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Sarah Watts covers Les Contamines for us but knows St Gervais well. She has just written this market report for a customer. Prices have been broadly stable in St Gervais since 2008. Currently the price advertised is rarely the price paid so, if you see something that seems much too high, it’s likely to be due to an unrealistic valuation or vendor who is not willing to accept the current market conditions, and it is unlikely to be selling.
According to meilleursagents the average price of an apartment in St Gervais is between 2317€ to 4742€ per metre squared, with the average sale being around €3 493 per m2. These figures seem out of touch with reality to me. For a property close to the ski lift that is new or in good condition this price could easily be closer to 4,900€/m2 and good quality new build properties can be more than that.
A chalet would be around the 5500-6000E per m2 for something nice. The prices are very dependant on the quality of finish, there is plenty of property on the market that is feeling quite “tired” by today’s standards.
We have 3 sales going though at the moment in St Gervais. The agreed prices were between 2% and 10% below the asking price. We have just had an offer accepted this week on a 4th property at asking price.
Should you be looking for a 3/ 4 bedroom apartment, you are looking at somewhere around 350-450K. For a chalet in good condition – 650-750K, and a chalet that needs refreshing around 500K.
Property prices vary enormously depending on how close it is to the skiing or at the very least the bus route, the amount of sun, views, outside space and condition. People are often concerned about buying outside of the very centre of the town in case it is “unrentable”. As I often point out, unless you are walking distance in ski boots from the lift (probably a 300m max, you’ll end up taking the car and parking at the free lift car park there for the day. Consequently, if you drive 3 minutes or 6 minutes at the end of the day, it won’t much difference.
I have also personally rented for many years in the past and the fact the property was 3km from town and the skiing, was not an issue. What did make a difference was the garden space. If you get a traditional ski apartment, then it will rent well in the winter, but not in summer if there is no outside space. Some people want to be close to the centre of the village (again more useful in the summer), Bettex for example is favoured by the skiers because of it’s proximity to the slopes in winter.
Nearly all people renting will cover their running costs of the apartment and maybe even make a little profit. You can rent comfortably 8-10 wks in winter and, with an outside space, about 4 weeks in summer.
If you would like to get an idea of rental values take a look at this website holidayinalps.com for some ideas of what rents and for how much. As a guide, for a 5 bedroom high-end chalet this could earn upwards of 35K€ per year gross income. A more modest 3 bedroom ski apartment would be around 15K€ per year.
In terms of suggestions for 3+ bedrooms, I would recommend
Apartment Lumen http://www.alpine-property.com/index.php?page=prop_3_aptlumen
Apartment Crespin http://www.alpine-property.com/index.php?page=prop_3_aptcrespin
We have also extensively written about the area on our area guide here, scroll down for St Gervais info on each of the pages: http://www.alpine-property.com/index.php?page=page461
Finally, remember that on all property a notaire (stamp duty + solicitor fee) is due. This is 7% for older property and 2.5% for new build from a developer (the first figure will increase slightly Q2 2014).
The general feeling is that the market has turned a corner and the prices will not fall from here.
We have just launched the La Comtesse apartments on our website. They are located in the very centre of St Gervais village and will benefit from 2.5% fees.