ZURICH Aug 27 Switzerland's housing bubble has
been gradually easing since January, averting the danger of
house prices plummeting, according to an annual study published
Housing prices are in focus ahead of the Swiss National
Bank's quarterly monetary policy assessment in September, after
Swiss bank UBS said this month that steps to shrink
Switzerland's housing bubble were taking effect.
"We are seeing a cooling of the Swiss housing market," said
Didier Sornette, professor at Switzerland's Federal Institute of
Technology in Zurich.
The study, conducted in conjunction with comparis.ch, an
Internet comparison shopping tool, said Switzerland will avoid a
property crash despite persistently high housing prices.
For the first time since 2013, there were no areas deemed as
critical, and the danger in nine districts that had shown a
bubble in the last report, from January, had dispersed, it said.
The state provides no official data on the housing market.
Mortgage lenders, the Swiss government and the central bank
are fighting high property prices -- fuelled by ultra-low
interest rates, immigration and Switzerland's appeal as a safe
haven for financial investors -- with a variety of supply- and
At the SNB's last session in June, the central bank said
there was no evidence of any sustainable easing in the mortgage
and real estate markets and it would continue to monitor the
(Reporting By Katharina Bart; editing by Crispian Balmer)