Foreclosures in Zurich: The market and its opportunities

In the high price range of Zurich, real estate auctions are considered the last bastion for buyers who want to enter below typical market prices. In fact, the forced auction market in the Canton and City of Zurich regularly offers opportunities, from single apartments in Oerlikon to multi-family houses on the right side of Lake Zurich. Thanks to transparent procedural rules and weekly appointments at the auction house, this niche market can be accessed in a planned manner.

1 Market Overview: Supply, Frequency, and Volume

1.1 How much is being auctioned?

According to the 2024 Statistics of the enforcement office, nearly 1,000 property auctions were conducted in the Canton of Zurich, which is about 0.8% of all real estate transactions, and significantly more than in other major Swiss cantons.

1.2 Weekly Auctions in the City

The City of Zurich's municipal and enforcement office 5 conducts public auctions every Thursday at Bullingerstrasse 60. During these appointments, one to three properties are regularly announced, along with personal items.

“Between the bid and market value, there is often a price difference of 10-15% in Zurich. Those who do thorough research can capture this spread.”

2 Price Dynamics: How significant is the discount?

Segment	Average Discount vs. Market ¹	Typical Object
Condominiums	8-12 %	2.5-room apartments in city districts 3 & 11
Single-family houses	12-18 %	1970s single-family houses on the Gold Coast, in need of renovation
Multi-family houses	15-25 %	5-10 units in suburban communities like Dübendorf

¹ Estimate based on auction listings & auction protocols 2023/24 (self-collection, enforcement office – auction protocols).

The discounts compensate for higher additional purchase costs (ZH: 0% real estate transfer tax) and the short payment period of 20 days.

3 Three Zurich Specificities You Should Know

Low interest rate risk, high liquidity risk Zurich banks provide interim loans quickly but usually require 20% equity - higher than the Swiss average.
Strong bidding competition Many semi-professionals and family offices regularly attend the auction house, spontaneous “silent auctions” are rare.
Demand pressure in renting Vacancy rate in the City of Zurich in 2024: 0.18%, which reduces the cash flow risk for renovation projects.

4 Where are the opportunities, depending on strategy?

4.1 Buy-to-Let Investors

Prefer small multi-family houses in neighborhoods with public transport connections (Altstetten, Oerlikon)
Utilize immediate rental demand to generate cash flow after a short renovation

4.2 Buy-to-Flip Strategists

Seek old apartments in historic buildings (districts 4/5)
Focus on value-enhancing measures: attic extensions, energy renovations, subdividing into condominiums

4.3 Self-Users

Benefit from 0% real estate transfer tax in the Canton of Zurich
Plan enough time for clearing and remodeling (average 6-12 months)

5 Typical Zurich Risks and Smart Countermeasures

Contaminated sites in industrial neighborhoods Measure: Check the “Contaminated Sites” register, include soil assessments.
Scarce construction resources Shortages of craftspeople can increase renovation costs by 10-15%. Solution: Secure fixed-price offers early.
Overbidding in bidding wars High demand can erode price discounts. Tip: Strict limit + stop-buddy.

6 60-Second Check: Is the Zurich Auction Worth It?

Is payment capability secured within the 20-day period?
Price discount ≥ 10% (condominiums) or 15% (multi-family houses) compared to the market?
Renovation budget with +15% buffer?
Vacancy rate < 1% in the neighborhood?
Legal situation (rental contracts, encumbrances) clear?

7 Conclusion: Zurich Auctions are Small, but Fine

The forced auction market in Zurich is manageable, and that is exactly why it is attractive: Few, but well-documented properties, transparent auction dates, and extremely strong tenant demand create a yield-friendly environment. Those who bring liquidity, expertise, and discipline can find opportunities here that the traditional real estate market hardly offers anymore.