Is there a housing bubble in Switzerland?

Is there a housing bubble in Switzerland?

Michael and Arthur 1. Financial crisis 2008 and it’s impact on Switzerland Financial crisis was caused by a bubble on the us housing market, it made banks tremble The impact was strong and worldwide Many studies in the US, our reference for this project is the «Bay Area Blues: The Effect of the Housing Crisis». They say expensive houses are less affected than cheap houses Ongoing surge of average house prices in Switzerland in general, but lack of local data. 2. What are the criteria for a bubble? You see strong growth in loan volume and the real estate prices If both grow over years faster than GDP, you can talk about a bubble If we find data that confirm the two criteria, it is worth to investigate further, if not, we have to give up. 3. What did we do? We did look at the Public Data you find on the Webside of Swiss National Bank and Office for Statistics for the time from 2004 to 2014 Inflation: 5.5 % GDP: 32.4 % House prices 54.5 % Housing credits: 86.6 % regional range from 36.8 % to 60.4 %, 8 regions published Conclusion: There must be regions where you can talk about a bubble, let’s go on and find local data. Officially you don’t get statistic on local sales. Finally we found a private company specialized in the housing business that gave as some data. 4. The...