Rental figures are out of step

Rental prices in Switzerland are either rising or falling, depending on the method used to measure them. Whilst the Homegate Rent Index for August 2026 shows a year-on-year increase of 1.8 per cent, a new study by newhome for July 2026 indicates a fall of 1.7 per cent.

The discrepancy arises primarily within the model. The Homegate Rent Index measures quality-adjusted asking rents for newly advertised and re-let flats, and stood at 133.6 points in August 2026. Although the figure fell by 0.3 per cent compared with July, it remained 1.8 per cent higher than in August 2025.

By contrast, the ReMPA study by the Swiss Real Estate Institute, published by newhome, uses the unweighted average of advertised flats. It recorded a decline of 1.7 per cent across Switzerland for the period from July 2025 to July 2026. The declines were particularly sharp in Ticino, at 10.9 per cent, and in the canton of Zurich, at 3.3 per cent.

Two indices, two market pictures
For owners, investors and property managers, the difference is crucial. A quality-adjusted index attempts to statistically account for location, size and amenities. A simple average, on the other hand, reacts directly to shifts in the mix of listings. If fewer flats are advertised in expensive regions and more in cheaper markets, the average may fall, even though comparable properties are becoming more expensive.

Newhome itself points out precisely this effect. The portal acknowledges that the regional breakdown of listings could explain part of the decline. However, the published statement does not quantify this proportion. At the same time, the study emphasises that, despite a year-on-year decline, Zurich remains the most expensive region in the country.

For the market, the key takeaway is‘
The latest August figures from Homegate do, at any rate, point to an easing of rental pressure. Across Switzerland, advertised rents fell by 0.3 per cent compared with the previous month, and 21 out of 26 cantons recorded lower figures month-on-month. For the market, however, this does not automatically mean a relief. The annual figures remain positive, whilst, according to newhome, the vacancy rate remains at a low level.

For the property sector, therefore, the real news lies less in an apparent data error than in the limitations of the indices. Anyone assessing rental income, a location’s attractiveness or marketing opportunities must currently distinguish more carefully between whether an index measures price movements of comparable properties or merely reflects the composition of the current listings.