Posted on 09 December 2019
Without a doubt, anyone thinking of buying investment ski property needs to do their homework and know the market before committing. So, we have rounded up the latest market insights, and within the European sector, France drives investment.
Known as the world’s best ski destination, another reason for its popularity is the lifestyle aspect that an investment apartment or chalet offers. They are the perfect holiday home, and since many French resorts strive towards dual season tourism, also a suitable place for buy-to-let investors. Read on for more tips and advice to making your real estate investment work for you, or to speak with a sales agent, call or email using the content details listed.
Guide to Investment Ski Property in France
Starting Budget for a French Ski Property
Ideal investment apartments start at a purchase price of £250,000. This is also a perfect time to look at what the industry calls backdoor resorts. These up-and-coming mountain resorts share access to the same ski area as established resorts but offer lower prices per square meters.
For example, anyone looking at Meribel but finding themselves short on the budget should consider nearby Les Menuires. Likewise, Tignes is a suitable alternative to Exclusive Val d’Isère. Overall, buyers with a starting budget should look at the resorts of Les Carroz, Samoens, Megeve and Les Gets, where you can find investment properties for under £300,000.
Most Expensive Ski Resorts for Buying Property
A recent report by UBS Global Wealth Management reported that Switzerland is Europe’s most expensive destination with the highest prices per square meter. For France, it is no surprise that Courchevel leads the way as the French Alps most expensive resort. Given the trend, luxury ski properties offer the best potential for capital appreciation. The take away from their report is that the top five best ski resorts for investment in Switzerland and France all scored for tourist facilities, adding to the lifestyle element of a perfect skiing holiday. (Tips for investing in luxury ski property.)
Where to Invest: Dual Season Resorts
The driving force for maximising your capital gains is to look at the ski and snowboard infrastructure developments of the town or village. Many resorts are marketing themselves as summer destinations to maximise their tourism potential and income. Alongside this, they are updating infrastructure and introducing more off-slope activities to capture the summer crowds. A perfect example is Val D’Isère with its Le Coin project, that also has an established summer tourism plan with festivals, events, and activities.
Off Plan, New Build or Resale Property Types
Alongside choosing your ideal ski resort, consider the type of property. Across the world, off-plan developments drive real estate investments because of discounted prices, and in most cases, structured payment plans with 0% interest.
The off-plan and new build homes also present the modern face of a towns real estate sector and offer several advantages that resale homes don’t. First, the constructor guarantee and commitment to the snagging list takes all the stress out of DIY, home repairs and maintenance.
Many developers in the French alps are now looking toward green architecture to promote a eco-friendlier lifestyle. The bonus with this is cheaper running costs because of energy-efficient materials. Lastly, lower purchasing costs for off-plan and new build homes also entice buyers.
Buy-to-let Apartments and Chalets
Rental investors love the French alps because as the world’s top skiing destination, it offers bags of potential. Buy-to-let investors also have two choices. The first is leaseback investment property, in which they allocate the buyer a certain amount of days every year, and allows a management company to handle the bookings, upkeep and rentals in return for a small fee. This is great passive income.
The second is to manage the rental property themselves, but this is a time-consuming practice. Consider resorts around the Three Valleys ski area for a longer ski season and snow guaranteed resorts at higher altitudes. Additionally, ski-in ski-out properties do well with renters. (More about ski rental properties.)
Take Away Tips for Buying Ski Real Estate
- Consider backdoor resorts if buying on a budget
- Look at infrastructure plans
- Invest in dual season resorts
- Choose new build or off-plan homes
- Look at accessibility from airports
- For rental income, choose resorts with healthy demand like Val d’Isère
For more advice or to speak to an agent about investment ski property, contact us here. You can also start your search to buy a property now. Our portfolios of apartments and chalets in France and Switzerland present many mid to long term investment opportunities. Simple fill in the form or call us find out more about any home that catches your eye.
More About Real Estate Investing
Dual Season and Tourism Infrastructure: We look at resorts turning heads in the housing market thanks to their future visions. Investing in both infrastructure and tourism, resorts like Alpe d’Huez, Val d’Isère, and Chamonix tick all the boxes for property buyers who want the best of both winter and summer.
Why Invest in Ski Property: This article presents six good reasons real estate investors turn to the French alpine market for long term potential and appreciation on their home purchase. Including offering an exclusive lifestyle, other reasons like potential and value for money lure in buyers from all over the world.