeside municipalities Cham, Hünenberg Sea, Buonas/Risch and Walchwil

■ ■

Market development The steady demand is reflected in property prices here, which are rising across the board, though still only moderately. Zug is hence on a par with Zurich and the Swiss Gold Coast. Apartments in Neuheim and Menzingen and the neighbouring Schwyz and Zurich municipalities are less expensive.

Wollerau, Pfäffikon, Lachen: good connections, lake views and low taxes Brunnen, Gersau: wonderful locations with lake and mountain views

Market development Residential properties in the canton of Schwyz remain extremely popular. Freehold apartments often sell quickly, while many detached houses are in need of modernisation and stay on the market for longer. The large number of properties on the market is keeping prices down.

Outlook Outlook Continued growth is expected. The tax haven of Zug is profiting from international demand and its central location in the Greater Zurich area. In short, Zug offers the perfect combination of charming scenery and a booming economy.

The canton of Schwyz remains attractive thanks to its location and low taxes. However, buyers are taking their time and comparing what the market has to offer.

Price table Villa/Single-familiy house in CHF

Location

Zug

Canton of Schwyz

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

3.8 – 12.0 Mio

14‘000 – 25‘000

2‘400 – 4‘500

Good

2.3 – 3.9 Mio

9‘500 – 14‘500

1‘700 – 2‘500

Ordinary

1.7 – 2.7 Mio

7‘500 – 10‘000

1‘200 – 1‘800

Prime

2.5 – 15.0 Mio

7‘500 – 15‘000

2‘000 – 4‘500

Good

1.8 – 3.9 Mio

5‘500 – 9‘000

1‘500 – 3‘000

Ordinary

1.2 – 2.5 Mio

3‘000 – 7‘000

600 – 2‘500

Trend

7

Lucerne City

Lucerne Land

The location

The location

Lucerne, the unique "City of Lights", nestles between Lake Lucerne and the surrounding Prealps and has long been one of the most popular cities in the world. It marries rural charm with a high standard of urban living. The city's inhabitants and its scores of visitors benefit from its fantastic central location and outstanding views, with innumerable opportunities for unforgettable excursions to the breathtaking surrounding area.

Very centrally located in the heart of Switzerland, this area has a consistently dynamic economy. The infrastructure is excellent, with some unique fiscal conditions. The canton of Lucerne has the lowest business taxes in Switzerland. These benefits are boosting the property market, and property investments are proving sustainable. The region's heartlands are Sursee and Hochdorf and their surrounding districts, as well as Willisau.

The most desirable locations

The most desirable locations

■ ■

Bellerive / Salzfass districts Wesemlin / Dreilinden districts

■ ■

Market development The demand for residential properties in the city of Lucerne remains extremely high, with properties in short supply. As well as the particularly popular city districts of Lucerne, the surrounding lakeside municipalities in the canton of Lucerne such as Meggen, Kastanienbaum or St. Niklausen are also in high demand.

Outlook With the city of Lucerne becoming ever more attractive as a place to live and work, the demand for residential property in the city of Lucerne is set to stay very high in future.

Locations with lake views and the up-and-coming fashionable districts of Lucerne are generally popular and will remain in high demand.

Sursee and its surrounding districts as well as the lakeside municipalities with low taxes Hochdorf and the Seetal municipalities, some of which have very advantageous tax rates

Market development The Lucerne Land region with its two main towns of Sursee and Hochdorf is still booming. The market is increasingly expanding to the neighbouring municipalities. There is an ongoing healthy demand for properties. New construction activity is therefore set to continue, with high quality standards.

Outlook The positive trend on the property market in the Lucerne Land region will continue in 2015. Prices will remain high, which will generate added value, especially in the prime locations.

Price table Villa/Single-familiy house in CHF

Location

Lucerne City

Lucerne Land

Trend

Plot of land CHF/m2

Prime

3.0 – 8.0 Mio

10‘000 – 13‘500

2‘500 – 4‘000

Good

1.5 – 2.5 Mio

7‘500 – 10‘000

1‘500 – 2‘000

Ordinary

1.0 – 1.5 Mio

3‘500 – 8‘000

1‘000 – 1‘500

Prime

2.0 – 4.0 Mio

7‘500 – 10‘000

1‘200 – 2‘000

Good

1.4 – 4.0 Mio

5‘000 – 7‘500

600 – 1‘200

800‘000 – 1.4 Mio

3‘500 – 5‘000

200 – 600

Ordinary

8

Trend Apartment CHF/m2

Trend

Obwalden

Nidwalden

The location

The location

The idyllic canton of Obwalden is located at the geographical centre of Switzerland. Directly on the banks of Lake Lucerne between Lucerne and Interlaken, enclosed by the world-famous Titlis and Pilatus mountains, Obwalden is home to a population of over 35,000. With its scenic diversity, pleasant climate and cultural integration, Obwalden is an attractive residential and business location with a distinctive character that is both traditional and unique.

Business-friendly, cosmopolitan and located at the heart of Switzerland, Nidwalden is an exclusive location for both private individuals and businesses. Its exceptional situation on the banks of the fjord-like Lake Lucerne and its closeness to the country's major cities makes Nidwalden a popular residential location. The traditional region of Nidwalden with its proud peaks and stylish villages is home to around 40,000 inhabitants.

The most desirable locations

The most desirable locations ■ ■ ■

Engelberg: at the heart of the picturesque Central Swiss Alpine landscape Sarnen: nestling in gently rolling hills directly by the lakeside

■

Hergiswil: at the foot of Mount Pilatus Ennetbürgen and Stansstad: on the sunny slope of Mount Bürgenstock

Market development

Market development Last year, the canton of Obwalden was one of the most economically buoyant in Switzerland, thanks to above-average growth in sectors of the processing industry.

The demand for residential property remains largely stable, with moderate prices around Lake Sarnen and higher prices in Engelberg.

Outlook

Although there is a constant demand for residential property in Nidwalden, sale prices stagnated this year. Even in top locations which normally command prices above the market value, sellers were forced to accept lower offers.

Outlook The market is expected to remain stagnant in 2015. Although Nidwalden is still a popular location, prices are expected to drop still further.

Prices in Obwalden are likely to remain unchanged in future.

This assumption is based on the region's stable economy and the fact that construction activity is stagnating.

Price table Villa/Single-familiy house in CHF

Location

Obwalden

Trend

Plot of land CHF/m2

Prime

1.5 – 2.5 Mio

7‘000 – 11‘000

1‘000 – 1‘300

Good

1.0 – 1.5 Mio

6‘000 – 7‘000

700 – 1‘000

800‘000 – 1.0 Mio

4‘000 – 6‘000

400 – 700

Prime

2.0 – 4.0 Mio

8‘000 – 11‘000

1‘700 – 2‘300

Good

1.5 – 2.0 Mio

7‘000 – 8‘000

1‘400 – 1‘700

Ordinary

1.0 – 1.5 Mio

4‘000 – 7‘000

1‘000 – 1‘400

Ordinary

Nidwalden

Trend Apartment CHF/m2

Trend

9

Uri The location Impressive scenery with the crystal-clear Lake Lucerne and the snow-covered mountain peaks of the Gotthard region.

The canton of Uri offers a high quality of life for employers, employees and families. Some unique properties are to be found in the region's provincial centres, exclusive lakeside locations and scenic rural areas. In short, this is a unique location for living, working and leisure.

The most desirable locations ■ ■

Altdorf: the capital of Uri south of Lake Lucerne Andermatt: in the heart of the Alps

Market development Property prices in the canton of Uri are moderate, but tending to decrease. This is due to migration to urban areas. In Andermatt, however, demand has risen due to the Andermatt project.

Outlook More migration away from the area is expected in future, which will result in falling property prices. Prices are expected to increase in Andermatt over the next few years with the completion of the Andermatt project.

Price table Villa/Single-familiy house in CHF

Location

Uri

10

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

1.0 – 1.8 Mio

6‘000 – 7‘000

700 – 1‘200

Good

800‘000 – 1.0 Mio

4‘000 – 6‘000

500 – 700

Ordinary

400‘000 – 800‘000

2‘500 – 4‘000

350 – 500

Trend

The Eastern Switzerland region Engel & Völkers Frauenfeld Grund Genug Immobilien AG Freiestrasse 17 8500 Frauenfeld Phone +41-52-723 30 40 Frauenfeld@engelvoelkers.com Engel & Völkers Kreuzlingen Exklusive Real Estate AG Hauptstrasse 64 8280 Kreuzlingen Phone +41-71-677 18 18 Kreuzlingen@engelvoelkers.com Engel & Völkers Rorschach EV St. Gallen Properties AG Hauptstrasse 53 9400 Rorschach Phone +41-71-845 65 50 Rorschach@engelvoelkers.com Engel & Völkers Schaffhausen Grund Genug Immobilien AG Bachstrasse 13 8200 Schaffhausen Phone +41-52-630 70 10 Schaffhausen@engelvoelkers.com Engel & Völkers St. Gallen EV St. Gallen Properties AG Spisergasse 23 9000 St. Gallen Phone +41-71-730 09 20 StGallen@engelvoelkers.com Engel & Völkers Vaduz Heinz Senn Immobilien Herrengasse 7 LI-9490 Vaduz Phone +41-81-523 70 70 Rheintal@engelvoelkers.com Engel & Völkers Weinfelden Exklusive Real Estate AG Pestalozzistrasse 4 8570 Weinfelden Phone +41-71-663 30 00 Weinfelden@engelvoelkers.com Engel & Völkers Wil EV St. Gallen Properties AG Toggenburgerstrasse 47 9500 Wil Phone +41-71-911 30 33 Wil@engelvoelkers.com

The region and its special characteristics Eastern Switzerland is made up of the cantons of Schaffhausen, Thurgau, St. Gallen, Appenzell Ausserrhoden, Appenzell Innerrhoden and Glarus. An extended road network means that Zurich and Zurich-Kloten Airport are never more than an hour away by car.

Altenrhein Airport is situated between Thal and St. Gallen and is particularly busy during the annual World Economic Forum in Davos. Eastern Switzerland is an attractive business location which has attracted many prestigious companies from the mechanical engineering, processing and construction industries. Up till 1920, the textile industry was the most important industry in St. Gallen. St. Gallen has also been home to the Federal Administrative Court for a number of years. Eastern Switzerland is regarded as one of the country's most industrialised regions. The Alpine region features fabulous scenery and a number of famous peaks. In the canton of Appenzell, the Churfirsten peaks rise to a height of 2,000 m and a panoramic view of six countries (CH, DE, Ö, LI, FR, IT) can be enjoyed from the top of Mount Säntis. Tourist attractions such as the Rhine Falls, the largest waterfall in Europe, in the canton of Schaffhausen, attest to the cultural importance of Eastern Switzerland. Spanning the area between Lake Constance and the Prealps, Eastern Switzerland offers different holiday destinations and visitor attractions ranging from the gently rolling hills of the Appenzellerland to the snowy peaks of Heidiland, not to mention Thurgau's endless green pastures, the lovely vineyards of Schaffhausen and St. Gallen's unique embroidery.

11

Schaffhausen

Frauenfeld

The location

The location

With a population of some 35,000, Schaffhausen is one of Switzerland’s smaller cities. Far away from the hustle and bustle of a metropolis, major cities such as Zurich or Stuttgart, the capital of Baden-Wurttemberg, are nonetheless only a short drive away. Two special attractions in Schaffhausen, the canton’s capital, include the historic part of the town, which is for pedestrians only, and the city’s landmark, the Munot tower.

Frauenfeld is one of Switzerland’s smaller cities with a population of some 24,000. Located away from the city of Zurich, Frauenfeld has much culture and a good infrastructure to offer. Two special attractions in the canton of Thurgau’s capital include the historic part of the town, and the city’s landmark, the old castle. Frauenfeld boasts excellent transport links in all directions.

The most desirable locations

The most desirable locations ■ ■ ■

Within the city, the Breite district is one of the most sought-after residential areas In the region, Stetten in the Reiat district tops the list

■

In the city itself, the Huben, Neuhusen and Herten districts are the most sought-after locations In the region, Uesslingen, Huttwilen and Stettfurt are immensely popular

Market development

Market development

The property market in the region of Schaffhausen is characterised by healthy property prices. After a rise in the prices for detached homes and freehold apartments in the past years, prices have currently stagnated.

The property market in the region of Frauenfeld is characterised by healthy property prices. After a slow and steady rise in the prices for detached homes and freehold apartments in the past years, we have not yet observed any calming down of the property market; nonetheless, prices are respectable.

Outlook Prices are expected to remain stable in 2015. Prices may also fall in the high price segment.

Outlook Prices will remain at a health level and are expected to remain stable in the Frauenfeld region.

Price table Villa/Single-familiy house in CHF

Location

Schaffhausen

Frauenfeld

12

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

1.8 – 3.4 Mio

6‘000 – 8‘500

500 – 700

Good

950‘000 – 1.8 Mio

3‘900 – 6‘000

350 – 500

Ordinary

600‘000 – 950‘000

3‘000 – 3‘900

220 – 350

Prime

1.6 – 2.4 Mio

6‘000 – 8‘500

700 – 1‘000

Good

950‘000 – 1.6 Mio

3‘900 – 6‘000

500 – 700

Ordinary

600‘000 – 950‘000

3‘000 – 3‘900

350 – 500

Trend

Kreuzlingen

Weinfelden

The location

The location

Kreuzlingen, the gateway to Switzerland on the southern bank of Lake Constance, is situated in a fantastic area with a very high standard of living. Besides the idyllic and peaceful surroundings, those who live here enjoy excellent cultural and educational opportunities. Lake Constance, and the close vicinity to neighbouring Germany, entice more and more people from Switzerland and Europe to settle here in this holiday area.

With a population of approximately 10,500, Weinfelden is one of the larger towns in the area and home to the largest railway junction in the canton of Thurgau. The municipality lies in the gently undulating Ottenberg vineyard landscape between Lake Constance and Alpstein, and is one of Switzerland’s most beautiful landscapes. From modern freehold apartments to lovingly preserved half-timbered houses, Weinfelden boasts a wide selection of properties.

The most desirable locations

The most desirable locations

■ ■

Kreuzlingen / Bottighofen: close to Germany and fiscally advantageous Gottlieben / Ermatingen: fishing village by lower Lake Constance, surrounded by vineyards

■ ■

Weinfelden / Ottoberg: romantic old part of the city and quality half-timbered houses Berg: this village, with spectacular alpine views, lies on the east slope of Mount Ottenberg

Market development

Market development

The demand for homes in this region is as high as ever.

Properties with views over the lake, or access to the lake, are particularly coveted, as are well-designed freehold apartments in central locations. Particularly the demand is on the rise from high-priced cantons. Real estate in areas where the infrastructure is not so developed are harder to sell.

The trend, mainly towards freehold apartments, looks set to continue in the coming year. More and more people are settling here, whether privately or for business. Particularly the demand is on the rise from high-priced cantons. As a main traffic artery, Weinfelden commands the highest prices.

Outlook

Over the last few years, prices for detached houses and freehold apartments have risen steadily. In future, prices will stagnate or fall slightly.

Property prices in Kreuzlingen will remain stable. After a rise in the prices of detached houses and freehold apartments in recent years, prices are currently stagnating.

Outlook

Price table Villa/Single-familiy house in CHF

Location

Kreuzlingen

Weinfelden

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

1.8 – 4.0 Mio

6‘000 – 10‘000

800 – 1‘100

Good

950‘000 – 1.7 Mio

4‘100 – 6‘000

450 – 800

Ordinary

600‘000 – 950‘000

3‘300 – 4‘100

250 – 450

Prime

1.35 – 3.15 Mio

4‘400 – 4‘800

700 – 950

Good

800‘000 – 1.35 Mio

3‘700 – 4‘400

500 – 700

Ordinary

450‘000 – 800‘000

2‘900 – 3‘700

350 – 500

Trend

13

St. Gallen & Rorschach

Wil & Appenzell

The location

The location

St. Gallen is the capital of the canton of the same name, the business and cultural centre of Eastern Switzerland with a population of 74,581. When the Federal Administrative Court relocated from Bern to St. Gallen, there was a noticeable and considerable increase in demand across the board in the property market. A new and interesting employer appeared on the scene when the Würth Group settled in the Lake Constance region.

The former abbey town of Wil is the centre of a region with a prospering economy, where over 100,000 people live, work and spend their leisure time. The city's close proximity to Zurich, combined with its idyllic charm which retains its rural character, attracts young and old alike to settle here on a long-term basis. The Appenzell region offers a rural haven outside the cities of Wil and St. Gallen. Tranquillity and recreational value are key criteria in this area.

The most desirable locations

The most desirable locations

■ ■

St. Gallen: preferred areas Rosenberg and Rotmonten with views Rorschacherberg: location with views over Lake Constance

■ ■

Wil: Oelberg, Hofberg, Sonnenberg with beautiful mountain view Appenzell: municipality of Appenzell and Teufen, the municipality with the lowest taxes in the region

Market development

Market development

The location is booming economically and this positive development is set to continue thanks to the area's excellent education, administration and public transport services. In the Wüest & Partner location and market rating, St. Gallen is rated as a very high-quality location.

With an above-average increase in population compared with the rest of Switzerland, this region is enjoying a corresponding rise in demand for residential property.

Detached houses in the middle and upper price segments are particularly in demand.

Outlook

Outlook

The region's growing economy and planned infrastructure projects will keep demand in this region at a consistently high level.

The planned infrastructure projects and prospering economy will keep demand in this region at a consistently high level.

Price table Villa/Single-familiy house in CHF

Location

St. Gallen & Rorschach

Plot of land CHF/m2

1.9 – 4.5 Mio

7‘500 – 10‘000

1‘000 – 1‘400

Good

1.2 – 1.8 Mio

5‘000 – 7‘500

600 – 900

700‘000 – 950‘000

3‘000 – 4‘500

400 – 600

Prime

2.0 – 2.6 Mio

6‘500 – 9‘000

1‘000 – 1‘400

Good

1.0 – 1.8 Mio

5‘000 – 6‘500

600 – 900

800‘000 – 950‘000

4‘000 – 5‘000

350 – 550

Ordinary

14

Trend

Prime

Ordinary

Wil & Appenzell

Trend Apartment CHF/m2

Trend

Rhine Valley, Werdenberg & Lake Walen (Heidiland) The location Here on the gentle slopes of the Rhine Valley, with its winegrowing villages Berneck, Balgach, Rebstein, and the tranquil small town of Altstatten, some 60,000 people find homes in fantastic locations with beautiful views over the Rhine river and into neighbouring Austria. The Werdenberg region is marked by growth and is a stir with building work, whilst locations in Heidiland around the glamorous spa and golfing resort Bad Ragaz and around Lake Walen are as sought-after as ever.

The most desirable locations ■ ■

Balgach: excellent residential quality, lowest taxes in SG canton Bad Ragaz: classy spa resort, 2 golf courses, medical centre, 5* luxury resort

Market development Following many years of stagnation, a spurt of growth has now set in in the Rhine Valley and Werdenberg, with a flood of new building work. Nonetheless, property prices remain moderate compared with the Swiss average, and quality properties are affordable. This makes the area extremely attractive for those moving into the area who cannot afford high prices.

Outlook Particularly in Werdenberg, prospective buyers will continue to find affordable apartments, detached houses and plots of land.

Price table Villa/Single-familiy house in CHF

Location

Rhine Valley

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

2.0 – 3.0 Mio

8‘000 – 12‘000

700 – 1‘200

Good

1.5 – 2.0 Mio

6‘000 – 10‘000

450 – 700

800‘000 – 1.2 Mio

4‘000 – 7‘000

250 – 400

Ordinary

Trend

15

The Southeastern Switzerland region Engel & Völkers Chur Top Living Immobilien AG Masanserstrasse 21 7000 Chur Phone +41-81-250 55 85 Chur@engelvoelkers.com Engel & Völkers Davos Top Living Immobilien AG Promenade 83 7270 Davos Platz Phone +41-81-410 00 30 Davos@engelvoelkers.com Engel & Völkers Flims Top Living Immobilien AG Promenada 37 7018 Flims-Waldhaus Phone +41-81-911 33 82 Flims@engelvoelkers.com

The region and its special characteristics Covered with snow in winter and enjoyed by countless walkers and mountain bikers in summer, Southeastern Switzerland is characterised by its mountain ranges and its marriage of unspoilt natural beauty and contemporary tourist culture. Another vital ingredient that defines the distinctive character of the canton of Graubünden is the vibrant city life of Chur.

In the region's cities, you are never far from natural scenery and recreational opportunities.

The canton has good public transport connections and a local airport in Samedan. Covering an area of over 7,000 square kilometres, Graubünden is the largest canton in Switzerland and the only one with three official languages. In terms of population, however, Graubünden is one of Switzerland's smallest cantons. This is because of its large proportion of mountainous areas and the impact of tourism. For the 195,000 inhabitants, one of the major attractions is the good quality of life in their canton. Most of the 105,400 working population are employed in the service sector, particularly the tourist industry. This makes up 14 percent of Graubünden's gross domestic product. Famous skiing regions such as St. Moritz, Davos, Flims/Laax, Lenzerheide and Scuol attract lots of holidaymakers every year, many of whom own their own holiday homes. Southeastern Switzerland is a region for those who love contrasts, with its modern cities and diverse shopping opportunities on the one hand, and its idyllic mountain villages surrounded by snow-covered mountains on the other.

16

Engel & Völkers Scuol Olivetti Immobilien AG Porta 7 7550 Scuol Phone +41-81-860 37 42 Scuol@engelvoelkers.com Engel & Völkers St. Moritz EVSM Properties AG Via Maistra 39 7500 St. Moritz Phone +41-81-837 51 51 StMoritz@engelvoelkers.com

Chur / Arosa / Lenzerheide

Davos / Klosters / Prättigau

The location

The location

Chur, the capital of the canton, boasts a charming historic centre and an outstanding infrastructure, and is surrounded by the Rhine valley and the municipality of Maienfeld (Bündner Herrschaft), famed for its excellent wines and the (almost) Mediterranean climate that predominates there.

Famous skiing regions such as Arosa and Lenzerheide, which were linked at last in 2014, now offer guests even more ski slopes and (winter) hiking trails.

Davos, known throughout the world for its annual “World Economic Forum”, is not only the highest town in the Alps, but also one of the most popular skiing areas in Switzerland.

Year after year, in winter and in summer, “Davos Klosters” attracts countless nature-lovers and sports enthusiasts who have succumbed to the impressive mountain scenery and the wide range of recreational opportunities.

The most desirable locations

The most desirable locations ■ ■ ■ ■

Arosa: Maranerhang / Innerarosa Chur: Lürlibadquartier Lenzerheide: the sun-soaked Crapera slope; due to the beautiful views and lots of sunshine hours

■

Davos: Parsenn, Horlauben, Bundaquartier, Mattawald and town square and centre Klosters: Muraquartier and Klosters Platz

Market development

Market development Supply and demand are currently evenly matched here, but prices are slightly depressed in the less sought-after locations. Stricter loan requirements on the markets for both main and secondary residences have also caused buyers to adopt a wait-and-see attitude.

Outlook Prices will stabilise. In prime locations such as Arosa and Lenzerheide, high demand will ensure that prices continue to rise slightly.

The advantage of the low interest rate and the shortage of properties on the market due to the acceptance of the initiative to limit second homes is encouraging secure property investments in the "Davos Klosters" tourist region, where property is sure to rise in value.

Outlook Property prices in Davos will continue to rise. In contrast, prices in Klosters will become stable, as contingencies for new construction work have been awarded up to 2017.

Price table Villa/Single-familiy house in CHF

Location

Chur / Arosa / Lenzerheide

Trend

Plot of land CHF/m2

Prime

2.0 – 6.0 Mio

10‘000 – 15‘000

ab 1‘200

Good

1.2 – 2.0 Mio

8‘000 – 10‘000

800 – 1‘200

700‘000 – 1.2 Mio

5‘000 – 8‘000

400 – 800

Prime

3.0 – 20.0 Mio

11‘000 – 20‘000

ab 1‘800

Good

1.8 – 3.0 Mio

8‘000 – 11‘000

1‘200 – 1‘800

Ordinary

1.0 – 1.8 Mio

6‘500 – 8‘000

800 – 1‘200

Ordinary

Davos / Klosters / Prättigau

Trend Apartment CHF/m2

Trend

17

Flims / Laax / Falera

Lower Engadin

The location

The location

Internationally, the Flims-Laax-Falera skiing area is one of the best known and most popular ski resorts in the Alps. The region has a hugely diverse range of sports and culture to offer, delighting locals and visitors alike. A wonderful place for a holiday home. Numerous smaller skiing areas are in the direct vicinity, such as Obersaxen, Brigels or Disentis. First homes and second homes complement each other here charmingly.

An unspoiled landscape, tranquil, cosy Engadin villages with their historic buildings, rich Romanesque culture, and much more: welcome to Lower Engadine, still awaiting “discovery”. Wildlife watching in and around the National Park, guided tours round castles or cycle rides are just some of the numerous ways to spend a holiday here. Winter sports and bathing go hand in hand here – you can go directly from the Motta Naluns winter sports region with around 80 km of pistes directly to the Scuol wellness pool.

The most desirable locations The most desirable locations ■ ■

Flims: Flims-Dorf; Flims-Waldhaus and the Runcs region Laax: Laax-Murschetg

Market development The uncertainty regarding the second home initiative, combined with high prices, has made potential buyers cautious. Stricter financing regulations also tempered demand for freehold property. Towards the end of the year, demand was on the rise, particularly for properties in prime locations.

■

Scuol, Tarasp, Ftan, Sent, Ardez and Guarda agreed to merge in 2014 and as of 2015 now form one large municipality. These are the most attractive places in Lower Engadine.

Market development Declining availability of new residential units. A few historic Engadine houses in which the stables have been converted into second homes are still on the market. These will probably remain the last, rare offers on the market for the next few years.

Outlook Outlook Prices will generally stabilise. Prices will rise slightly in Flims, due to the fact that foreigners can also purchase here.

The high demand for holiday properties will persist despite restrictive bank policies. Those who can afford it will take advantage of the opportunity.

Price table Villa/Single-familiy house in CHF

Location

Flims / Laax / Falera

Lower Engadin

Trend

Plot of land CHF/m2

Prime

2.5 – 4.0 Mio

10‘000 – 14‘000

ab 1‘300

Good

1.5 – 2.5 Mio

8‘000 – 10‘000

1‘100 – 1‘300

Ordinary

1.0 – 1.5 Mio

6‘000 – 8‘000

700 – 1‘000

Prime

2.0 – 4.5 Mio

8‘000 – 14‘000

ab 1‘000

Good

1.0 – 2.0 Mio

6‘000 – 8‘000

800 – 1‘000

bis 1.0 Mio

5‘000 – 6‘000

bis 700

Ordinary

18

Trend Apartment CHF/m2

Trend

St. Moritz The location “On top of the world” in the true sense of the word. Situated more than 1,800 m above sea level, the wide and open landscape of this high valley, studded with lakes and surrounded by majestic mountains, is unique. In this champagne climate, with an average of 322 days of sunshine per year, the region offers a whole host of exciting events, such as the White Turf and Polo matches in winter, as well as the Festival de Jazz and British Classic Car meeting in the summer, and much more.

The most desirable locations ■ ■

Absolute prime location – Suvretta, St. Moritz centre (Via Tinus, Via Brattas) Celerina, Sils, Silvaplana and Pontresina

Market development The exuberance of the Swiss property market has slowly given way to a more objective atmosphere. With a surplus of properties on offer in the luxury and upscale segments, potential buyers are taking more time before committing to a purchase.

Outlook The continuing recovery of the Swiss economy will have a positive impact on property prices in the long term.

Price table Villa/Single-familiy house in CHF

Location

St. Moritz / Upper Engadin

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

8.0 – 45.0 Mio

15‘000 – 35‘000

–

Good

4.0 – 10.0 Mio

12‘000 – 18‘000

–

Ordinary

2.0 – 6.0 Mio

8‘000 – 15‘000

–

Trend

19

The Southern Switzerland region Engel & Vรถlkers Ascona EV Ascona Top Real Estates AG Piazza G. Motta 57 6612 Ascona Phone +41-91-785 14 80 Ascona@engelvoelkers.com Engel & Vรถlkers Lugano EV First AG Riva Paradiso 10 6900 Lugano-Paradiso Phone +41-91-980 42 60 Lugano@engelvoelkers.com

The region and its special characteristics Southern Switzerland is typified by its historic grottos, its valleys and its villages above Lago Maggiore. Nowhere else in Switzerland has the distinctive Italian flair of Ticino. Ticino's traditional taverns, called grottos, grew out of the local passion for relaxing in the open air and enjoying wholesome plain fare with a good glass of wine. All roads lead to Ticino. Southern Switzerland used to be inaccessible at certain times when the Alpine passes were closed due to bad weather, but tunnels now offer easy access at any time of year. Ticino can be reached all year round by car or train via the Gotthard Pass, the San Bernardino Pass or the Gotthard Tunnel. The canton of Ticino has the third largest quota of secondary residences. There is a great deal of pressure on this quota due to the large numbers of tourists who visit, particularly in summer. The regions of Ascona, Locarno, Bellinzona and Lugano are the key centres.

Ticino's architectural highlights include the Castles of Bellinzona, the rural stone buildings and the modern Church of Mario Botta. Ticino hosts some major cultural events such as the Moon and Stars, the Film Festival and Jazz Ascona. The annual "Hublot Polo Cup" and the "CSI" in Ascona attract sports fans. The opening of the Gotthard Base Tunnel is drawing closer and Ticino's railway stations are gearing up for this new era. Changes are happening in Bellinzona too. The redevelopment of the station and the integration of the station area are just about to start. The opening of the Gotthard Base Tunnel planned for 2016 represents a quantum leap in transport engineering. This development will not only reduce journey times, but also boost Ticino's property market. A further boost for Ticino is the new representative headquarters of the Locarno Film Festival. The new "Palazzo del Cinema" is to be erected on the site of the old parish school on the Piazza Grande in Locarno by 2016.

20

Ascona

Lugano

The location

The location

Ticino is one of the most popular and exclusive regions in Switzerland and also a traditional destination for holidaymakers. The exceptional landscape with the Lago Maggiore is unique. The beauty of the two 18-hole golf courses in Ascona and Losone delights golfers from far and wide. The mild climate and Mediterranean charm of Ascona still have a strong attraction for potential buyers of holiday homes and first homes.

With its bay and “sugar loaf” mountain Monte San Salvatore, some people claim that the sophisticated city of Lugano is reminiscent of the tropical city Rio de Janeiro. The climate is mediterranean all year round, and plants and palm trees grow here that can only otherwise be found in southern Europe. All this with an azure blue lake and easy-going “Italienita” charm, coupled with the safety and stability of Switzerland, make Lugano and the whole region a unique place to live or spend a holiday.

The most desirable locations The most desirable locations ■ ■

Ascona and Ronco sopra Ascona Villas directly by the lake in Locarnese

■

Market development

■

Our office in Ascona is recording steadily growing numbers of Swiss and international customers. Homes by the lake, or with views over the lake, are in particularly high demand.

Property investments in Ticino are guaranteed to deliver a good return on resale. Ideal for purchasers looking for a very secure property investment.

Outlook We are confident that the demand for property in Ticino will continue to grow significantly in 2015.

Lugano: urbanity, southern flair, lake views and unique residential locations Morcote: beautiful villa locations, holiday domiciles, unrivalled lake views

Market development The property market in the Luganese district is growing; low interest rates have sparked a flush of construction work. This provides prospective buyers with plenty of opportunities for purchasing on attractive terms a second home in one of the region’s most beautiful areas. Apartments in the city with views over the lake are a particularly good investment.

Outlook In general, prices are either stable or rising. Construction work is likely to continue to flourish whilst interest rates remain low. Supply exceeds demand, however, so it may well be possible to bag a bargain here.

Price table Villa/Single-familiy house in CHF

Location

Ascona

Lugano

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

7.0 – 22.0 Mio

15‘000 – 25‘000

2‘000 – 3‘000

Good

3.0 – 7.0 Mio

7‘000 – 10‘000

1‘500 – 2‘000

Ordinary

1.0 – 3.0 Mio

5‘000 – 7‘000

1‘000 – 1‘500

Prime

4.0 – 15.0 Mio

10‘000 – 20‘000

2‘000 – 3‘000

Good

3.0 – 10.0 Mio

8‘000 – 14‘000

1‘000 – 2‘000

Ordinary

1.0 – 4.0 Mio

6‘000 – 10‘000

800 – 1‘500

Trend

21

The Northwestern Switzerland region Engel & Vรถlkers Aarau EV Swiss Properties AG Kronengasse 2 5000 Aarau Phone +41-62-825 27 90 Aarau@engelvoelkers.com Engel & Vรถlkers Basel Mobas Immo Basel AG Grenzacherstrasse 4 4058 Basel Phone +41-61-666 62 00 Basel@engelvoelkers.com Engel & Vรถlkers Liestal Mobas Immo Basel AG Kanonengasse 57 4410 Liestal Phone +41-61-666 62 06 Liestal@engelvoelkers.com

The region and its special characteristics The Northwestern Switzerland region comprises the cantons of Basel-Stadt, Basel-Landschaft, Aargau and Solothurn. The city of Basel is the location of the tripoint between France, Germany and Switzerland. Thanks to this favourable situation and the EuroAirport Basel-Mulhouse, the Northwestern Switzerland region has excellent national and international transport connections by air, road or rail. The Olten transport hub in the canton of Solothurn has been one of Switzerland's busiest stations for many years with very high daily passenger throughput. Advantageously situated, this canton is often used as a springboard for the European market. The Rhine ports are among Switzerland's most important transportation hubs. Basel is one of the most productive and innovative business regions in the world. It has a highly trained workforce numbering more than 250,000 from Switzerland and abroad, particularly in the pharmaceutical and chemical industries, and also in the logistics sector. Its geographical proximity to France and Germany enables 50,000 workers to commute from these countries across the border to Northwestern Switzerland every day. The Northwestern Switzerland region has a population of around 1 million. The majority of the population lives in the urban districts or the urban agglomeration. Visits to the charming historic centres of Liestal and Aarau are highly recommended. Solothurn has many historic buildings to visit from the Baroque and Renaissance periods. After a relaxing bath at the Rheinfelden spa, you can take a tour round the traditional brewery.

22

Engel & Vรถlkers Rheinfelden Mobas Immo Basel AG Marktgasse 43 4310 Rheinfelden Phone +41-61-813 37 33 Rheinfelden@engelvoelkers.com Engel & Vรถlkers Solothurn EV Immobilien AG Schweiz Friedhofplatz 5 4500 Solothurn Phone +41-32-322 13 13 Solothurn@engelvoelkers.com

Aarau

Fricktal

The location

The location

Aargau is a real alternative to the densely populated urban areas. Aarau, Brugg, Lenzburg and Zofingen enjoyed above-average growth over the last few years. Prices for private property, houses and apartments are approximately 20-40 % lower than in Zurich and the surrounding area despite ongoing increases in property values. Further advantages are the attractive fiscal climate, the quality of life and the proximity to Zurich and Lucerne.

Fricktal offers a wide variety of exclusive residential property. The dynamism of the property market is reflected in the area's large amount of new construction. Despite numerous construction products, supply will not exceed demand. The consistently high property values ensure excellent market conditions, not least due to commuter demand from urban centres. Fricktal benefits from fiscally advantageous municipalities, a very good infrastructure and excellent connections to Basel, Zurich and Germany.

The most desirable locations The most desirable locations ■ ■

The city of Aarau: very good infrastructure, very good connections to Zurich, Bern, Basel and Lucerne Zofingen, Rothrist: high quality of life, hub of the Swiss Central Plateau

Market development Growth is expected on the property market in 2015 due to demand from urban centres. Although prices are stagnating in various other cantons, they are still on the rise in Aargau.

Outlook Market prices remain stable and the local property market is seeing a positive turnaround, with the demand for property increasing. No major increase in interest rates is expected.

■ ■

Rheinfelden: location directly on the Rhine, excellent transport links to Basel, Zurich and Germany Frick: lively and steadily growing community with high standard of living, situated on the Basel-Zurich transport axis

Market development Prices have generally risen over the past few years. This increase can be put down to factors such as low interest rates, lower tax rates and a high influx of commuters. In contrast, outlying communities are faced with price fluctuations.

Outlook Market prices remain stable with no major fall in demand. It is still worthwhile to purchase a property as a financial investment.

Price table Villa/Single-familiy house in CHF

Location

Aarau

Fricktal

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

1.4 – 3.2 Mio

5‘500 – 8‘000

750 – 1‘200

Good

900‘000 – 1.4 Mio

4‘000 – 5‘500

450 – 750

Ordinary

700‘000 – 900‘000

2‘500 – 4‘000

250 – 450

Prime

1.8 – 3.5 Mio

10‘000 – 12‘000

1‘000 – 1‘200

Good

1.2 – 1.8 Mio

8‘500 – 10‘000

800 – 1‘000

850‘000 – 1.2 Mio

6‘000 – 8‘500

600 – 800

Ordinary

Trend

23

Basel City

Basel-Land

The location

The location

Thanks to its central location at the tripoint of three countries and its importance as a business hub in Northwestern Switzerland, the city of Basel remains a very popular place to live. The Rhine harbour, railway stations, motorway connections and EuroAirport all offer ideal national and international transport links. The city's future-focused and innovative companies attract lots of foreign and high-income workers to the city of Basel, as is clearly apparent from the demand for high-end property.

The property market in the peri-urban Unterbaselbiet and the idyllic Oberbaselbiet is enjoying increasing demand with constant development, because the Baselbiet is popular not just as a residential location, but also with businesses, and has a moderate fiscal climate. This is reflected in the numerous exclusive new properties being built. The region’s attractiveness is further increased by excellent transport links to the nearby city of Basel and the wide range of leisure and cultural activities on offer.

The most desirable locations

The most desirable locations

■ ■ ■

Bruderholz: peaceful location, exclusive district on the Basel hillside Gellert/Paulus/St. Alban: exclusive city districts Riehen: natural surroundings, close to Basel and with the highest standard of residential living in Switzerland

■ ■ ■

Arlesheim: natural surroundings, low taxation and proximity to the ISB international school Binningen: close to Basel, low taxation, natural surroundings Liestal: good infrastructure, capital of the canton with plenty of jobs

Market development Market development Due to the scarcity of housing in the city districts, the trend on the Basel property market is unlikely to change.

Investments in the life sciences industry are still ensuring a high number of local buyers in the upper price segment. The property market and market prices will remain relatively stable in 2015.

The property market will remain stable in 2015 and residential property is still a sound capital investment.

Properties in popular locations are holding their value well in the long term. However, prices may stagnate in outlying regions.

Outlook

Outlook

The market will remain stable with no fall in demand. In the present economic situation, purchasing a property is still a sound investment. Interest rates will not increase.

According to the banks, market prices are remaining stable and the banks' cautious attitude is preventing the local market from overheating.

Price table Villa/Single-familiy house in CHF

Location

Basel City

BaselLand

Trend

Plot of land CHF/m2

Prime

2.5 – 4.0 Mio

10‘500 – 12‘000

3‘200 – 3‘500

Good

1.5 – 2.5 Mio

9‘000 – 10‘500

2‘200 – 3‘200

Ordinary

1.0 – 1.5 Mio

7‘500 – 9‘000

1‘500 – 2‘200

Prime

2.5 – 4.0 Mio

10‘000 – 12‘000

2‘000 – 2‘500

Good

1.5 – 2.5 Mio

8‘000 – 10‘000

1‘200 – 2‘000

900‘000 – 1.5 Mio

6‘000 – 8‘000

900 – 1‘200

Ordinary

24

Trend Apartment CHF/m2

Trend

Solothurn The location Solothurn is where Italian grandeur, French charm and a Swiss German down-to-earth attitude meet. This residential region is centrally located as an island in the Swiss Central Plateau. The rail and road connections put the cities of Basel, Bern, Biel, Lucerne and Zurich only an hour or less away, with air connections via Grenchen airport.

The most desirable locations ■ ■

Feldbrunnen: this tax haven entices with its peaceful location near the city centre of Solothurn Solothurn: attracts residents with its central location for all major cities and the Jura mountains

Market development Solothurn is an attractive business location with a good industry mix of the medical technology, logistics and distribution, microelectronics, telecommunications, watches, screw machining and services sectors. The building areas available in the canton are further factors promising market development.

Outlook This ambassador city is a very popular residential location, whether for freehold apartments, town houses, residential complexes or Baroque manor houses.

Price table Villa/Single-familiy house in CHF

Location

Solothurn

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

1.4 – 4.0 Mio

5‘800 – 8‘000

750 – 1‘200

Good

800‘000 – 1.3 Mio

4‘000 – 5‘800

450 – 750

Ordinary

500‘000 – 750‘000

3‘000 – 4‘200

300 – 500

Trend

25

The Lake Geneva & Western Switzerland region Engel & Völkers Geneva EV Romandie SA Quai des Bergues 29 1201 Geneva Phone +41-22-716 22 66 Geneva@engelvoelkers.com Engel & Völkers Montreux EV Romandie SA Grand-Rue 82 1820 Montreux Phone +41-21-533 13 33 Montreux@engelvoelkers.com Engel & Völkers Nyon EV Romandie SA Rue de Rive 32 1260 Nyon Phone +41-22-343 12 12 Nyon@engelvoelkers.com

The region and its special characteristics Western Switzerland, the French-speaking region of Switzerland, comprises the cantons of Valais, Vaud, Geneva, Jura, Neuchâtel and parts of the cantons of Bern and Fribourg.

Western Switzerland enjoys outstanding transport links in all directions by public transport, car or plane. The international airport in Geneva, which has one of the highest amounts of passenger traffic in Europe, offers fast journeys to neighbouring countries. The Lötschberg Base Tunnel, A1 motorway and the Kandersteg car transport trains have made Western Switzerland even more easily accessible. The canton of Valais features charming traditional chalet villages like Zermatt or Verbier where members of high society meet, particularly in the winter months. This is one of the reasons why the available quota of holiday homes is almost used up. Geneva is the most important city internationally, and many multinational companies have their headquarters here. Geneva is a further Swiss financial centre alongside Zurich, and a large number of foreign banks conduct their business from the city of Geneva. As an international centre, it has a high proportion of foreigners, who make up just under 50 % of the population. With a population of around 2 million, Western Switzerland is home to a quarter of the country's total population. Western Switzerland is the centre of culture and history, and a key location for trade fairs and exhibitions. The sights include different places and castles such as Chillon Castle in Montreux, in the canton of Vaud. Museums include the watch museum and the Museum of the International Red Cross, which provides insights into the work of this humanitarian organisation.

26

Geneva

Montreux-Lake Geneva

The location

The location

As the second largest city in Switzerland, Geneva attracts a wide range of international companies. The city has been referred to as the world's most compact metropolis and the "Peace Capital", and is home to the European headquarters of the UN. The docks on the banks of Lake Geneva, the parks, the narrow streets of the historic centre and the elegant boutiques are inviting places for a stroll and make the city an attractive place to live.

Due to its exceptional climate, Montreux is known as the capital of the Riviera vaudoise. Charming communities are ranged along the banks of Lake Geneva, interspersed with vineyards. All this makes the region by Lake Geneva, the second largest lake in Central Europe, a popular place to live.

The most desirable locations ■

The most desirable locations ■

■

Cologny & Central Geneva

Montreux, Vevey, La Tour-de-Peilz Chardonne & Lutry

Market development

Market development Residential property in Geneva is scarce. For this reason and due to the constant demand, prices of detached houses and freehold apartments in the Geneva region have risen significantly and remain high. This is confirmed by the low vacancy rate.

Property prices in the Montreux region remain stable and are 50 % above the national average. The small and expensive reserves of building land limit the availability of detached houses. Property prices have risen accordingly over the last few years.

Outlook Prices will stabilise at a high level in the medium price segment.

Outlook The popularity of the city and the Geneva region means that it will continue to command high prices. However, reticence on the part of buyers is also expected here.

Price table Villa/Single-familiy house in CHF

Location

Geneva

MontreuxLake Geneva

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

6.0 – 50.0 Mio

15‘000 – 20‘000

5‘000 – 10‘000

Good

2.0 – 6.0 Mio

10‘000 – 15‘000

2‘400 – 3‘000

Ordinary

1.0 – 2.5 Mio

9‘000 – 12‘000

1‘800 – 2‘200

Prime

2.5 – 18.0 Mio

10‘000 – 15‘000

1‘500 – 3‘000

Good

1.2 – 3.5 Mio

8‘500 – 11‘000

1‘000 – 1‘600

Ordinary

1.0 – 2.0 Mio

6‘500 – 8‘500

600 – 1‘200

Trend

27

The Bern region Engel & Völkers Bern ALUAG BTS GmbH Mettlengässli 2 3074 Muri b. Bern Phone +41-31-950 22 11 Bern@engelvoelkers.com Engel & Völkers Biel PKR GmbH Hauptstrasse 59 2560 Nidau Phone +41-32-333 20 66 Biel@engelvoelkers.com Engel & Völkers Grenchen PKR GmbH Marktstrasse 3 2540 Grenchen Phone +41-32-333 10 20 Grenchen@engelvoelkers.com

The region and its special characteristics The distinctive clock tower with its monumental movement, enormous dials and hourly chime is a symbol of the city of Bern. Another feature of the capital city is its characteristic arcades which extend for several kilometres and are in some cases still in their original form. Bern has been a UNESCO World Heritage Site since 1983. The popular tourist destination of Interlaken is situated in the Bernese Oberland between Lake Thun and Lake Brienz. Located at the foot of the three famous peaks – the Eiger, the Mönch and the Jungfrau – it attracts visitors from all over the world as a base for excursions and panoramic views. The Bernese Oberland is also the location of the prestigious and internationally renowned region of Gstaad. Despite being extremely popular, Gstaad has retained its Alpine character and guests are captivated by its charm, serenity and authentic traditions. The region boasts an excellent, extensive transport network with rail and road connections and Bern-Belp Airport. Twelve main railway lines carry trains from all over Switzerland, plus international trains such as EuroCity, TGV and ICE. The canton of Bern has a population of 1 million. Over half of these live in the city where home, work and recreational spaces are all within a short distance. The federal parliament building is probably the most famous tourist attraction in the Bern region and opens its doors for visits and guided tours. The people of Bern like to enjoy life at a relaxed place, so the region has many recreational areas, from ski resorts to beautiful bathing spots on the River Aare.

28

Engel & Völkers Gstaad E&V Gstaad Properties AG Lauenenstrasse 19 3780 Gstaad Phone +41-33-655 65 05 Gstaad@engelvoelkers.com Engel & Völkers Interlaken GN real estate GmbH Höheweg 72 3800 Interlaken Phone +41-33-822 70 70 Interlaken@engelvoelkers.com Engel & Völkers Murten PKR GmbH Rathausgasse 21 3280 Murten Phone +41-26-655 10 30 Murten@engelvoelkers.com Engel & Völkers Solothurn EV Immobilien AG Schweiz Friedhofplatz 5 4500 Solothurn Phone +41-32-322 13 13 Solothurn@engelvoelkers.com Engel & Völkers Thun ALUAG BTS GmbH Obere Hauptgasse 40 3600 Thun Phone +41-33-227 30 00 Thun@engelvoelkers.com

Bern City

Bern Land

The location

The location

The city of Bern offers a high standard of living. Reasons for this include the good public transport infrastructure, attractive residential environment and generous local recreation areas. The cantonal and national capital is the centre of the Bern-Mittelland economic region, covering approximately a third of the canton of Bern. The city of Bern is the largest administrative centre in Switzerland. Bern is the city of short routes and multiple opportunities.

As the largest city in the Emmental, Burgdorf entices with its historic past, its university of applied sciences and its central location in the middle of Switzerland with a connection to the A1 motorway. It is home to various famous museums. International companies from the pharmaceutical and machine industries ensure a supply of jobs. The Emmental itself – with its long-established village communities, farming and small business, and wide variety of companies – balances out the hectic everyday life of the capital Bern.

The most desirable locations ■

Muri b. Bern; Gümligen; Köniz with Wabern, Spiegel and Liebefeld; Münchenbuchsee, Ittigen and Bolligen: excellent living environment, very good transport links, attractive micro-locations

The most desirable locations ■ ■

Burgdorf, Lyss, Fraubrunnen Kirchberg, Utzenstorf Buren an der Aare

Market development

Market development

Bern’s mild climate, high quality of life and leisure, and rural fabric mean that it has developed into an attractive residential location. In the municipality of Muri bei Bern, the tax advantages and good living conditions resulting from its proximity to Bern have resulted in a consistently increasing rate of immigration.

No significant changes are expected to the currently steady interest rate levels.

Outlook

Outlook Demand for houses and properties in good locations will increase in the Bern Land region. A further increase in value is expected for building land.

Demand for properties in the upper price segment has not been curtailed, and prospective buyers are increasingly determining prices. Expectations of professional advice are increasing.

Price table Villa/Single-familiy house in CHF

Location

Bern City

Trend

Plot of land CHF/m2

Prime

1.8 – 5.0 Mio

9‘000 – 12‘000

1‘200 – 2‘500

Good

1.5 – 2.5 Mio

8‘000 – 10‘000

800 – 1‘200

800‘000 – 1.5 Mio

6‘000 – 9‘000

500 – 800

Prime

1.5 – 3.5 Mio

7‘000 – 10‘000

800 – 1‘000

Good

1.2 – 1.5 Mio

6‘000 – 7‘000

500 – 800

750‘000 – 900‘000

4‘500 – 6‘000

350 – 500

Ordinary

Bern Land

Trend Apartment CHF/m2

Ordinary

Trend

29

Bern EmmentalOberaargau

Seeland

The location

The location

The Oberaargau region forms the eastern corner of the canton of Bern, juts into the canton of Solothurn, and also borders on the cantons of Aargau and Lucerne. It is located on the main Bern-Zurich and Basel-Lucerne transport axes, which are well served with rail and motorway networks. This is a region of both rural idylls and vibrant cities, with rivers, meadows and striking views of the Alps.

Murten, a historic and hospitable town, is an inviting place to live and linger and is only a short journey from Bern, Fribourg, Biel and Yverdon. The numerous small, well-kept villages on both shores of the lake offer good housing and quality of life. Lyss with its transport hub and Seeland’s key administration location of Aarberg are the regional centres of Bernese Seeland, and are home to businesses from the creative, industrial and service industries.

The most desirable locations The most desirable locations ■ ■

Aarwangen: top location as a mid-point between Oensingen SO and Langenthal BE Langenthal: centre of Swiss tradition and international activities

■ ■

Villa districts in Bellmund, Port, Ipsach, Tauffelen, Gerolfingen, Morigen and Lyss Aarberg Murten, locations with direct lake access, Mont Vuilly, Greng

Market development Market development The export industry is very important for companies based in Oberaargau because most of their sales are exported abroad. To this day, Gotthelf continues to promote Swiss business. Motorex, Langenthal porcelain, Ammann Group, Girsperger furniture, Glas Trösch glass, etc..

Outlook The geographical location is ideal for a relaxed lifestyle and offers potential for customised living concepts, with sufficient reserves of building land for grand designs.

No significant changes are expected to the currently steady interest rate levels.

Outlook The high price policy in cities and their agglomerations has increased property prices, high demand can be expected in the future in rural areas with good links to centres. A further increase in value is expected for building land due to the shortage of available land.

Price table Villa/Single-familiy house in CHF

Location

Bern EmmentalOberaargau

Seeland

Trend

Plot of land CHF/m2

Prime

1.5 – 4.0 Mio

6‘000 – 8‘000

700 – 1‘000

Good

800‘000 – 1.3 Mio

4‘000 – 6‘000

450 – 700

Ordinary

600‘000 – 800‘000

3‘000 – 4‘000

300 – 500

Prime

1.5 – 3.5 Mio

7‘000 – 10‘000

800 – 1‘000

Good

1.2 – 1.5 Mio

6‘000 – 7‘000

500 – 800

750‘000 – 900‘000

4‘500 – 6‘000

350 – 500

Ordinary

30

Trend Apartment CHF/m2

Trend

Biel City

Thun

The location

The location

Biel is the regional and economic centre for Seeland, the Bernese Jura and even part of the canton of Solothurn.

Boasting a university of applied sciences and the most important Swiss centre for the watchmaking industry thanks to the Swatch Group headquarters and Rolex production facility, this is a global metropolis for watchmaking. Nidau is known for its wide range of small and medium enterprises and offers a large number of jobs. Grenchen (with its own airport) and Bettlach are business locations at the southern base of the Jura mountains, and the Aare river connects the region with the city of Solothurn and Lake Biel.

Thun – the gateway to the Bernese Oberland. Its central location is popular with visitors and those seeking recreation and relaxation. A perfect starting point for unforgettable days. Whether Bern, Brig or Gstaad, everything is only half an hour away by train or car. Right on Lake Thun and the Aare river, the historic old town and castle hill invite visitors to linger, and its mezzanine-level shopping facilities make it unique in Europe.

The most desirable locations ■

The most desirable locations ■ ■

■

Beaumont district and Evilard: villas and houses with views of Lake Biel and the Mittelland; Ligerz, Alfermee and Twann with direct access to the lake Nidau: villas and houses right on the canal

Market development No significant changes are expected to the currently steady interest rate levels.

City of Thun: a central location with excellent public transport links and the well-kept city Lake Thun right shore: due to the partially unobstructable lake view and incomparable alpine panorama

Market development Despite consistently high demand, prices have not exploded of late. This due to traditional construction methods, as well as to sometimes expensive development in hillside locations.

The Thun region has potential for project developments.

Outlook

Outlook The city of Biel is seeking a change of image from the council housing previously promoted to a business-oriented central city, and will be repositioning itself accordingly. The shortage of building land will also mean an increase in its value.

The trend is still consistently rising, but is certainly not comparable with previous years.

Price table Villa/Single-familiy house in CHF

Location

Biel City

Trend

Plot of land CHF/m2

Prime

1.5– 3.5 Mio

7‘000 – 10‘000

800 – 1‘000

Good

1.2 – 1.5 Mio

6‘000 – 7‘000

500 – 800

750‘000 – 900‘000

4‘500 – 6‘000

350 – 500

Prime

1.0 – 2.0 Mio

8‘000 – 12‘000

750 – 1‘200

Good

800‘000 – 1.0 Mio

7‘000 – 9‘000

550 – 800

Ordinary

600‘000 – 900‘000

6‘000 – 8‘000

350 – 600

Ordinary

Thun

Trend Apartment CHF/m2

Trend

31

Interlaken

Gstaad

The location

The location

Interlaken with its international flair is the tourist hub of the Bernese Oberland. The top ski areas of Grindelwald, Wengen and Murren and the locations between Lakes Thun and Brienz attract tourists from all over the world practically all year round. The region, easy to reach via public transport, is one of the most popular holiday destinations in Switzerland; demand for holiday properties is correspondingly high.

Luxury living in the most exclusive corners of the world. The Saanenland is probably one of the most well kept regions in the Swiss Alps with its protected agricultural landscape and the beautiful Chalets that have maintained the unique old style and features. The valley is home to one of the nicest ski areas in Switzerland, which offers a great infrastructure, not only in the winter, but also in the summer with its walking and hiking trails.

The most desirable locations The most desirable locations ■ ■

Grindelwald: glacier village at the foot of the Eiger Interlaken: the international small town

■

Market development The market remains static in the designated holiday region, and a decline in foreign demand is affecting time on the market. The new situation for second homes means that there is currently brisk construction activity to complete approved projects. Prospective buyers will find a wide range of properties in all price brackets.

Outlook The reduction in the future availability of second homes is likely to create an increase in property prices in the medium term.

■

Gstaad: The word’s most renowned ski resort in Switzerland and the smartest resort in the Bernese Oberland. A region that spreads across five main valleys and boosts 220km of ski runs Gruben, Wispile and particularly Oberbort: with the new Alpina Hotel and the 100-year-old Palace Hotel

Market development The Gstaad market has been stable for the past two years following a market correction. Prices increased in the first quarter of 2013. Most banks fear the bubble effect for the Gstaad region but the impact does not affect the top end of the market where properties tick all the boxes.

Outlook The trend also shows no sign of decreasing in 2014. There will be no drop in demand for exclusive chalets with high-quality features in top locations. However, overpriced properties in average locations will continue to be difficult to sell.

Price table Villa/Single-familiy house in CHF

Location

Interlaken

32

Trend

Plot of land CHF/m2

Prime

3.0 – 8.0 Mio

15‘000 – 20‘000

1‘000 – 1‘200

Good

1.5 – 3.0 Mio

9‘000 – 10‘000

600 – 1‘000

750‘000 – 1.25 Mio

6‘000 – 8‘000

400 – 500

Prime

20.0 – 50.0 Mio

35‘000 – 50‘000

–

Good

6.0 – 15.0 Mio

20‘000 – 30‘000

–

Ordinary

3.0 – 5.0 Mio

8‘000 – 12‘000

–

Ordinary

Gstaad

Trend Apartment CHF/m2

Trend

The Zurich region Engel & Völkers Affoltern Platinum Immobilien AG Im Winkel 1 8910 Affoltern am Albis Phone +41-44-723 12 12 Affoltern@engelvoelkers.com Engel & Völkers Baden E&V Liegenschaften AG Vordere Metzggasse 6 5402 Baden Phone +41-56-200 88 77 Baden@engelvoelkers.com Engel & Völkers Bülach Immobilien Zurich Nord AG Poststrasse 1 8180 Bülach Phone +41-43-500 38 38 ZuerichNord@engelvoelkers.com Engel & Völkers Dietikon Platinum Immobilien AG Bremgartnerstrasse 11 8953 Dietikon Phone +41-43-500 25 25 Dietikon@engelvoelkers.com Engel & Völkers Küsnacht Wohnen Zürichsee AG Oberwachtstrasse 6 8700 Küsnacht Phone +41-43-210 92 30 Kuesnacht@engelvoelkers.com Engel & Völkers Rapperswil Wohnen Zürichsee AG Fischmarktstrasse 12 8640 Rapperswil Phone +41-43-210 92 20 Rapperswil@engelvoelkers.com Engel & Völkers Rüti Happy Residence AG Rapperswilerstrasse 7 8630 Rüti Phone +41-55-533 04 50 ZuercherOberland@engelvoelkers.com

The region and its special characteristics Offering a unique quality of life in the Swiss Central Plateau, Zurich is a region with many advantages. As a business location, Zurich offers low taxes, educational facilities and a highly qualified workforce. The Zurich region represents an attractive overall package, with Lake Zurich, urban diversity and the nearby mountains. International studies confirm this too: Zurich is always ranked highly for education and in surveys on quality of life. The international, multi-award-winning airport in Kloten is just a few kilometres from the city centre. The well-designed rail network provides reliable transport for local people, tourists and visitors. For those who prefer to travel by car, the region is well served by motorways.

In the rush hour, however, people often prefer to travel into the city by train to avoid unnecessary traffic chaos. Zurich is Switzerland's largest city. The canton has a total population of 1.4 million and is Switzerland's most densely populated region with 813 inhabitants per km2. There is therefore increasing pressure on the attractive but limited range of residential property. However, the development of the agglomerations in the Zurich region means that buyers' dreams can still come true. Zurich's quality of life and its cultural and culinary diversity are highly rated by local people and visitors alike.

Engel & Völkers Wallisellen Immobilien Zurich Nord AG Opfikonerstrasse 1 8304 Wallisellen Phone +41-43-500 68 68 Wallisellen@engelvoelkers.com Engel & Völkers Winterthur Immobilien Zurich Nord AG Obertor 7 8400 Winterthur Phone +41-43-500 64 64 Winterthur@engelvoelkers.com Engel & Völkers Zürichberg Wohnen Zürichsee AG Gemeindestrasse 51 8032 Zürich Phone +41-43-210 92 40 Zuerichberg@engelvoelkers.com Engel & Völkers Zurich Paradeplatz Zurich Urban Living AG Claridenstrasse 43 8002 Zürich Phone +41-43-888 11 22 ZuerichParadeplatz@engelvoelkers.com Engel & Völkers Zürichsee Thalwil Platinum Immobilien AG Gotthardstrasse 26 8800 Thalwil Phone +41-44-533 12 12 ZuerichseeThalwil@engelvoelkers.com

33

Zurich City

Gold Coast

The location

The location

Zurich is an important economic but also cultural and social centre for Switzerland. The city – with its unique location on Lake Zurich, the Alps on the horizon, many local recreation areas and urban diversity – forms an attractive overall package. It is not just the infrastructure and shopping and leisure activities which are exceptional: Zurich continually appears in a leading position in international studies regarding quality of life.

When the sun sets on Lake Zurich in the evening, the right shore of the lake is bathed in a golden glow. This is the origin of the name Gold Coast, now also reflected in the area's luxurious lifestyle. This area features numerous villas and properties at the absolute top end of the market and is favoured by international VIPs. The rapid transport connections to the city of Zurich and Zurich-Kloten Airport make the right shore of Lake Zurich a popular upmarket residential location.

The most desirable locations The most desirable locations ■ ■

The classics: city centre with Enge/Wollishofen and Zurichberg with Seefeld The newcomers: the trendy Zurich West district and urban Wiedikon and Werd

■

Zollikon, Küsnacht, Herrliberg

Market development

In the Zurich city area, the price increase is back to its long-term average of around 3 %. Net immigration remains high, but is increasingly being offset by the significantly increased availability of newly constructed apartments.

Planning of new projects has become more restrained.

The uncontested attractiveness of the municipalities on the Gold Coast keeps property prices here above the national average. In the luxury segment, reticence on the part of buyers means that some properties are staying on the market for longer, with some price adjustments. The trend for building terraced apartments to high quality standards is still ongoing.

Outlook

Outlook

The city’s attractiveness means that demand for property will persist, although the financial and socio-political environment will put the brakes on prices.

The demand for affordable residential property is stable.

New construction projects are adding to the range of properties on offer.

Market development

Price table Villa/Single-familiy house in CHF

Location

Zurich City

Gold Coast

34

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

4.0 – 8.0 Mio

13‘000 – 17‘000

3‘000 – 3‘800

Good

2.0 – 4.0 Mio

10‘000 – 13‘000

2‘300 – 3‘000

Ordinary

1.1 – 2.0 Mio

7‘000 – 10‘000

1‘700 – 2‘300

Prime

ab 5.0 Mio

16‘000 – 20‘000

3‘400 – 3‘800

Good

3.5 – 5.0 Mio

14‘000 – 16‘000

2‘600 – 3‘400

Ordinary

2.2 – 3.5 Mio

11‘000 – 14‘000

1‘400 – 2‘600

Trend

Lake Zurich left shore

Limmattal & Knonaueramt

The location

The location

As well as a high standard of living and tax benefits, the municipalities on the left shore of Lake Zurich benefit from a wide range of recreational opportunities and idyllic paths along the banks of the Sihl river. The lakeside municipalities extend from Kilchberg to Horgen with fantastic views of Lake Zurich and the Alps. Further inland, Hirzel, Hütten and Schönenberg recall an earlier age and add to the diversity of the region.

A first-class location with perfect transport connections and dynamic districts, this area offers a high quality of life for people who like urban living and closeness to Zurich, but also enjoy rural surroundings. At the heart of the up-and-coming Limmat valley, new districts are being developed in Dietikon, such as Limmatfeld, dominated by the 80-metre-high Limmat Tower.

The most desirable locations

The most desirable locations ■ ■ ■

Kilchberg: a highly sought-after location due to its proximity to Zurich and the lake Rüschlikon: lowest tax rate in the canton of Zurich and proximity to the lake

■

Uitikon Waldegg: at the foot of the Uetliberg, with low taxation Aeugst am Albis: wonderfully situated on Lake Turler with one of the most attractive tax rates in Knonaueramt and a superb panoramic view

Market development

Market development

The demand for properties in exclusive locations continues, while properties in the lower price segment are in some cases stagnating and subject to a lower rate of price increase.

Property owners and property buyers should take advantage of the optimum conditions at this time.

The Swiss property markets are generally enjoying positive development with favourable basic conditions. While prices of detached houses and freehold apartments are levelling off at a high level, apartment buildings are seeing a significant price increase. However, the very active building markets and the tighter conditions on the mortgage market are also reducing purchasers' willingness to pay.

Outlook In 2015, demand and prices are expected to remain stable.

However, it is important to set a realistic price to guarantee a successful sale.

Outlook There is still a healthy demand for residential property.

Price table Villa/Single-familiy house in CHF

Location

Lake Zurich left shore

Limmattal & Knonaueramt

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

4.0 – 8.0 Mio

15‘000 – 20‘000

3‘000 – 4‘000

Good

2.5 – 4.0 Mio

11‘000 – 15‘000

2‘200 – 3‘000

Ordinary

1.0 – 2.5 Mio

7‘500 – 11‘000

1‘800 – 2‘200

Prime

2.2 – 6.0 Mio

9‘500 – 14‘000

2‘000 – 3‘500

Good

1.5 – 2.1 Mio

8‘000 – 9‘400

1‘500 – 1‘900

Ordinary

1.1 – 1.4 Mio

5‘500 – 7‘900

750 – 1‘400

Trend

35

Baden / Bremgarten

Zurich Nord

The location

The location

The two districts of Baden and Bremgarten, located in the eastern part of the canton of Aargau, are popular residential regions for families and commuters in the greater Zurich area. Unspoilt natural beauty, neatly maintained villages and towns, a strong economy and good transport links with Switzerland's major cities fuel the high demand for residential property in this region.

Zurich North covers the region to the north of the city of Zurich around Zurich-Kloten airport, as well as the Zurich Unterland and the exciting Furttal and Wehntal region, located on the western end of the canton of Zurich and bordering Aargau. All the towns and municipalities in this region benefit from their proximity to and good links with the city of Zurich and the international airport in Kloten.

The most desirable locations

The most desirable locations

■ ■

Baden/Wettingen: economic centre with excellent infrastructure Mutschellen/Rohrdorferberg: well-kept villages in intact natural surroundings near Zurich

■

Augwil, Buchs, Neerach, Winkel: rural municipalities with very good views, good connections and infrastructure and attractive tax rates

Market development Market development The price trend has become somewhat less dynamic. Almost all locations saw moderate price increases last year, but stricter regulatory measures have had a dampening effect.

Housing remains in high demand.

This region has experienced huge growth in recent years and is drawing ever closer to Zurich thanks to its good links with the city, resulting in an increased level of attractiveness. New construction activity has also significantly increased, with demand still very high in this region.

Outlook

Outlook

We are assuming that the upwards trend in the asking prices for residential property will continue to weaken. We expect a sideways price trend in the most expensive segment.

This region will remain very attractive due to its proximity to the airport and the prime locations to be found here. The prices will stabilise at a high level.

Price table Villa/Single-familiy house in CHF

Location

Baden / Bremgarten

Zurich Nord: Zurich Unterland, Furttal/ Wehntal 36

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

1.3 – 4.0 Mio

6‘000 – 11‘000

750 – 1‘500

Good

900‘000 – 1.5 Mio

5‘500 – 7‘500

550 – 800

Ordinary

700‘000 – 1.2 Mio

3‘500 – 5‘500

400 – 600

Prime

2.0 – 4.0 Mio

9‘000 – 12‘000

1‘200 – 1‘500

Good

1.3 – 2.0 Mio

7‘500 – 9‘000

900 – 1‘200

Ordinary

1.1 – 1.3 Mio

5‘500 – 7‘500

700 – 900

Trend

Winterthur

Pfannenstiel / Glattal

The location

The location

With around 170,000 inhabitants, the Winterthur region is an independent centre in the Zurich economic area.

Interesting jobs, attractive types of living, a variety of leisure and recreation opportunities, excellent educational provision (various secondary schools, the Zurich University of Applied Sciences, the International School etc.) and a wide range of cultural activities (museums, theatres, cabarets) ensure a high quality of life in the Winterthur region.

The region is particularly noted for its proximity to the ‘boom town’ of Zurich. The city is a stone’s throw away and relatively good property prices are still enjoyed here. In addition, the international airport – an important part of the Zurich economic area – is close by. The Glattal valley with the Glattal Valley Railway makes distances shorter, which makes many areas even more attractive as residential destinations.

The most desirable locations

The most desirable locations

■ ■

City of Winterthur: Lindberg, Inneres Lind and Veltheim Surrounding area: Seuzach, Hettlingen, Wiesendangen and Brutten

■ ■

Pfannenstiel: the high mountain range between the Gold Coast and Lake Greifen Wallisellen with its good infrastructure and connections to the city

Market development Market development A particular feature of the city of Winterthur is attractive housing at fair prices. Fans of rural living who do not want to give up the benefits of a city will find rich pickings in the surrounding municipalities.

Outlook Despite persistently high 'immigration' from elsewhere in Switzerland and from abroad and the attractiveness of the urban lifestyle, property prices in and around Winterthur will barely increase in 2015. This is primarily due to stricter regulatory requirements by the banks regarding property financing for private individuals.

In recent years this region has successfully benefited from the lack of available housing in the city of Zurich, with many solvent buyers settling here. The region remains attractive, in particular thanks to its excellent infrastructure, fast connections to Zurich and beautiful residential areas.

Outlook Stable prices and a high demand for high-end property are expected to persist throughout the area in 2015.

Price table Villa/Single-familiy house in CHF

Location

Winterthur

Pfannenstiel / Glattal

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

2.0 – 5.0 Mio

8‘500 – 11‘000

1‘200 – 1‘500

Good

1.5 – 2.0 Mio

7‘500 – 8‘500

900 – 1‘200

Ordinary

1.2 – 1.5 Mio

6‘300 – 7‘500

700 – 900

Prime

2.0 – 3.5 Mio

10‘000 – 13‘000

1‘200 – 1‘500

Good

1.5 – 2.0 Mio

8‘500 – 9‘000

1‘000 – 1‘200

Ordinary

1.2 – 1.5 Mio

6‘500 – 8‘500

900 – 1‘000

Trend

37

Zurich Oberland The location The beautiful Zürcher Oberland is a restful residential area with good connections thanks to its constantly growing infrastructure. From mountain landscape vistas to an idyllic home on the edge of the forest or a stunning view of the lake, the versatile Zürcher Oberland has everything your heart desires, so you can create the home of your dreams. In short, infrastructure combined with fabulous scenery – that's the Zürcher Oberland.

The most desirable locations ■ ■

Uster: top infrastructure amid a magnificent, varied landscape Pfaffikon ZH: wonderful, attractive location near the lake with excellent transport links

Market development The demand for residential property in the Zürcher Oberland has risen steadily over the past few years. We are expecting further stable price development in 2015. Beautiful views and properties with good transport connections and/or infrastructure that are also close to natural surroundings are particularly popular.

Outlook We are expecting prices to remain stable thanks to the region's beautiful scenery, proximity to urban centres and moderate property prices.

Price table Villa/Single-familiy house in CHF

Location

Zurich Oberland

Trend

Plot of land CHF/m2

Prime

2.2 – 4.0 Mio

8‘000 – 10‘500

1‘300 – 1‘700

Good

1.1 – 2.2 Mio

6‘000 – 8‘000

1‘000 – 1‘300

600‘000 – 1.1 Mio

4‘500 – 6‘000

350 – 1‘000

Ordinary

38

Trend Apartment CHF/m2

Trend

Principality of Liechtenstein Engel & Vรถlkers Vaduz Heinz Senn Immobilien Herrengasse 7 LI-9490 Vaduz Phone +423-231 30 03 Vaduz@engelvoelkers.com

The region and its special characteristics The Rhine valley region is very close to Lake Constance and to cities like St. Gallen, Zurich and Munich, and therefore still in the heart of Europe. Switzerland's closest neighbours, South Germany and Austria, are also very close by. An independent state, Liechtenstein borders Switzerland in the west. Liechtenstein is the only region with no motorway. This is not necessarily a disadvantage, however, as the Swiss A13 motorway runs directly along the left bank of the Rhine. Liechtenstein is therefore very easy to reach. Another way to explore the Liechtenstein region is by public transport. Many commuters cross the border every day on public transport from Switzerland to work in the Liechtenstein region. The financial centre of Vaduz is internationally renowned, as are many international industrial companies from Vaduz and elsewhere in Liechtenstein. These include companies in the energy/environment and tool manufacturing industries. Liechtenstein is one of the smallest states in the world with a settlement area of just 11 %. It has a population of around 37,000.

About one third of the population are foreigners such as Swiss, Austrian or German nationals. As many as 10,000 people travel from Switzerland to neighbouring Liechtenstein every day to work. Liechtenstein is best known for its historic buildings such as its old houses, inns, castles, palaces and bridges. Many of these are listed and open to visitors.

39

Principality of Liechtenstein The location This small principality at the heart of the Rhine valley is still one of the most attractive and safest places on the planet to live and work. The beautiful mountain landscape is combined with an innovative economic and financial centre enjoying very low taxes compared to the surrounding nations. It’s ideal location at the heart of the most important centres in Europe offers an extremely high quality of life with optimum transport connections.

The most desirable locations ■ ■

Vaduz: extremely high living conditions, museums, financial centre, princely residence Schaan: extremely attractive residential areas, combining urbanity with tranquillity

Market development The property market in Liechtenstein is introverted, with only permanent residents able to purchase property. Low interest rates and foreign immigrants triggered brisk apartment construction activity which is now slowly levelling off. However, prospective buyers in prime locations are faced with a shortage of supply.

Outlook More than 50% of the population are still renting, and brisk demand for affordable property ownership persists.

However, prices remain at a high level.

Price table Villa/Single-familiy house in CHF

Location Principality of Liechtenstein

40

Trend Apartment CHF/m2

Trend

Plot of land CHF/m2

Prime

4. – 15.0 Mio

12‘000 – 20‘000

2‘000 – 5‘000

Good

3.0 – 10.0 Mio

10‘000 – 14‘000

1‘250 – 1‘650

Ordinary

1.0 – 4.0 Mio

7‘000 – 10‘000

950 – 1‘100

Trend

Purchase of property and holiday homes by foreigners

St. Gallen Lucerne Pfäffikon Bern

Chur

Davos

Thun Flims

Interlaken Suisse romande

Gstaad

St. Moritz Scuol

Ascona Lugano

Switzerland only allows foreigners to purchase property to a limited extent. Essentially, any foreigner with a valid residence permit can purchase a main residence, which he or she must live in themselves. This means that the actual place of residence and the residence for tax purposes must be moved to the location of the purchased property. As a general rule, therefore, foreigners are prohibited from buying second homes and holiday homes.

However, various tourist cantons have secondary residence quotas which are excluded from the regulation regarding foreign purchasers. This special exception allows a limited number of holiday homes to be sold to foreigners every year. Thanks to this special rule, foreigners can purchase holiday homes in the following cantons: Appenzell Ausserrhoden, Bern, Fribourg, Glarus, Graubünden, Jura, Lucerne, Neuchâtel, Nidwalden, Obwalden, St. Gallen, Schwyz, Ticino, Uri, Vaud, Valais. If you are interested in a second home or holiday home or have questions relating to the purchase of a main residence, our Engel & Völkers shops will be happy to arrange an in-depth advisory consultation with you.

41

Engel & Völkers 45 Locations in Switzerland and Principality of Liechtenstein Engel & Völkers Wohnen Schweiz Poststrasse 26 · 6300 Zug Phone +41-41-500 06 06 Fax +41-41-500 06 07 schweiz@engelvoelkers.com www.engelvoelkers.ch

Einsiedeln Hauptstrasse 28 · 8840 Einsiedeln Phone +41-55-412 71 56 Fax +41-55-412 71 58 schwyz@engelvoelkers.com www.engelvoelkers.ch/zuerichseefreienbach

Montreux Grand-Rue 82 · 1820 Montreux Phone +41-21-533 13 33 Fax +41-21-533 13 34 montreux@engelvoelkers.com www.engelvoelkers.ch/suisseromande

Aarau Kronengasse 2 · 5000 Aarau Phone +41-62-825 27 90 Fax +41-62-825 27 91 aarau@engelvoelkers.com www.engelvoelkers.ch/aarau

Flims Promenada 37 · 7018 Flims-Waldhaus Phone +41-81-911 33 82 Fax +41-81-911 33 85 flims@engelvoelkers.com www.engelvoelkers.ch/flims

Murten Rathausgasse 21 · 3280 Murten Phone +41-26-655 10 30 Fax +41-26-655 10 31 murten@engelvoelkers.com www.engelvoelkers.ch/seeland

Affoltern Im Winkel 1 · 8910 Affoltern am Albis Phone +41-44-723 12 12 affoltern@engelvoelkers.com www.engelvoelkers.ch/dietikon

Frauenfeld Freiestrasse 17 · 8500 Frauenfeld Phone +41-52-723 30 40 Fax +41-52-723 30 41 frauenfeld@engelvoelkers.com www.engelvoelkers.ch/frauenfeld

Pfäffikon SZ Rebstockstrasse 4 · 8808 Pfäffikon SZ Phone +41-43-888 11 11 Fax +41-43-888 11 12 schwyz@engelvoelkers.com www.engelvoelkers.ch/zuerichseefreienbach

Ascona Piazza G. Motta 57 · 6612 Ascona Phone +41-91-785 14 80 Fax +41-91-785 14 85 ascona@engelvoelkers.com www.engelvoelkers.ch/ascona

Geneva Quai des Bergues 29 · 1201 Geneva Phone +41-22-716 22 66 Fax +41-22-716 22 67 genf@engelvoelkers.com www.engelvoelkers.ch/suisseromande

Rapperswil Fischmarktstrasse 12 · 8640 Rapperswil Phone +41-43-210 92 20 Fax +41-43-210 92 21 rapperswil@engelvoelkers.com www.engelvoelkers.com/zuerichgoldkueste

Baden Vordere Metzggasse 6 · 5402 Baden Phone +41-56-200 88 77 Fax +41-56-200 88 70 baden@engelvoelkers.com www.engelvoelkers.ch/baden

Grenchen Marktstrasse 3 · 2540 Grenchen Phone +41-32-333 10 20 Fax +41-32-333 10 21 grenchen@engelvoelkers.com www.engelvoelkers.ch/seeland

Rheinfelden Marktgasse 43 · 4310 Rheinfelden Phone +41-61-813 37 33 Fax +41-61-813 37 34 rheinfelden@engelvoelkers.com www.engelvoelkers.ch/nordwestschweiz

Basel Grenzacherstrasse 4 · 4058 Basel Phone +41-61-666 62 00 Fax +41-61-666 62 01 basel@engelvoelkers.com www.engelvoelkers.ch/nordwestschweiz

Gstaad Lauenenstrasse 19 · 3780 Gstaad Phone +41-33-655 65 05 Fax +41-33-655 65 06 gstaad@engelvoelkers.com www.engelvoelkers.ch/gstaad

Rorschach Hauptstr. 53 · 9400 Rorschach Phone +41-71-845 65 50 Fax +41-71-845 65 51 rorschach@engelvoelkers.com www.engelvoelkers.ch/rorschach

Bern Mettlengässli 2 · 3074 Muri b. Bern Phone +41-31-950 22 11 Fax +41-31-950 22 12 bern@engelvoelkers.com www.engelvoelkers.ch/bern

Interlaken Höheweg 72 · 3800 Interlaken Phone +41-33-822 70 70 Fax +41-33-821 03 19 interlaken@engelvoelkers.com www.engelvoelkers.ch/interlaken

Rüti Rapperswilerstrasse 7 · 8630 Rüti Phone +41-55-533 04 50 Fax +41-55-533 04 59 zuercheroberland@engelvoelkers.com www.engelvoelkers.ch/zuerichoberland

Biel Hauptstrasse 59 · 2560 Nidau Phone +41-32-333 20 66 Fax +41-32-333 20 67 biel@engelvoelkers.com www.engelvoelkers.ch/seeland

Kreuzlingen Hauptstr. 64 · 8280 Kreuzlingen Phone +41-71-677 18 18 Fax +41-71-677 18 19 kreuzlingen@engelvoelkers.com www.engelvoelkers.ch/kreuzlingen

Schaffhausen Bachstrasse 13 · 8200 Schaffhausen Phone +41-52-630 70 10 Fax +41-52-630 70 11 schaffhausen@engelvoelkers.com www.engelvoelkers.ch/schaffhausen

Bülach Poststrasse 1 · 8180 Bülach Phone +41-43-500 38 38 Fax +41-43-500 38 39 zuerichnord@engelvoelkers.com www.engelvoelkers.ch/zuerichnord

Küsnacht Oberwachtstrasse 6 · 8700 Küsnacht Phone +41-43-210 92 30 Fax +41-43-210 92 31 kuesnacht@engelvoelkers.com www.engelvoelkers.com/zuerichgoldkueste

Scuol Porta 7 · 7550 Scuol Phone +41-81-860 37 42 scuol@engelvoelkers.com www.engelvoelkers.ch/scuol

Chur Masanserstrasse 21 · 7000 Chur Phone +41-81-250 55 85 Fax +41-81-250 55 87 chur@engelvoelkers.com www.engelvoelkers.ch/chur

Liestal Kanonengasse 57 · 4410 Liestal Phone +41-61-666 62 06 Fax +41-61-666 62 07 liestal@engelvoelkers.com www.engelvoelkers.ch/nordwestschweiz

Solothurn Friedhofplatz 5 · 4500 Solothurn Phone +41-32-322 13 13 Fax +41-32-322 37 37 solothurn@engelvoelkers.com www.engelvoelkers.ch/solothurn

Davos Promenade 83 · 7270 Davos Platz Phone +41-81-410 00 30 Fax +41-81-410 00 39 davos@engelvoelkers.com www.engelvoelkers.ch/davos

Lugano Riva Paradiso 10 · 6900 Lugano-Paradiso Phone +41-91-980 42 60 Fax +41-91-980 42 59 lugano@engelvoelkers.com www.engelvoelkers.ch/lugano

St. Gallen Spisergasse 23 · 9000 St. Gallen Phone +41-71-730 09 20 Fax +41-71-730 09 24 stgallen@engelvoelkers.com www.engelvoelkers.ch/stgallen

Dietikon Bremgartnerstrasse 11 · 8953 Dietikon Phone +41-43-500 25 25 Fax +41-43-500 25 26 Dietikon@engelvoelkers.com www.engelvoelkers.ch/dietikon

Lucerne Pilatusstrasse 41 · 6003 Lucerne Phone +41-41-410 66 91 Fax +41-41-410 66 92 luzern@engelvoelkers.com www.engelvoelkers.ch/luzern

St. Moritz Via Maistra 39 · 7500 St. Moritz Phone +41-81-837 51 51 Fax +41-81-837 51 50 stmoritz@engelvoelkers.com www.engelvoelkers.ch/stmoritz

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Thun Obere Hauptgasse 40 · 3600 Thun Phone +41-33-227 30 00 Fax +41-33-227 30 09 thun@engelvoelkers.com www.engelvoelkers.ch/thun

Wil Toggenburgerstrasse 47 · 9500 Wil SG Phone +41-71-911 30 33 Fax +41-71-911 30 34 Wil@engelvoelkers.com www.engelvoelkers.ch/wil

Zurich Paradeplatz Claridenstrasse 43 · 8002 Zurich Phone +41-43-888 11 22 Fax +41-43-888 11 23 zuerichparadeplatz@engelvoelkers.com www.engelvoelkers.ch/zuerichparadeplatz

Vaduz Herrengasse 7 · LI-9490 Vaduz Phone +41-81-523 70 70 Rheintal@engelvoelkers.com www.engelvoelkers.li

Winterthur Obertor 7 · 8400 Winterthur Phone +41-43-500 64 64 Fax +41-43-500 64 65 winterthur@engelvoelkers.com www.engelvoelkers.ch/zuerichnord

Zurichsee Thalwil Gotthardstrasse 26 · 8800 Thalwil Phone +41-44-533 12 12 Fax +41-44-533 12 13 ZuerichseeThalwil@engelvoelkers.com www.engelvoelkers.ch/zuerichseethalwil

Wallisellen Opfikonerstrasse 1 · 8304 Wallisellen Phone +41-43-500 68 68 Fax +41-43-500 68 69 wallisellen@engelvoelkers.com www.engelvoelkers.ch/zuerichnord

Zug Neugasse 15 · 6301 Zug Phone +41-41-728 77 11 Fax +41-41-728 77 10 zug@engelvoelkers.com www.engelvoelkers.ch/zug

Weinfelden Pestalozzistrasse 4 · 8570 Weinfelden Phone +41-71-663 30 00 Fax +41-71-663 30 01 weinfelden@engelvoelkers.com www.engelvoelkers.ch/weinfelden

Zurichberg Gemeindestrasse 51 · 8032 Zurich Phone +41-43-210 92 40 Fax +41-43-210 92 41 zuerichberg@engelvoelkers.com www.engelvoelkers.com/zuerichgoldkueste

www.engelvoelkers.ch www.engelvoelkers.li

Schaffhausen Schaffhausen Kreuzlingen Kreuzlingen Rheinfelden Rheinfelden

Frauenfeld Frauenfeld

Basel Basel Liestal Liestal

Baden Baden

Weinfelden Weinfelden Rorschach Rorschach Wil Winterthur Winterthur St.St. Gallen Gallen Wallisellen Wallisellen

Bülach Bülach

Dietikon Dietikon Aarau Aarau Zürich Zurich Solothurn Solothurn Grenchen Grenchen

Affoltern a.A.

Rüti Rüti Küsnacht Küsnacht Thalwil Thalwil Rapperswil Rapperswil Pfäffikon Freienbach Zug Zug

Biel Biel

Vaduz Vaduz Liechtenstein/Rheintal Liechtenstein/Rheintal

Einsiedeln Einsiedeln Lucerne Lucerne

Bern Bern Murten Murten

Chur Chur Scuol Scuol Flims Flims

Davos Davos

Thun Thun Interlaken Interlak en

Gstaad Gstaad

Moritz St.St. Moritz

Montreux Montreux

Nyon

Geneva Geneva Ascona Ascona

Lugano Lugano

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Prime address for prime addresses!

ENGEL & VÖLKERS · Switzerland Engel & Völkers Wohnen Schweiz AG Master Licence Partner of ENGEL & VÖLKERS Residential GmbH, Hamburg Poststrasse 26 · CH-6300 Zug Phone +41-41-500 06 06 · Fax +41-41-500 06 07 www.engelvoelkers.ch