City or countryside: where to live?
Going forward, property and rental prices in city centers will continue to move higher at an above-average pace. If you take a closer look and include other major cost factors, such as wealth and income taxes as well as health insurance premiums, you will see a slightly different “real estate landscape.” For example, if you move to Altdorf in the canton of Uri, you will have more money in your wallet at the end of every month than in almost any other larger location in Switzerland. In a direct comparison with Geneva, which is known as an expensive location, costs in the capital city of Uri are about one third lower. The middle of the pack is made up of cantons such as Baselland, St. Gallen, Lucerne or Graubünden. Overall costs are also low in peripheral regions in, for instance, Obwalden, Glarus and Appenzell Innerrhoden. Schwyz also features low costs, which is probably due to the low tax rate in the canton.
But as a rule, the savings potential for households with average purchasing power is limited. This is because in municipalities with low tax rates the real estate prices are often high. In other words, a good portion of the tax advantage tends to be offset by higher purchase prices or housing costs. Only with very high incomes can the overall balance be significantly improved by relocating to a tax-efficient location. For a comprehensive comparison of locations, you should also consider the jobs that are available. If you move to Appenzell Innerrhoden or Uri, then you can usually expect to have a longer commute.