Swiss are a nation of (mostly) renters

It's more common for Europeans in general to rent.

And if you rent, you're pretty much guaranteed tenancy for life.

Look at the sensitivity to rent increases to mortgage rates.
https://www.moneyland.ch/en/rent-increases-reductions-switzerland-guide

Seems rather high to me.

@300 seems pretty sensible, no? Seems like a viable solution to keep landlords In the black, provide reasonable increases that are based on something tangible. And at the same time, Swiss renters are guaranteed long-term stability, if they decide to stay in their rental unit.

A 20% ownership rate is surprisingly low, other Western European countries have ownership rights similar to the US. And it would seem that most Swiss feel very good about renting, nada They are speaking your language!

I looked up how they calculate reference mortgage rate. It seems to be an average of all mortgages outstanding (existing and new mortgages which are typically 5-10y maturity there). That rate will move rather slowly. Based on that the changes will take place over time. So seems reasonable.

Another interesting point to consider is that Swiss consume a lot less house vs Americans. Guessing that is the result of renting and bigger urban population.