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Jan 2022

Before the pandemic, buying a property in a mountain resort was seen as an investment for a small group of people with very high incomes, but the Covid-19 experience has brought a significant increase in the number of such purchases. Following successive bottlenecks brought on by the health crisis, more and more people are now looking for more open spaces, fresh air and a better life, and because of this, mountain properties have never been more sought after than now, says the annual Savills study “Ski Report, Winter 2021-22”.

The mountains are seen as a year-round tourist destination, and those with properties in mountain areas can generate rents for longer periods of time, so interest in property investment has increased significantly this year.

Even though the first quarter of 2021 was visibly affected in terms of applications, the transaction volume doubled compared to the previous year and fierce competition has emerged in this niche, especially for premium properties in the world’s most exclusive mountain resorts.

It may be hard to believe that Romania will ever reach the top of Europe’s ski destinations, but Romanian mountain resorts have a high development potential and could attract investors in the coming years. However, in order for this kind of alternative activity to become attractive to institutional investors, not only to individual investors, mountain resorts in Romania should attract a significant number of foreign tourists, and this depends to a large extent on public investments made in the promotion and development of areas with tourism potential in the country.

In terms of motivation, 80% of the respondents with budgets below 1 million euro buy mountain properties to rent, while for the remaining 20% with budgets in this threshold, they use the properties to live in them or for personal purposes.

Proximity to the party and to clubs and restaurants and availability in both summer and winter are among the top reasons why buyers prefer properties in mountain resorts.

Among the other reasons why buyers choose these areas to buy real estate are:

High potential for tourism and business – A city like Brasov, for example, is booming. Major companies and multinationals are considering locating their headquarters in the area, so the standard of living increases. Also, the tourist attractions attract visitors, so the sales and rental prices and yields increase over time, with occupancy increasing.

The cleaner air, the cleaner town and the view so important in the decision to buy an apartment – It goes without saying that living in a mountain town leads to a better quality of life – from the clean air that contributes to better health and the relaxation facilities on offer (ski slopes, mountain resorts for extreme sports enthusiasts, thermal springs, etc.) to the view offered by the apartments available in almost any part of town, which counts for more than 98% of buyers.
Easy access to tourist destinations – the distance from the city to the tourist resorts is of course very short, so most buyers consider it an advantage that they do not have to buy accommodation, but can come straight home after a day spent in the area.

Last but not least, it is rightly considered that people living in mountainous areas are less stressed than those living in metropolises or capitals, thus explaining the trend of people looking for properties in the countryside or in areas with less pollution and traffic.
There is only one drawback: from year to year the ski season gets shorter (especially at lower altitudes): Romania’s mountains are more miserable than their central European brothers, the Alps. The reason is clear: climate warming. I invite you to activate the notifications at the end of this video for future live videos in which we will come back with solutions and innovations to lower carbon emissions and help us to have snow in the coming years.

If you’re interested in mountain properties, we’re here to help you choose the right one for you.

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