The mountain housing market has seen increased interest in recent years: the echo of well-known international destinations – from Courmayeur to Cortina d’Ampezzo, from Sestriere to Madonna di Campiglio – attracts not only winter sports enthusiasts looking for a second home to relax in, but also Italian and international investors. But in terms of prices per square meter, the most famous Alpine resorts can be quite expensive compared to national average values, indicating the high value of the real estate market in the most renowned mountain destinations.
Unlike some equally popular seaside resorts, Alpine tourist destinations are less affected by seasonality and have the advantage of being attractive in both winter and summer. Rental income, in fact, remains both a long-term and short-term earning opportunity that justifies investment in a mountain home. Especially in tourist locations, short-term rentals (e.g. on platforms like Airbnb) are an additional option for homeowners seeking supplementary income, provided they have an adequate structure for managing arrivals and departures.
Madonna di Campiglio has the highest prices
According to an analysis conducted by Reopla, Madonna di Campiglio tops the list of the main Alpine tourist resorts in terms of maximum sales prices for high-end or new construction apartments, with values reaching 15,000 €/sqm. Another town ranking high is Cortina d’Ampezzo, where the price for an apartment in the city center can easily exceed 10,000 euros per square meter, while in destinations such as Sestriere, Cervinia, and Livigno, the value for a downtown apartment can easily exceed 5,000 euros per square meter.
The short-term rental market in the mountains
The short-term rental market is also lively. Based on Istat data on the census of beds in Italy, Legambiente calculated that in Alpine resorts, beds in non-hotel facilities represent 46% of the total. In some destinations, non-hotel facilities easily surpass more traditional forms of accommodation (hotels, touristic resorts): in Cortina d’Ampezzo, for example, 65% of the beds are in non-hotel facilities, and in such cases, according to the Revenue Agency, monthly rental values ranged in 2022 between 20 and 26 euros per square meter. In Bormio, monthly rental prices are lower, between 11 and 16 euros per square meter, while in Courmayeur they are between 9 and 13. Interestingly, rental prices decrease significantly when leaving the Alpine region: in Abetone, in the province of Pistoia, the monthly rent per square meter ranges between 5 and 7 euros per square meter; while in the Udinese mountains, in Forni di Sopra, the monthly rent does not exceed 5 euros per square meter.
Why it’s a good idea to invest in the mountain real estate market
In recent years, the values of mountain homes – at least in the mentioned locations – have been stable or even significantly increasing, making this type of transaction even more attractive. For example, if it takes at least 850,000 € to buy a 100 square meter property in Courmayeur, Reopla’s analysis shows that the average short-term rental income could be around 250 € per night; assuming the property is rented for 200 days a year, the gross gain would be +5.8%. The return is even greater in Sestriere: with the same investment and a requirement of 450,000 € to purchase a house of the same size, renting for 200 nights at an average rate of 150€ per night, the gain could rise to +6.6%.
Unlike other areas of the country, such as large cities, the mountain home real estate market experiences less price fluctuation and volatility. For this reason, a mountain home can be an excellent opportunity for a diversified investment: this kind of real estate investments can differ from those in large cities in both property type and market; this means that the investor has the opportunity to diversify their portfolio and reduce the overall risk.
