Some recent articles from Gewinn and the Tiroler Tagezeitung on the Austrian property market in general, and news on the “Serviced Apartment” sector in Tirol specifically (to be clear, these are dual-season, buy-to-let, ski apartments which are rented to tourists throughout the year).
Skiurlaub mit Rendite Dezember 2022
Summary overview:
We are experiencing high demand from EU buyers, especially from the German-speaking and Benelux countries;
Austrians have become aware of the great opportunities to invest in their country’s tourism sector;
Thanks to strategic planning laws and restrictions on development, pent up demand for ski apartments is outweighing supply which in turn is supporting the current trend in strong capital growth – average house prices rose 12.9% year-on-year across Austria in 2021;
Experienced investors are seeking second and third properties in the Alps during the current inflation surge;
Real estate traditionally acts as a hedge during periods of high inflation, as the real asset holds its value, and rental income is indexed with inflation;
When rented out fully to the tourism market, our self-catering ski apartments can deliver an average 4% annual return over 10 years on rental performance alone and the general view is that this is the last Winter of disruption as major skiing markets in Europe exit the pandemic.
Kristall Spaces is currently offering 4 completed apartments in Fieberbrunn and 14 apartments in Ischgl which will be completed in October 2022.
Further projects will be announced in Q2 2022.
