Fashionable Swiss ski resort Verbier is firmly on the radar of international buyers as 2021 approaches, according to Skiingproperty.com.
The website says that the high-end resort – located in the Valais Canton in the south west of Switzerland – is popular with investors due to its off-piste lifestyle and the enduring tax-friendliness and safe haven status of Switzerland.
Julian Walker, director at Skiingproperty.com, says that the resort is increasingly suited to year-round family living and its appeal among wealthy buyers is reaching ‘another level’.
Below, Skiingproperty.com reveals five reasons why more and more international investors are targeting Verbier as the destination for their next ski property purchase.
1. A go-to resort for the rich and famous
Verbier is popular with royals and a select group of celebrities, according to Skiingproperty.com. It says that the purpose-built resort avoids the glitz found in other Alpine resorts and benefits from a ‘classy down-to-earthiness’.
Investors in Verbier can benefit from private low-density luxury chalets and a huge skiing area.
Over the years, Richard Branson and the Duke and Duchess of York have owned properties here, while it is also regularly visited by the Belgian, Swedish and Danish royal families.
Other famous faces that have been spotted in Verbier include the Beckhams, Bono, Ronan Keating and James Blunt.
2. A favourable tax system for overseas investors
The tax system in Switzerland has attractive incentives for investors who become residents. For investors in Valais – where Verbier is located – the Lump Sum Taxation scheme allows residents to be be taxed on their annual living expenditure rather than worldwide income or assets.
Skiingproperty.com says that there are a range of other schemes for foreigners looking to set up a company in Switzerland so they can register and work as self-employed.
3. A high-performer for property value and growth
According to Skiingproperty.com, Verbier is outperforming other high-end Swiss resorts when it comes to property value and growth. It points to a recent Knight Frank Ski Property Report which suggests that the resort has the third highest average price for prime property in both the Swiss and French Alps at €21,900 per sq metre.
Meanwhile, at the end of June, Verbier recorded the highest annual rise in the typical price of a luxury chalet of all Swiss ski resorts – an increase of almost 3%.
4. Swiss currency is a ‘safe haven’
The Swiss Franc is seen as a currency of safety and security for many international investors, particularly at a time like the present when there is widespread global economic uncertainty.
Skiingproperty.com says that Swiss Franc-based assets are even more attractive at the moment due to the instability caused by Covid-19, Brexit and the US election.
Swiss interest rates are currently being held in negative territory (-0.75%), so investing in property is seen as a preferred option for income generation and wealth preservation.
5. A gateway to the Four Valleys
Due to its proximity to the Four Valleys ski area, Verbier provides residents with some of the best and most diverse pistes in the world.
The area is increasingly becoming a ‘magnet’ for investors looking to escape busy urban lifestyles and more full-time or for a few months of the year to a healthier Alpine environment.
According to Skiingproperty.com, during the Covid-19 pandemic many residents of Geneva – which is a two-hour drive away – retreated to their Verbier homes.
It adds that extensive leisure amenities, including a golf course, and the prestigious Lemania-Verbier International School mean the resort is extremely popular with families.
This post has originally been featured in Property Investor Today.