New-Build vs. Resale Ski Properties in the French Alps
If you are considering purchasing a ski property in the French Alps, you may be wondering whether it would be better to opt for a new-build or off-plan property or go for a resale property already built. Both options have their benefits and drawbacks, so it’s essential to carefully consider your options before making a decision.
Taylor-made Layouts in New-Build Properties
One advantage of choosing a new-build or off-plan property is that you can customise the layout to your liking before it is built. This means that you can ensure that the property meets your specific needs and preferences, rather than having to make do with a property that may not be perfectly suited to you. You can also add a sauna or a hot tub or fit the perfect kitchen.
Amenities and Rental Management in New-Build Ski Developments
Additionally, new-build ski properties often come with a range of facilities, such as a spa, swimming pool, and gym (even a reception for the more significant projects). This can be a great advantage if you are looking for a property that offers a high level of comfort and convenience.
Another benefit of new-build properties is that they tend to be better insulated and have better soundproofing than older ones, which can be vital if you rent the property. Additionally, new-build properties come with a 10-year guarantee, which can give you added peace of mind and protection against potential issues.
Legal and Financial Considerations for New-Build Ski Properties
Regarding legal and financial considerations, new-build properties may offer some advantages. In France, legal fees and stamp duty are reduced for new-build properties. The rate on average is just 2% of the full property price instead of the usual 7-8% that you pay for resale properties. This can represent a significant saving if you purchase a property in the French Alps.
In the last 10 years, new-build properties in France do not pay the taxe fonciere for the first two years. This was established to encourage building new constructions in France. Expect about 15€/sqm/year, so about 900€/year for a 60sqm property.
Additionally, many new-build ski properties offer fully-managed rental services. This can be of great help if you plan to rent out the property when you are not using it to generate passive income.
The Benefits of Choosing a Resale Ski Property
On the other hand, there are also some advantages to choosing a resale property already built. One of the main benefits is that you won’t have to wait 12-24 months for the property to be completed, as is often the case with new builds. This means that you can move in and start using the property much sooner. Additionally, if the property is already rented out, you will have a better idea of what to expect regarding rental income and demand. Finally, if you choose a resale property that is available for viewing, you might be able to stay in the property and test it out before making a decision. This can be a great way to get a feel for the property and ensure that it meets your needs.
Ultimately, the best option for a ski property in the French Alps will depend on your circumstances and priorities. If you are looking for a property that can be customised to your specific needs and preferences and offers a range of amenities and rental management services, a new-build or off-plan property may be the best choice. On the other hand, if you are looking for a property that you can move into more quickly and with a proven rental track record, a resale property may be the better option.
Location and Price: Key Factors to Consider When Buying A Ski Property
- Location is an important factor to consider when deciding between a new-build/off-plan property and a resale property.
- New-build properties are often located in newer developments or areas that are still being developed, while resale properties can be found in established areas of ski resorts.
- To counter this, developers of new-build ski properties may transform old unrenovated hotels into luxury apartments.
- Newer developments in major ski resorts may be rare, so you may have more options if you consider a resale property.
- Price is another factor to consider when choosing between a new build and a resale property.
- New-build properties may be more expensive due to the cost of construction and added facilities like a Spa, reception or even charging stations for electric cars.
- The price of a ski property can be affected by location, size, condition, and demand in the area.
Financing a Ski Property: New-Build vs Resale
In terms of financing a ski property, both new-build and resale properties can be purchased using a French mortgage. However, it’s worth noting that lenders may have different requirements for new-build properties, as the property has not yet been built and may not yet have a valuation. As such, it is essential to speak with a mortgage broker or lender to understand what options are available to you.
Whether you choose a new-build, off-plan, or resale property will depend on your specific needs and priorities. So, it is always a good idea to do thorough research and seek the advice of experts before making a decision. By weighing the pros and cons of each option and considering factors such as location, price, and financing, you can make an informed decision that is right for you.
It’s worth noting that in some ski resorts, such as Alpe d’Huez or La Plagne, there can be a shortage of resale properties for sale. This can be due to several factors, including the fact that resale properties in these resorts tend to sell quickly, often before they are even officially listed.
Today, buyers’expectations have also changed and as a rule these last few years, they are looking for more extensive properties with two or three bedrooms minimum and of a higher standard. Unfortunately, many resale properties tend to be smaller and often substandard.
Additionally, some ski resorts may have few new-build ski developments available, or the new-build developments may be more expensive to purchase, pricing out many potential buyers who then turn to the resale market and the catch-22 continues.
Exploring Alternative Options: Fractional Ownership for your ski property
This shortage of resale ski properties can be a challenge for those looking to purchase a ski property in these resorts. Some buyers are considering fractional ownership. Fractional ownership, also called co-ownership, allows individuals to acquire a share in a premium ski property without having to pay the full price and take on the total running costs of a second home. Typically these fractional properties are sold in 1/8th shares giving you 1.5 months/year to use your property. See here more info about fractional ownership for second homes.
This can be a good option for those who want to own a ski property but cannot afford the full price of a new-build or resale property or do not want to take on the full responsibilities of property ownership.
Making an Informed Decision: Do Your Research and Seek Expert Advice
Overall, it’s essential to carefully consider your options when purchasing a ski property in the French Alps and to be prepared to explore a range of options to find the property that best meets your needs and budget. Whether you choose a new-build or off-plan ski property, a resale property, or opt for fractional ownership, it is important to do your research and seek the advice of experts to ensure that you make an informed and confident decision.
In conclusion, purchasing a ski property in the French Alps is a significant decision that requires careful consideration. Both new-build and resale properties have their benefits and drawbacks, and the best option for you will depend on your specific needs and priorities.
If you are considering purchasing a ski property in the French Alps and are looking for expert guidance and assistance, Findhomeabroad can help. With over two decades of experience as a new-build agent for ski properties in the French Alps, Findhomeabroad has a wealth of knowledge and expertise. Additionally, the company has strong partnerships with experts in the resale market. You can trust Findhomeabroad to help you navigate the process of purchasing a ski property in the French Alps and find the property that best meets your needs.
A quick recap for you:
- New-build or off-plan ski properties offer the opportunity to customise the layout to your specific needs and preferences
- New-build ski properties often come with amenities like a spa, swimming pool, gym, or reception
- New-build properties tend to be better insulated and have better soundproofing
- New-build ski properties for sale come with a 10-year guarantee
- Legal fees and stamp duty are reduced for new-build properties in France
- Rental management services may be available for new-build ski properties
- Resale ski properties are available to move into more quickly
- If a resale property is already rented out, you have a better idea of what to expect in terms of rental income and demand
- You can test out a resale property before buying if viewings are available
- Location and price are important factors to consider when choosing between new-build and resale properties
- Both new-build and resale properties can be financed with a mortgage, but lenders may have different requirements for new-build properties
- Fractional ownership for ski properties is a potential alternative to traditional property ownership