July 11, 2025
Zug is considered a Swiss synonym for low taxes and top location quality. Those seeking real estate in the open market face intense competition and correspondingly high prices. The auction segment, however, tells a different story: Although the canton shows only a handful of forced auctions (ZVG) over the years, these rare events present the opportunity to secure premium locations at a double-digit discount, right in the middle of the economically strongest region between ZH, LU, and BS.
Year | ZVG Zug (units) | Share of Switzerland | Notes |
---|---|---|---|
2021 | 0 | 0 % | Pandemic catch-up year, Zug remained empty. |
2022 | 1 | 0.2 % | Single auction in Oberägeri. |
2023 | 3 | 0.5 % | Rank 19 of 24 cantons by number of units. |
2024 | ≈ 14* | 2.3 % | Significant increase, Zug moves into the "Top 15". |
*Estimate based on the bar graph "Forced Auctions 2024 by Canton".
What might seem like a footnote translates into an overproportional volume: Even with around 14 auctions, Zug is expected to generate approximately 25 million CHF in market value volume in 2024, which corresponds to 4 % of the Ticino offerings with only 12 % of the number of auctions.
“Despite the small number of auctions, Zug ranks among the top 5 of the most expensive cantons for residential houses.”
The strong economic structure ensures that even auction objects are quickly liquidatable after the auction:
2-room apartment in Baar, market value 670,000 CHF, starting price 469,000 CHF, light renovation (35,000 CHF) and subsequent rental for 2,200 CHF/month → gross yield ≈ 4.8 %.
Lakeside villa in Oberägeri, official value 4.2 million CHF. A comparison auction in 2023 ended at 3.3 million CHF (-21 %) with only two competing bidders. Planned division into two condominiums → expected exit 4.9 million CHF.
Commercial loft near Zug train station, market value 1.2 million CHF, conversion into six micro-serviced apartments, target rent 145 CHF/night → IRR > 12 %.
Zug (ZG) | Zurich (ZH) | Vaud (VD) | |
---|---|---|---|
ZVG 2024 (units) | ≈ 14 | ≈ 27 | 77 |
Ø condo 2023 (thousands of CHF) | 660 | 1,793 | 952 |
Ø residential house 2023 (thousands of CHF) | 1,675 | 1,984 | 2,213 |
Tax rate (individuals) | 59 % | 119 % | 155 % |
Zug combines small supply, tax upside, and comparatively moderate entry prices, a rare triple combination.
The data clearly shows: Even if Zug hardly stands out quantitatively in the ZVG statistics, each individual auction is a high-impact event. High-quality assets meet few competing bidders, the tax location guarantees long-term demand, and the auction usually occurs below market price. For investors looking for a piece of Zug's tax paradise at a "hammer price", the auction floor remains the most efficient way to proceed, as long as one brings an early bird mentality, financial clarity, and a keen eye for auction lists.