So you've decided you want a ski chalet or apartment by the slopes, but will you stick to the established ski resorts or look a little further afield? If you buy wisely you can enjoy a strong rental income during peak season and a steady capital appreciation as well as enjoying all the perks of a place in the snow.

France
For the more risk-averse buyer France remains a good place to buy a ski property. The eastern-most departments of the French Alps are home to some of the most popular ski destinations in Europe – Méribel, Chamonix and Courchevel to name just a few. The French Alps are a dream destination with beautiful scenery, a jet set lifestyle on offer and, of course, it's on our doorstep.

Dario Nabavian, the director of international marketing at Pierre & Vacances Property Investments, says, "France is easy to access from the UK and you can choose how you want to travel and whether you take your car or not. You can choose to go by train, ferry or plane." Nabavian adds, "The snow is guaranteed. There is over 600 kilometres of pistes linking Courchevel, Méribel, Les Ménuires and Val Thorens, 335 downhill ski slopes and 119 kilometres of cross country skiing."

Across the Alps there has been a shortage of property which has pushed prices up in recent years, but with many new developments springing up the market in many resorts has opened up to those with a smaller bank balance. Pierre & Vacances' L'Aquila residence is situated at the foot of the mountains in Val d'Isère. The development offers one-, two-, three- and four-bedroom apartments; one-bedroom apartments start at 510,000 euros (approximately £345,000).
 
Although properties in this region of France are not going to appeal to investors looking to make a quick return, the buy-to-let market is extremely strong as the Alps are the third most popular tourist destination in France. Nabavian explains, "There is a steady stream of visitors throughout the year as Alpine destinations become increasingly popular during the summer months. Non-ski activities on offer include golf, fishing, swimming, bowling, tennis, a health spa centre and cinemas. For the more active there is mountain climbing, quad-biking, horse riding and paragliding".

So, while investing in a ski property in France is likely to cost you a little more, it's likely to prove a sound investment. 
 
Switzerland
For most people, Switzerland is synonymous with exclusive and elite ski resorts. Andrew Hawkins from Chesterton International says, "Switzerland has been the skiing destination of the British Royal family for years. Of course, the wealthy and famous still cherish the most exclusive resorts like Verbier, Crans-Montana and Gstaad and have unlimited budgets to buy there. However, Switzerland is now welcoming a wide range of buyers. We have a clientele of retirees looking to spend a large part of the year there."

In the past buyers have tended to dismiss Switzerland because the general perception was that it was a 'super rich' destination. "Buyers have always viewed Switzerland as being exceptionally expensive, but if you look closely apartments in the Swiss Alps can be larger than in the French Alps for the same money", explains Hawkins. For example, Chesterton is currently marketing one- and two-bedroom apartments in an authentic Swiss resort, with prices starting at £175,000 for a one-bedroom apartment.

Buying property in Switzerland was impossible for foreigners until recently, but the country has opened up its borders to overseas buyers and has allocated a certain number of permits per canton. Hawkins adds, "Buyers need to understand that buying in Switzerland is a long-term investment – it has a very stable economy, low interest rates and the property market growth is steady".

Switzerland is a country with lasting appeal for holiday makers. In the summer there is a choice of activities to participate in or you could just enjoy the views and fresh mountain air. The fact that it is an all-season destination means that this is an excellent place to invest in as investors will be able to make money from their property all year-round.

Canada
Great scenery but to far away? Not necessarily, although buying a chalet in Canada is less convenient if you want to pop over for the weekend, low-fare airlines like Air Transat and Zoom are now offering cheaper air travel to bring Canadian ski holidays more in line with the price of a European trip.

Demand is growing in Canadian resorts such as Banff and Whistler from buyers with a slightly higher budget, partly because of the summer attractions available. Three Sisters Mountain Village is located just five minutes from Banff National Park in the town of Canmore, Alberta. The resort is within 40 minutes of four world-class ski hills – Norquay/Banff, Sunshine Village, Nakiska and Lake Louise. Jeremy Tomalin Reeves, vice president of marketing at Three Sisters Mountain Village, says, "With such a wealth of options all easily accessible from the resort all levels of skier are catered for from the ultimate beginner to the polished expert with all the tricks".

Pricing at Three Sisters Mountain Village for two- to four-bedroom apartments range from approximately £236,000 to £822,000. While ski property in Canada is certainly not cheap, it's still a good investment. Tomalin Reeves says, "The average multi-family home has appreciated between 20 to 25 per cent per annum over the past three years". Currently, the properties at Three Sisters can only be rented for a minimum of 30 days which means short-term rentals are not possible at the moment.

Canada's ski season normally lasts from November to June, longer than Europe's, meaning resorts attract skiers all year round. Meanwhile, in eastern Canada all resorts have snowmaking facilities, guaranteeing use of the property during the season. And with Whistler, in British Columbia, gearing up to host the 2010 Winter Olympics, Canada's winter property market looks set to continue soaring.

Slovenia
Dubbed the 'Switzerland of Central Europe', Slovenia boasts scenic landscapes with snow-capped mountain peaks. Once a part of the Austro-Hungarian empire and under the thralls of communism, Slovenia now has a thriving economy.

Away from the hot spots, ski property is still very affordable. John Sargent, managing director of Slovenian Properties says, " Expect to pay around 70,000 euros for a one-bedroom apartment; houses in the north of the country with good access to the slopes cost from as little as 30,000 euros".

The four main skiing areas known to the British are Kranjska Gora, Bohinj, Bovec and Maribor. Sargent says, "These all offer a mix of down hill and cross-country skiing. The Kranjska Gora area includes world-class ski jumps at Planica where there are also future plans for expansion". According to Sargent, ski property in Slovenia can be used during both the winter and summer seasons. "There are fantastic opportunities for mountain hiking and walking, river rafting and canoeing", he says. "The ski resorts have summer season rental potential as well because they are generally located near hiking and climbing routes. Kranjska Gora obviously has the edge here because of its close to the starting point for many of the classic Julian Alps routes." Sargent continues, "Prices have undoubtedly risen sharply over the past two years in the Kranjska Gora skiing area – from about 1,200 euros per square metre to 3,500 euros and over.  However, other ski properties, particularly in the Lake Bohinj area, near Bovec and around Maribor remain very affordable. These ski areas are not as well known as Kranjska Gora but they are being developed quickly and now is the time to purchase before their prices rise."

It's not just property that offers good value for money in Slovenia: lift passes are also much cheaper than those in the established resorts of France and Switzerland.

Slovakia
Slovakia is a mountainous, largely rural country, with peaks reaching over 2,000 metres and property prices among the lowest in Europe. There is up to three months snow coverage, and the ski facilities in the High Tatras Mountains are well established. Petra Gajdosikova, managing director of Slovakia Investment Property, says, "Slovakia's main resorts have been established for many decades and have kept attracting large numbers of local and foreign tourists every year. The largest Slovak resorts have been improving at an impressive pace, fuelled by the tens of millions of euros that each has invested on new ski gondolas, slopes and lifts."

Slovakia's ski resorts are starting to attract higher spending western tourists which is creating more demand and stronger rental yields for buyers. Gajdosikova explains, "Apart from great snow conditions, well-kept runs and modern facilities, Slovak ski regions attract visitors because of the unspoilt nature as well as attractions such as thermal water parks, castles, caves, waterfalls and ancient towns".

There are several popular mountain ranges in Slovakia, the most well known being the High and Low Tatras, Velka and Mala Fatra. Gajdosikova says, "Most of the new projects in the ski regions are now quite expensive due to the recent surge of popularity of wealthier Slovak families buying a holiday home for their own use. They are willing to pay extremely high prices as they are not buying for rental returns."

However, it is still possible to buy at a good price. For example, Slovakia Investment Property has recently released nine chalets near the Liptovska Mara reservoir and within a short ten-minute drive to Jasna. For a three-bedroom house, two-bathroom house prices start at just £80,000. According to Gajdosikova, "If you want to have any chance of renting your property out to holidaymakers, it needs to be in or very close to an established and popular ski resort or main tourist centre".

Bulgaria
Ski investment property in Bulgaria seems to be the investment choice de jour due to mass media marketing of the country as an emerging market and the potential of the country's winter sports tourism.

Prices on the slopes are lower than in France or Switzerland, although they have increased considerably in recent months. Mark Collard from Jigsaw Properties says, "As Bulgaria is still an emerging market, entry prices are still very low. As Bulgaria will soon be a full member of the EU, this will ensure that money continues to be invested in infrastructure and provides more stability and security for the investor." Millions of euros are being spent transforming the small Bulgarian town of Bansko. Collard adds, "Bansko is probably the most talked about region of Bulgaria as it offers great skiing for all levels, the town has lots of character and lift tickets and food and drink are very inexpensive". The Capital city, Sofia, has lots to offer too, according to Collard, "You could potentially land at the airport and be skiing within half an hour. The number of people living in Sofia has nearly quadrupled in just four years, and so the rental market is strong and there is a demand for quality properties. Ski properties in Sofia will also offer year-round rental opportunities as it has dual appeal to skiers and to people that live in the city", adds Collard. 

In Bansko, prices start at around £30,000 for a studio apartment, and the typical cost of a two-bedroom property is around £65,000. In Sofia, ski properties start from just £31,000 and two-bedroom apartments from £113,00. Bulgaria isn't Chamonix and experienced skiers might be disappointed, but investors or beginners on a budget might want to get in before Bansko's transformation is complete.

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For further information:
Pierre & Vacances Property Investment  
Chesterton International
Three Sisters Mountain Village
Slovenian Properties
Slovakia Investment Property  
Jigsaw Properties

Article published in December 2006