Neither the property vendor nor the property purchaser is able to ascertain.
- which prices are paid
- for which properties
- with which features and characteristics
The following shortcomings in the property business are addressed:
- Lack of comparability (each property is unique)
- lack of transparency
- Lack of an organised market
- Price flexibility
- No income benchmarks (analogous to the price/earnings ratio for shares)
Nowadays, transaction data are collected and analysed in an attempt to obtain a valuation for price comparisons.
The real price is not determined until the actual sale.
Further Information
- Transparency alone is not enough
- Not even the publication of real estate transfers indicating the prices paid is of much use to market participants as properties are seldom comparable.
- The cantons may publish real estate transfers and also disclose the quid pro quo.
- 19 cantons publish real estate transfers.
- 2 cantons (GE + JU) make property purchase prices public.
- Not even the publication of real estate transfers indicating the prices paid is of much use to market participants as properties are seldom comparable.
