With the arrival of winter, ski resorts in France have started to open, with most doing so this weekend.
Each year, between December and April, the resorts cater for around 10 million tourists.
France has no less than 250 ski resorts spread across the different massifs: the Alps, the Pyrenees, the Massif Central and the Vosges.
Whilst the health crisis had a major impact on the resorts, with the closure of ski lifts, the market is nonetheless dynamic.
FNAIM, the French estate agents association, report a 21% increase in transactions in Savoie in 2021.
The notaires in Savoie report that the prices of existing apartments in the department increased by an average of +12.5% to September, whilst in the Haute-Savoie they increased by +6%.
The mountains have become a destination of choice for an increasing number of tourists; the charms of skiing and of winter are no longer the only reason to visit the resorts, as they are fast becoming a holiday and weekend destination for a wide range of activities.
Agents also report that visitors and owners are also staying for longer periods, a trend that took hold during Covid with the growth in teleworking, and which has now become common practice.
As a result, many households no longer hesitate to extend their rental period by one or two weeks, with some even opting for a rental for several months.
Given the attractions of the mountains and the market growth prospects it is not surprising that there is strong buying interest, both from investors and those seeking a holiday home which they can rent out for part of the year.
But in which resorts with good slopes and snow cover is it most interesting financially to invest?
Prello, a French timeshare specialist, has drawn up a list of the most profitable resorts to invest in the Northern Alps, the Southern Alps and the Pyrénées.
The company avoided jumping to the simple conclusion that the most prestigious resorts offered the best prospects, if only because of the price of property in these resorts.
Instead, they based their analysis on the estimated Airbnb income per resort in 2021 and the square metre price of property, from sales registered with the French land registry.
The resorts selected are those with a snow rating of at least 8 and a ski area rating of at least 5 (both out of 10), as classified by Skidata, the authoritative French ski station observatory.
In the Northern Alps the table is topped by the resort of Valmeinier in the Savoie, with a gross profit of 12.40%. They are followed by Les Habères (Habère Poche, Haute-Savoie) at 11.23%; Saint-Jean d'Arves (Savoie) 11.14%; Alpe du Grand Serre (La Morte, Isère) 10.10% and La Norma (Saint-Alban, Savoie) 9.08%.
In the Southern Alps the list is headed by Molines-en-Queyras in the Hautes-Alpes at 13.97%, followed by Montclar les 2 vallées (Alpes-de-Haute-Provence) 12.26%; Vars (Hautes-Alpes) 11.97%; Chaillol (Hautes-Alpes)11.69% and Les Orres (Hautes-Alpes) at 9.47%.
In the Pyrénées top of the pile is Guzet in the commune of Ustou, Ariège at 11.83% followed by Formiguères (Pyrénées-Orientales) at 11.68% and Gourette (Eaux-Bonnes, Pyrénées Atlantiques) at 10.62%.
As is always the case with such reports, there is a health warning, as the figures are also based on estimated historical returns, which may not be the case in the future. The results should only be used as a guide. Nothing beats doing your own on the ground market research, amongst agents, notaires and other market analysts.
Investing in a 'residence de tourisme', in particular, should be undertaken with caution. We have a selection of articles about the issue at Reform of Residences de Tourisme.
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