Why don't construction prices go down?

  • Erstellt am 2023-05-15 08:17:32

Oetti

2024-12-02 22:31:00
  • #1
With us, new-build apartments cost about 5,000 euros/m2. Whether with or without AfA. Honestly, I have no desire for a used property, therefore new-build. Why not buy the property with the AfA at the same price?
 

nordanney

2024-12-02 22:43:18
  • #2

Every cheap apartment has this option anyway. I thought you were talking about real AfAs like with monuments.
It's not worth it.
 

fm-united

2024-12-02 22:55:59
  • #3
Special depreciation and declining balance depreciation currently make new construction more attractive than purchasing elaborate historic monument apartments, don't they?
 

nordanney

2024-12-03 08:57:55
  • #4
No, the special depreciation is only valid for a short period (four years), the subsequent "normal" depreciation is calculated on the residual value after special depreciation. Listed building depreciation applies for the first 7 years at 9% and then 4 years at 7% = 100% of the renovation costs in 12 years. After that, the property is sold again, as the speculation period has also expired.
 

nordanney

2024-12-04 10:37:52
  • #5
Nice addition to this from today's Handelsblatt: Due to too low inflation in Switzerland, it is no longer ruled out that there will be negative interest rates again. Why? Weak economy, underutilized production capacities ==> it goes...
 

chand1986

2024-12-04 19:06:18
  • #6
Yes. Because Switzerland follows the same model as Germany: selling mainly high-quality products abroad, which thereby takes on the role of debtor in the macroeconomic accounts. The foreign countries slow down -> utilization decreases -> the economy weakens. What else?
 

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