The Swiss real estate market is particularly attractive to investors, especially in the rental sector, due to several specific factors:
A Majority of Renters:
Around 60% of the Swiss population rents their homes, a rate much higher than the European average. This prevalence is driven by high acquisition costs, significant population mobility, and confidence in a stable and well-regulated rental system.
High Demand and Limited Supply:
The demand for housing remains strong, supported by constant demographic growth, significant immigration, and social transformations (such as smaller household sizes). However, supply struggles to meet this demand due to land-use restrictions and increasing costs in the construction sector.
Very Low Vacancy Rates:
According to the Swiss Federal Statistical Office (OFS), as of June 1st, Switzerland had 51,974 vacant homes, representing just 1.08% of the national housing stock. This figure marks a decrease of 0.07 percentage points over the year, with 2,791 fewer available homes. This decline reflects a significant shortage, ensuring stable rental income, particularly in a context where demand remains high and supply is insufficient.
Economic Stability:
The Swiss real estate market in the fourth quarter of 2024 continues to stand out due to its economic stability and favorable outlook, supported by low inflation (1.1%) and reduced interest rates (1%). This situation encourages real estate demand, particularly in the residential and rental segments, where a persistent housing shortage drives rent increases (+6.4% year-on-year), while the vacancy rate remains historically low.
Why IMO?
The IMO project allows investors to indirectly benefit from the performance of the Swiss real estate market, while adhering to the legal and administrative constraints associated with acquiring property in Switzerland:
Profit Sharing:
The rental income generated by the properties managed by the IMO-affiliated company is reinvested into the project through token buybacks on decentralized markets. These acquired tokens are then burned, reducing the circulating supply and potentially increasing their value for holders.
Token Appreciation:
In addition to indirect rental yields, investors can benefit from the appreciation of the underlying real estate assets, reflected in token buybacks on the market.
Legal Compliance:
IMO token holders do not have direct rights to the properties or the income they generate, ensuring full compliance with Swiss regulations, including the LFAIE.
What is the LFAIE?
The LFAIE (Federal Law on the Acquisition of Real Estate by Foreign Persons), also known as the Lex Koller, is a Swiss law that regulates the acquisition of real estate by foreigners. Its main goal is to limit non-residents’ access to the Swiss real estate market, particularly for residential properties, in order to protect housing availability for residents and prevent speculation.
Through this structure, IMO offers an innovative approach to accessing the benefits of the Swiss real estate market without the administrative burdens, while strictly adhering to the legal framework. It presents a unique opportunity to diversify investments and benefit from a rental sector renowned for its stability.
Balancer / Buy
Tokenomics
The circulating supply is 11M tokens and the total supply is at 20M.
Contract Address
0x5a7a2bf9ffae199f088b25837dcd7e115cf8e1bb