Switzerland has weathered the recent downturn rather better than much of Europe due to its stable and wealthy economy, and the fact that housing supplies are tightly controlled. It has always been an attractive country for the well-off as it offers moderate tax rates, an excellent quality of life and financial privacy. It is especially popular with German nationals but is increasingly finding favour with Russians and other nationalities.
It's excellent location in the middle of Europe makes it highly accessible, and many are also attracted by the good standards of education and healthcare. The country is frequently in the top ten best places to live in the world, and the cities of Zurich and Geneva are considered especially desirable.
The stable Switzerland property market here has achieved an average growth of 4.5% every year for the last five years, and unlike most other European countries has not recorded a negative annual growth. The market for high-end homes is particularly strong and there is a large rental market that attracts those looking for buy to let properties.
It didn't come through the recent downturn completely unscathed, as buyers are being a lot more demanding in terms of quality and location. Switzerland experienced a property price crash twenty years ago, but this is not expected to happen again which is partially due to the historically low interest rates, and partly because of the fact that homeowners have to put down a minimum 20% deposit. Lenders are also supposed to check that borrowers would be able to meet monthly mortgage payments if the interest rates rose to 5%.