The Swiss people’s desire for a holiday home in the Alps is uninterrupted. Along with the pandemic, a second implosion began in 2020. It is supported by the need to take a vacation nearby and the new possibilities of working from home. This trend continues. But buying a holiday home in the Alps is getting more and more expensive.
According to Knight Frank’s Ski Property Index, the average price of a four-bedroom chalet in the 23 markets surveyed rose 5.8 percent between mid-2021 and mid-2022. This is the highest price increase since 2014. Eleven ski areas in Switzerland and France and Kitzbühel station in Austria were examined.
It gets really expensive here
Property prices rose the most in Crans-Montana VS with double-digit price increases, followed by St. Moritz GR, Klosters GR and Davos GR followed. French station Les Gets is in fifth place.
Of all the attractions reviewed, prices in Zermatt VS rose the least, that is, only 0.5 percent. According to Knight Frank, the destination ranks fifth in the entire Alpine region in terms of prices per square metre, with a good value of CHF 22,500.
In Courchevel, France, Verbier VS (26,500 francs each) and St. Moritz GR (27,500 euros) pays even more per square meter. The absolute leader in this category is Gstaad BE, with a price per square meter of living space of CHF 37,200.
These are the reasons for the record prices
The reason for the price increase is the scarce supply and high demand. Remember the second home attempt: This one was accepted by Swiss voters in 2012. The relevant law has been in effect since 2016. Since then, there has been a de facto building ban in many communities.
Meaning: The number of flats remains the same, but the demand is increasing. So are the prices. But interest rates are rising, financing is getting more expensive, and ancillary costs are rising. Therefore, most of the current owners are still trying to leave their property. (rae)