Stunning Growth: European Ski Chalet Prices Skyrocket Amid Ongoing Turmoil

Discover the astonishing surge in European ski chalet prices despite the turbulent global economy. According to Knight Frank's latest report, prices have skyrocketed by 4.4% in the past year, defying all expectations. Find out more about this remarkable trend here.

According to a recently published report by Knight Frank, the average price of a European ski chalet saw a significant increase of 4.4% in the 12 months leading up to June 2023. This growth rate is the strongest recorded since 2014, excluding the pandemic years. The Ski Property Index, compiled by Knight Frank, indicates that Swiss resorts have once again claimed the top positions, with three German-speaking resorts, namely Klosters (16%), Davos (13%), and Andermatt (9%), leading the rankings. The surge in prices can be attributed to a shortage of available properties and ongoing infrastructure developments in each resort.

In the French Alps, Chamonix (7%) has maintained its position as the highest-performing resort. Known as a year-round destination, Chamonix experiences a dramatic increase in population during the peak season, as it attracts a diverse range of visitors from skiers to mountain bikers. Additionally, the resort hosts various sporting events throughout the year, which further contributes to investor interest and demand.

In 2023, two key trends emerged in the Alps. Resorts located at higher altitudes, such as St. Moritz, Val d'Isère, and Courchevel 1850, along with year-round destinations like Chamonix and Verbier, outperformed others. Buyers gravitated towards snow-sure resorts that offer an extended ski season, or sought locations that provide a wider range of activities beyond skiing, and boast lively atmospheres during the summer months.

As part of the Ski Property Report, Knight Frank conducted its second annual Alpine Homes Sentiment Survey, surveying more than 320 clients across 34 countries and territories. The survey included existing homeowners, prospective buyers, and individuals with a passion for mountainous regions, offering valuable insights into the market. Key findings from the survey are as follows:

- Buyer motivations are becoming increasingly diverse, with a growing proportion seeking ski resorts solely for skiing, as well as those interested in enjoying the overall mountain experience.

- The resilience of a ski resort plays a significant role in influencing buyers' decision-making process, with 72% of respondents stating its importance.

- An upward trend was observed in the number of respondents (52%) looking for second homes that could be rented out, up from 48% in the previous year.

- 78% of respondents consider the energy efficiency of a home important or very important, yet only 28% expressed willingness to pay a premium for such a property.

- A majority of survey participants (60%) anticipate a rise in Alpine property prices within the next 12 months.

- The cost-of-living crisis has affected the budget allocated to purchasing an Alpine home for 39% of prospective buyers.