Why ski property prices in US and Europe are rising despite Covid-19 – luxury homes in Aspen and Vail command top dollar, while Japanese resorts are ‘a relative bargain’
- The reliably wintry weather of Tignes, France and high altitude glacier skiing of Zermatt, Switzerland make them favoured destinations for luxury ski travellers
- Covid-19 and WFH has heightened the demand for homes far from the city; potential buyers from Hong Kong make up about 25 per cent of the interest in Japanese ski properties
Snow lovers are rejoicing now that European and US ski resorts, closed during last winter’s lockdowns, are reopening for the 2021-22 season.
For owners of alpine properties, even better news is real estate industry research that shows values have continued to climb despite international travel restrictions.
Of the 44 resorts tracked in the Savills Ski Prime Price League, prices grew on average by 5.1 per cent in the last year, with some resorts, such as Flims and Grimentz in Switzerland, experiencing asking price growth of as much as 17 per cent.
Jeremy Rollason, head of Savills Ski, says this marks a shift in terms of price trends.
“Given the discretionary nature of the asset, only a few resorts such as Val d’Isère [France], Verbier [Switzerland] and Morzine [France] were seeing real price growth up until 2019,” he explains. “That has all changed with virtually all resorts in the Alps and North America experiencing strong double-digit and sometimes exponential price growth in a matter of months [in 2021].”
The first quarter of 2021 was particularly acute for demand, Rollason continues.
“Transaction volumes doubled over the previous year and fierce competition emerged, especially for prime property in the most exclusive resorts,” he says. “Property that had previously been for sale for a few months – or even years – suddenly found buyers who were keen to escape the confines of towns and cities.”
Property that had previously been for sale for a few months – or even years – suddenly found buyers who were keen to escape the confines of towns and cities
Particularly hot are the North American ski resorts of Aspen and Vail, which top the Savills Ski Prime Price League, usurping Courchevel 1850 in France that dropped from first to third place.
In Aspen, prime property prices stand at around US$33,300 per square metre, with Vail not far behind at US$28,200. In comparison, prime property in the Swiss resort of Klosters is priced at US$13,500 per square metre, and just US$12,700 at Canada’s Whistler Blackcomb.