The aggregated Swiss Real Estate Sentiment Index (sresi®) is a measure of the expectations of market players for developments over the next twelve months and is generated on the basis of an assessment of the economic developments and the movement of prices on the real estate investment market.
The index reflects the assessment of over 300 survey respondents who represent an investment and appraisal volume of up to CHF 300 billion. Since it was launched in 2012, the sresi has established itself as a leading qualitative indicator of forthcoming developments in the Swiss real estate investment market.
Beat Seger explains the most important findings of the 2020 study:
With -13.1 points, the aggregated Swiss Real Estate Sentiment Index has reached the lowest value since the beginning of the study whereas the index was at its highest in the previous year (+32.8 points).
With an index of -73.8 points (previous year: -10.1 points), the survey respondents’ assessment of the evolution of the economic situation over the next twelve months reflects the broad consensus about the strong deterioration of the economic situation.
Despite the negative assessment of the economic situation, the survey respondents expect, with an index of +2.1 points, a stable price evolution for real estate investments (previous year: +43.5 points).
Whereas a stable price evolution is expected for the market as a whole, the sub-indices for locations and segments differ significantly:
The coronavirus has put its stamp on the current year in nearly all areas of life. Concerning the real estate investment market, the survey respondents also expect changes, especially as regards future demand for commercial spaces. Indeed, 89% of the survey respondents expect that remote working (e.g. home office) will gain in importance. Moreover, 87% of the respondents expect a slowdown in the development/realization of commercial spaces and 69% expect a lasting decrease of the number of visitors in shopping centers.
The assessment of the questions regarding the impact of COVID-19 on the real estate investment market clearly shows where the survey respondents see winners and losers:
Take a look at our detailed interactive dashboards on the study and define the parameters that are relevant for you.
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