He is widely regarded as a business-friendly entrepreneur, and his victory was widely welcomed by the financial markets. However, his likely impulsive decisions could undermine investor confidence.
So, what are potential American buyers of Swiss real estate going to do? Will they even come? And if so, for which properties will they willingly give up their dollars? Find out from two major players in this market, Barnes Suisse SA and Société Privée de Gérance SA (SPG).
Projects on hold
“The effect of the US elections on the Swiss real estate market is likely to remain marginal, with interest rates being the central factor. The US Federal Reserve (FED) seems unlikely to change course in the short term”, says Jérôme Félicité, Managing Director of Barnes Suisse. “Based on our experience, we believe that once the elections are over, American buyers, who make up only 5% to 8% of our foreign clientele, will reactivate their projects in Switzerland, which are often put on hold during election periods”, he adds.
U.S. customers prefer properties with character and history.
SPG
SPG takes a similar view. Its co-CEO, Valentine Barbier-Mueller, believes that “there won't be a massive influx of Americans wishing to settle in Switzerland. This is a niche market representing a minority share of our clientele, with at most 5% of buyers coming from the USA.” The reason being that it's not very easy for this population to move to Switzerland on a year-round basis, immigration barriers requiring them to prove they have sufficient financial resources and/or an employment contract.
Well-to-do executives
The majority of Americans who settle in Switzerland are executives working for multinationals and enjoying comfortable salaries. They prefer properties in internationally renowned areas such as Geneva and Zurich, as well as in luxury Alpine resorts such as Verbier, Gstaad and Saint-Moritz,” notes Jérôme Félicité. Geneva is particularly prized for its proximity to international institutions and its high-quality living environment, while Zurich attracts for its economic dynamism.”
“Zurich and Geneva account for 25% of the American population living in Switzerland. They are highly qualified, with over 90% holding a university degree, and settle here mainly for professional reasons,” confirms Valentine Barbier-Mueller.
Switzerland in demand
Political stability, security, quality of education and quality of life are just some of the advantages that make Switzerland so attractive. According to Valentine Barbier-Mueller, to these can be added ease of travel by train or car, and the proximity of well-served international airports.
American buyers appreciate the possibility of customization and premium services (here in Lausanne).
BARNES
This clientele is often interested in high-end properties. “It could be a waterfront property or a mountain chalet. More than economic potential, they're looking to fall in love,” explains SPG's Managing Director. “For example, in Verbier, which is very popular, we have established a partnership with Besson Immobilier, because in a tight market with few properties, a local and international network is essential,” she adds.
“High-end properties are also in demand for second homes in the mountains. Chalets with panoramic views, easy access to the slopes and spa and/or wellness facilities are in demand in the resorts,” adds Jérôme Félicité.
Turnkey properties
Both agree that Americans looking to buy a home in Switzerland are mainly looking for “turnkey” properties delivered with services. “They are keen on the possibility of personalization (interior decoration, private cinema rooms and/or wine cellars, for example) and so-called premium services. These can include H24 concierge and security services or the installation of home automation in living areas,” notes Jérôme Félicité.
“American buyers appreciate properties with character and history. They often choose turnkey properties with services”, confirms Valentine Barbier-Mueller.
She concludes: “The country's peaceful, secure and stable environment, as well as modern luxury amenities, reinforce Switzerland's appeal to them.”
Source : tdg.ch
Author : Patrizia Rodio
