Despite rising rents: the Council of States does not want to intervene more heavily in the market

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Everything becomes more expensive. Due to the higher reference interest rate, rental costs have also increased for many people.

The majority of the middle class does not want to intervene more heavily in the market when it comes to rent prices. Hans Stöckli (SP/BE), for example, called for regular rent checks. A large portion of the rents are unlawful rents, he said. This is prohibited by the constitution. It is therefore necessary that rental prices are checked regularly. The council rejected this by a vote of 31 to 10.

Maya Graf (Greens/BL) wanted to promote non-profit affordable housing. There are already measures included in the Housing Promotion Act that can be used to support construction projects. You just have to implement what the motion aims to achieve. The council rejected this proposal by 25 votes in favor and 14 against with 2 abstentions.

Parmelin wants to wait for an action plan

The council also rejected – by 30 votes to 9 with one abstention and 31 to 9 with one abstention – the motions of Carlo Sommaruga (SP/GE) and Mathilde Crevoisier Crelier (SP/JU). Sommaruga called for measures to reduce the impact of the benchmark interest rate increases on rental prices. Crevoisier Crelier wanted a moratorium on rent increases.

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Federal councilor Guy Parmelin referred to the challenges in construction, for example due to objections. The time in which a building permit is issued has doubled in one year. “That does not help.” A roundtable to address such challenges resulted in an action plan that is now being consulted. It should be adopted next year.

“Reference interest rate will continue to rise”

The council took a ‘small step’, as Stöckli called it, by adopting a motion outside the separate debate. This requires the Federal Council to create legal certainty about the level of permitted rental income. It is in the interest of tenants and landlords to have a reliable answer in the near future, according to motion leader Stefan Engler (middle/GR).

This question arises in light of the rising reference interest rate. According to a ruling by the Federal Court, since October 2020, income may exceed the reference interest rate by 2 percent if the reference interest rate is 2 percent or less. The reference interest rate is currently 1.5. “We all know that the benchmark interest rate will continue to rise,” says Daniel Fässler (center/AI). It can be assumed that the 2 percent threshold will be reached. The Council of States accepted the motion without voting against.

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At the request of the National Council the day before, the Federal Council must also investigate whether construction activity can be promoted by making objections more expensive. These would deter investors and delay or prevent construction projects. The National Council adopted a corresponding postulate without opposition. (SDA)

Source:Blick

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I am Liam Livingstone and I work in a news website. My main job is to write articles for the 24 Instant News. My specialty is covering politics and current affairs, which I'm passionate about. I have worked in this field for more than 5 years now and it's been an amazing journey. With each passing day, my knowledge increases as well as my experience of the world we live in today.

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