New record prices in the luxury real estate market

Zurich, 6 May 2026 – In 2025, luxury real estate prices across the 31 top Swiss locations we analyzed rose by an average of more than 3 percent. This represents a slowdown compared with the previous year and was also slightly weaker than price growth in the broader owner-occupied housing market. The luxury real estate market in the mountain regions stands out: With a 6 percent increase, price growth was even stronger than in the previous year. This development was driven primarily by affluent buyers from abroad.

Exclusive locations and prime sites shape price levels in the luxury real estate market

Three of the most expensive luxury real estate locations are mountain destinations. St. Moritz tops the ranking, with average prices of around 52,000 Swiss francs per square meter. In Gstaad and Verbier, buyers should expect average prices of about 45,000 Swiss francs per square meter. The highest prices outside the mountain regions are achieved in Cologny, on Lake Geneva, at an average of 43,000 Swiss francs per square meter. Küsnacht, at an average of 37,000 Swiss francs per square meter, is the most expensive luxury real estate location on Lake Zurich.

For a 150-square-meter condominium in a good location with a high-end fit-out standard, buyers in Switzerland’s luxury municipalities should expect to pay an average of 4 to 5 million Swiss francs. For single-family homes with more than 1,000 square meters of land, prices quickly exceed 10 million Swiss francs.

Price plateau reached

Over the past five years, luxury real estate prices on average have risen by just under 5 percent annually. One key driver of prices was the strong performance of stock markets in recent years, which triggered a sharp rise in wealth. Switzerland currently has about 50 percent more taxpayers with assets of more than 10 million Swiss francs than it did in 2019, or an increase of nearly 10,000. Recurring geopolitical unrest has also kept the Swiss real estate market highly attractive to buyers from abroad.

Growth in domestic wealth and the strong appeal of Swiss luxury properties to foreign buyers are likely to continue. Even so, we expect price growth in 2026 to be weaker than in recent years. Weak economic conditions and declining affordability for luxury condominiums in the mid-single-digit millions range are likely to weigh on demand. In the primary-home markets on Lake Geneva and Lake Zurich, a price plateau has recently already been reached in many places.

International comparison: Traditional locations return to focus

Supported by the strong Swiss franc, St. Moritz also leads the price ranking among international locations. Monaco ranks second, while Aspen (probably the best-known ski destination in the United States) comes in third. In these three destinations, average prices for luxury real estate are at least 60,000 US dollars per square meter. In the best micro-locations, six-figure prices per square meter are no longer uncommon.

Globally, the strongest price increases in the luxury segment in 2025 were recorded in the Middle East. Going forward, however, global demand for luxury properties is likely to increasingly refocus on classic luxury locations with high political stability. Switzerland therefore remains a magnet for international buyers in the luxury segment.

Regional luxury markets in Switzerland

Zurich/Zug: Demand for luxury real estate is driven primarily by high-income expats. In 2025, weaker employment growth in the Zurich region noticeably dampened demand, while momentum in the Zug area continues. Asking prices have recently come under increasing scrutiny in the transaction market. Given weak economic conditions, willingness to pay for luxury properties is likely to stagnate going forward.

Lake Geneva: The strongly international luxury property market has recorded solid, though below-average, price increases overall in recent years. However, the success of commodity trading firms is strengthening willingness to pay for luxury properties on Lake Geneva. UBS real estate economists expect slightly rising demand from the Middle East to generate renewed upward pressure on prices.

Ticino: Prices in Switzerland’s southern canton stagnated last year. The local luxury real estate market is characterized by long selling periods. Anyone looking to sell a luxury property under time pressure must therefore expect price discounts. However, affluent new arrivals from Italy and the solid performance of Lugano’s financial center are preventing price declines in the market overall.

Mountain regions: Luxury properties are now around 40 percent more expensive than they were five years ago; no other region in Switzerland has recorded such strong price gains. The luxury market in St. Moritz, Gstaad, and Verbier is shaped by foreign investors with low price sensitivity. A vacation home in the mountains is increasingly seen as an investment asset. We do not expect a reversal in the trend for the time being.

Home prices

at the end of 2025, in thousands of CHF per square meter

UBS Switzerland AG