Switzerland is a well-known ski destination, with many of its resorts earning returning guests. For more than a century, Swiss ski chalets continue to attract alpine visitors making it a great investment opportunity with sustained high-value properties. Most of the buyers in the Alps come from the British investors who want to focus their investments on including non-Sterling assets while taking advantage of the weak euro. What makes the Swiss ski chalets an excellent choice for property investments? Find out below:
In 2018, the areas of Zermatt and nearby resorts were snowed in twice, supporting forecasts of long-term weather and snow conditions. This condition highly contributes to the success of the country when it comes to entertaining skiers.
In Savills Ski Report, Zermatt was revealed to have the most flexible resorts in Europe based on snowfall, season length, temperature, altitude, and reliability. Regarded as the Alps’ highest ski resort, Zermatt enjoys sustained snow throughout the season. It also offers glacial summer skiing and other sports.
If you’re looking to invest in luxurious properties, then Switzerland is your best bet as the country serves as home to some of the most upscale ski resorts. In fact, it has been crucial in sustaining the demand for property in the country. Most high-net-worth individuals consider the Swiss Alpine market as the best in the world perfect for their global real estate portfolio. Some of the resorts that posted the best price increases include St. Moritz, Verbier, Zermatt, Gstaad, and Grindelwald.
Of all, Verbier attracted both visitors and buyers from a wide variety of countries because of its accessibility. It takes roughly ten minutes to head to the pistes at nearly 3,000 metres, which offers a range of runs. Verbier is also within close distance to Geneva, the primary alpine airport.
Those who would like to invest in Swiss ski chalets would find the Verbier market a perfect investment as there is a low supply of stock. Although some developments in the high-end Swiss resorts generally offer the best investment opportunities. Buyers would also love the diversity of the activities provided in the Verbier area, ranging from hiking to a vibrant nightlife. However, Verbier properties are still for extremely wealthy individuals as price per square foot can be really expensive.
Changing Property Inventory
The 2012 Swiss Lex Weber Law limited ownership of second homes to only 20% of all housing stock for each municipality. This law ultimately placed a cap on the inventory. For instance, Verbier is already beyond the cap. This cap translates to the unavailability of properties for foreign buyers and can cause medium-term investors to benefit from an increase in prices, particularly in prime properties. All this, however, changed drastically when a new rule was put in place in St. Moritz. The quota changed from 20% to 100%.
With this current law, if a foreign buyer secures a permit from the Canton of Graubünden, they can also obtain a secondary home in St. Moritz. They are also at liberty to purchase a single-family dwelling and resell it to either a foreigner or a Swiss local.