St. Moritz: Demand for top properties remains high

The residential property market in St. Moritz saw stable development in 2018. The reason for this is the continued high demand for premium properties from buyers both in Switzerland and other European countries. “St. Moritz is one of the most exclusive winter sports resorts in the world. Its attractive setting amidst the lakes of the Engadine Valley means properties here in very good locations and with very high-quality amenities are still commanding top prices,” said Barbara Jost-Derksen, Licence Partner and Managing Director of Engel & Völkers in St. Moritz.

The Suvretta hillside is most expensive residential address in St. Moritz

One of the top locations remains the Suvretta-Hang, or Suvretta hillside, on the south side of Piz Nair, the mountain overlooking St. Moritz. Substantially sized homes here in a traditional Engadine style are highly sought after. Properties of this kind reached prices of up to 50 million Swiss francs (approx. 44 million euros) in 2018. In the same period, freehold apartments on the Suvretta hillside reached prices per square metre of up to 27,000 Swiss francs (approx. 24,000 euros). Residential properties in St. Moritz Dorf, or St. Moritz Village, are also extremely desirable. Clients are looking for top-quality houses or freehold apartments here in locations such as Via Tinusand Via Brattas. Buyers’ attention is also shifting increasingly to the surrounding municipalities. These include Sils, Celerina, Silvaplanaand Pontresina, where sale prices for luxury properties were also very high in 2018.

Most international buyers come from Italy and Germany

In St. Moritz, interested buyers are looking for real estate either for their own private use or as a stable capital investment. Their most important purchase criteria are a peaceful, secluded location with unobstructed Alpine views, exclusive fittings and amenities, and a high degree of privacy. Foreign buyers are particularly active on the market at present. In 2018, the share of international clients in St. Moritz was around 30 percent. The majority of buyers come from Germany and Italy. Acquiring a property in the Engadine region comes with restrictions for international buyers however. They are only permitted to purchase homes with a maximum net living space of 200 square metres. “Besides our foreign clientele, we are currently registering a return of domestic buyers to the Engadine,” said Barbara Jost-Derksen.

Outlook: A good time to invest in luxury real estate

Engel & Völkers forecasts that premium property prices will also remain high throughout 2019. Generational change is having an impact on the market too. “We are seeing increasing numbers of elderly owners selling their properties. The availability of homes on the market means now is the ideal time to invest in property in St. Moritz as a sound asset,” Barbara Jost-Derksen revealed. In addition, domestic and international buyers regard St. Moritz as an attractive year-round destination with its diverse sports facilities, well-developed infrastructure and long winter sports season.