Real estate specialist Sascha Ginesta is a proponent of municipal autonomy. Problems on a small scale could be solved at this level. Nevertheless, there is also a need for cantonal or regional authorities to deal with the problem.
from Reto StiefelEngadin Post: The problem of the scarce housing stock for locals was already discussed a year ago. This year it has become more acute, was that to be expected?
Sascha Ginesta: Yes, and I see different reasons that are responsible for this. On the one hand, the businesses have invested, for example the hotel industry. That needs more staff and consequently additional living space. On the other hand, Corona plays a role. In the tourist regions we have had many newcomers from the Unterland, which has increased the competition on the housing market. We have also noticed that because of Corona, more flats have been permanently rented out as second homes. In addition, flats that were previously rented out have been converted into holiday homes.
The municipalities often tackle the problem alone. Shouldn't it be solved regionally?
Basically, I think very highly of municipal autonomy. Every municipality has a different problem. It is right that the municipalities try to solve their problems on a small scale. But I am also convinced that at a higher level, be it at the regional or cantonal level, bodies are needed to deal with these problems. In concrete terms, the canton is concerned with the basis for calculating the need for building zones. The keyword is zoning in and out. This is a problem that the municipalities cannot solve themselves. Certain issues have to be tackled on a larger scale. The municipalities in the region that have building land reserves should coordinate among themselves. It makes no sense to build the same thing in every community. Not only staff housing is needed, but also family housing. One municipality is better positioned than another. The question of whether a municipality builds itself, whether it is an investor or a cooperative, can also be thought of on a larger scale.
Until recently, cooperatives were only a marginal topic in the Engadine. Now we hear again and again from communities that could imagine cooperatives as investors or developers. Is this a promising path?
Historically, housing cooperatives have their origins in the fact that, for example, the SBB or the Post Office had land that they contributed to a cooperative in order to create housing for their employees. Or you buy into a cooperative and can buy or rent a flat in return. This is not entirely unproblematic in the case of upcoming major investments, when the cooperative members have to pay for the financing if there are no reserves. Personally, I prefer cooperatives in which someone donates money or land to be used for a specific purpose. For example, if a municipality transfers a plot of land to a cooperative and then builds on it on behalf of the municipality. In this way, control over the statutes and rental regulations remains with the municipality. If the land is sold to an investor, this option is no longer available.
A quick look at the second-home market: A large demand continues to meet a small supply. What will happen next?
Effectively, demand has already fallen after the first Corona wave and now, with rising interest rates, it has fallen further. Influences such as the crash of cryptocurrencies or falling stock market prices also mean that there is a little less money in the market at the moment, which puts pressure on demand. But compared to the pre-Corona era, demand is still much higher. The second problem is that there is no supply. There is almost nothing coming onto the market. So there can be no price correction. We don't see a trend reversal in prices. Something very serious would have to happen for many flats or properties to come onto the market or for demand to collapse completely.
Not so long ago, every flat was bought virtually blind. That at least has changed?
Quite. A year ago, we were able to sell practically everything without having to do anything major. Today you have to think again about how to position a flat or a property correctly on the market. That makes the job more exciting again for our real estate advisors. If you had asked me four years ago how long it takes to sell a property, I would have said six to nine months. That was the usual time horizon. In the last two years, that number has dropped to less than two months, which was also not healthy for the market. I think now we are slowly getting back into a good balance.
