Switzerland is officially in a housing crisis as vacancy rates hit 0,93%

Expats living in Switzerland will know all too well the struggle of apartment hunting. Now, after years of declining, the Swiss housing vacancy rate has dropped below 1 percent, sitting at 0,93 percent.

Housing shortage worsens in Switzerland

While the country has been struggling with a lack of housing for years, the national vacancy rate dipping below 1 percent means that “Switzerland is officially experiencing a housing shortage,” reports Blick. 

According to the latest Federal Statistical Office (FSO) report, as of June 1, 2026, there were 45.493 available houses or apartments in Switzerland. The total number of empty homes decreased 6,1 percent compared to last year. 

The vacancy rate is a figure the government uses to quantify the proportion of vacant houses and flats in the overall housing stock. Since 2021, the vacancy rate has been steadily falling. It sat at 1,08 percent in 2024 and fell to just 1 percent in 2025.

Which Swiss cantons are facing the worst shortages?

The Swiss cantons struggling the most with a lack of housing are Zug, with a vacancy rate of just 0,2 percent, Geneva (0,31 percent) and Obwalden (0,38 percent), while Jura (3,35 percent) and Solothurn (1,91 percent) have the highest. 

Only in Zurich did the vacancy rate increase slightly to 0,52 percent. In 20 other cantons, rates dropped compared to 2025. 

Comparing rental properties to homes for sale, there were 34.690 apartments available as of June 1, 2.504 fewer than in 2025, marking a 6,7 percent drop. There were also fewer single-family houses: 4,4 percent or 301 fewer than in the previous year.

Rising rents and high land costs create unaffordable supply

Despite efforts to build more apartments and increase supply, the Swiss rental market is struggling. New developments consist mostly of higher-priced apartments that are unaffordable for low- and middle-income families, writes Blick. Since 2020, the number of affordable apartments has plummeted by 60 percent. 

Expensive apartments that cost at least 320 Swiss francs per square metre per year (around 2.670 francs per month) are on the rise. While new builds “aren’t necessarily luxury buildings”, landlords charge high rent to “primarily cover high land prices,” explains Wüest Partner real estate expert Robert Weinert. “Increased construction and financing costs are also driving prices up,” adds Weinert.

Because landlords charge high rent for new-build apartments in Switzerland, some developments are struggling to find tenants, and it is “now leading to deserted neighbourhoods.” 

This is the case in Witikon, Zurich, where an apartment costs around 5.300 francs per month. Similarly, in a newly built apartment block in Regensdorf, one in five flats is vacant despite efforts to entice prospective tenants.