What factors need to be considered to make a profitable investment into alpine real estate

Many people are dreaming about buying a holiday property in a ski resort. For many buyers purchase of a ski home is often an emotive decision rather that a rational investment. However, the prices of prime ski chalets are on the rise and the alpine luxury properties present lucrative investments to diversify portfolios and an opportunity to invest in a safe currency.

According to the study of UBS on alpine real estate market, although the prices of holiday properties in Switzerland stagnated over the last year, the prices per m2 in the most luxuries Swiss destinations have risen significantly. The most expensive tourist destination in the Alps is St. Moritz with the prices of upmarket vacation apartments about CHF 16’000 per m2. Followed by Gstaad with CHF 15’000 per m2. The real estate in the highest luxury segment in both resorts are reaching about CHF 30’000 per m2.

The question for future buyers is how to select your vacation retreat and which trends monitor do not lose money on your investment? There are several points to consider when investing into a luxury alpine property. After you have chosen the right ski resort which suits to your needs and wants, we recommend considering the following factors. First consider the neighborhood – there is nothing so much important for the future of your investment as choosing the right location. Especially if you decide to place your property on the short rental market to increase your return on investment. In this case, there need to be consider factors such as: the proximity to the ski lifts, restaurants, clubs, and other entertaining facilities. As the next factor, we recommend choosing a property which offers a breathtaking view over the landscape. Besides architecture and furnishing of your holiday real estate, the view from your property always stays the most admirable benefit and at the same time a value indicator of holiday property. Furthermore, you need to get information about future development plans in the area – watch for new developments that could hurt or compete with the price of your property. Gather as many information as possible, talk to renters and homeowners of the properties nearby and visit the area at different times and days during the week. Examine the building quality. Especially, if the property is located at hillside. In the Alps, there can be lands which are slightly moving towards the valley – check with an expert how the building was constructed to prevent a high future cost for the maintenance or reconstruction. Select an architect who makes any necessary changes to make from your property a diamond among the alpine luxury real estate.