A 4-Bed room Penthouse within the Austrian Alps
$1.5 MILLION (1.three MILLION EUROS)
This four-bedroom penthouse sits on a plateau on the foot of the Grossvenediger, an 11,700-foot glacier-topped mountain that looms over the village of Neukirchen am Grossvenediger, within the Austrian Alps.
In-built 2016 on the second flooring of a south-facing farmhouse-style chalet with overhanging eaves, the 1,615-square-foot house has uncovered beams and vaulted rafters with a ceiling peak of about 16 toes, mentioned Florian Hofer, a managing director in Austria for Engel & Völkers, which has the itemizing. Balconies at both finish of the penthouse and a loggia overlook among the 16 different close by chalets with mountain views paying homage to “The Sound of Music,” which was set in Salzburg.
Steps lead from a ground-level entry to the penthouse’s thick wooden door. The wood-clad nice room encompasses the residing, eating and kitchen areas, with extensive plank flooring, a fire and a floor-to-ceiling, triple-insulated glass door that slides open to a loggia protected against the weather on three sides. The balcony has ornamental wooden railings with fanciful carvings close to the chalet’s peak.
The J-shaped kitchen has white laminate cupboards, a wood-patterned laminate countertop and a raised breakfast bar. A picture of mountains is printed on a glass backsplash throughout the wall.
A brief corridor results in a spa rest room with a glass-walled sauna and an adjoining leisure space with mountain views. A second door from the spa opens to the principle bed room.
Three bedrooms have en suite baths and double doorways to a again balcony. The fourth bed room opens to the entrance balcony.
Two parking spots in an underground group storage are reserved for the penthouse, with a stroll of about 40 yards alongside a path to the chalet.
Neukirchen am Grossvenediger, with about 2,500 residents, is within the western portion of the 715-square-mile Hohe Tauern Nationwide Park. The penthouse is inside 30 minutes of 5 ski areas, together with Kitzbuhel, a modern winter resort with tony outlets at its medieval middle and an annual downhill race occasion, the Hahnenkamm. Zell Am See, a metropolis of about 10,000 identified for winter sports activities and summers on the shores of Lake Zell, is 40 minutes east.
The medieval metropolis of Salzburg, with about 150,000 residents and a declare to fame because the birthplace of Wolfgang Amadeus Mozart, is 90 miles north. Salzburg Airport offers flights to different European cities. Munich Worldwide Airport is a two-hour drive.
Salzburg has loved a strong decade of housing-market progress, with costs within the metropolis rising 110 p.c throughout that interval (and much more on the excessive finish), brokers mentioned. That’s in keeping with nationwide developments: Housing costs throughout Austria surged upward in 2019, rising by about eight p.c year-over-year, in keeping with Oesterreichische Nationalbank, the central financial institution of Austria.
The town attracts giant numbers of vacationers and college students attending certainly one of its three universities. Patrons typically search renovated residences in Salzburg’s Baroque city middle, a UNESCO World Heritage Website, in addition to lakeside houses within the Salzkammergut, a close-by area of lakes, valleys, rolling hills and steep alpine mountains.
When the coronavirus pandemic shuttered the marketplace for about six weeks beginning in mid-March, “there was a postponement of sure discussions and transactions, however not an actual shutdown,” mentioned Mark Hüsges, a license associate of Engel & Völkers Zell Am See.
Costs remained “extraordinarily steady and can proceed to rise as they did the previous couple of years,” Mr. Hüsges added. “I don’t see any destructive consequence of Covid.”
Though about half of Salzburg’s residents hire their houses, “individuals have reconsidered their choices,” Mr. Hüsges mentioned, with a push to extra suburban areas with “small homes and small gardens,” in case of a second lockdown. “Earlier than Covid, they might have spent cash on a metropolis house,” he added.
As of Sept. 22, Austria had recorded 39,303 instances of Covid-19 and 771 deaths, in keeping with the New York Times’s coronavirus map. A recent surge of cases, primarily in the capital of Vienna, prompted chancellor Sebastian Kurz to reimpose mask-waring mandates in early September.
Since the pandemic’s summer peak, prices in high-end areas “have gone up by 7 to 8 percent, said Marlies Muhr, owner and chief executive of Marlies Muhr Real Estate. Afraid of losing money to inflation, “people are running up real estate right now,” Ms. Muhr said.
Inventory is low in Salzburg city, where new development is curtailed by numerous “green land zones,” she said. Pickings are also slim in the Salzkammergut.
“Because of the lockdown, people found it is worthwhile to have their own property on a lake, instead of being locked up in an apartment,” she said. Some clients, shopping virtually, “bought properties without even going inside, without even going to the location.”
Sales have been helped by the ability to get “good financing” with very low interest rates, she said.
The markets in Salzburg and Vienna, about 200 miles east, run between 5,000 and 7,000 euros a square meter ($550 to $770 a square foot), said Alex Koch de Gooreynd, a partner at Knight Frank who works on the international residential sales team. Innsbruck and Bregenz are about 5 percent more expensive, said Richard Buxbaum, the head of residential property at the Vienna-based agency Otto Immobilien.
The high end begins just below 750,000 euros ($900,000) and goes up to 15 million euros ($17.8 million), Ms. Muhr said. A newer two-story, 3,200 square foot brick house with a basement and with garage on a quarter-acre lot in a good neighborhood might get 3 million euros ($3.5 million). New penthouses with roof gardens run 20,000 euros ($23,700) a square meter. Properties with views of the Hohensalzburg Fortress, a fully preserved medieval castle above Salzburg’s historical center, command an extra 25 percent.
Demand is particularly high in Kitzbuhel, “a very expensive market,” in part to its proximity to Munich (about 90 minutes) and Salzburg (60 minutes). “Prices there went through the roof,” Ms. Muhr said.
In Vienna, prestigious mansions changed hands in 2020 “for as much as 11.5 million euros ($13.6 million). Exclusive freehold apartments have reached top prices per square meter of up to 24,500 euros ($29 million),” said John Philipp Niemann, a managing director in Vienna for Engel & Völkers.
Who Buys in Austria
Many high-net-worth Germans move their residences to Austria “because of the lack of an inheritance tax,” Ms. Muhr said, though taxes are typically higher in Austria than in other European Union nations. British and Dutch citizens tend to buy in the ski areas, while Italian buyers go to Vienna, Salzburg or Innsbruck, which is closer to Italy, she said. Chinese clients also buy in Vienna.
Swiss nationals and Austrians living abroad also buy in Vienna, Mr. Niemann said, with the majority of buyers gravitating “toward luxury new developments and refurbished heritage buildings with state-of-the-art fittings and amenities.”
Americans “love Salzburg as a cultural and holiday destination as well as a place to live,” Mr. Hüsges said.
Buyers in ski and vacation areas like Zell am See and Kitzbuhel as well as Innsbruck are mainly from Germany, Netherlands, Belgium, Italy and Britain, Mr. Hofer said.
This chalet is on a plot licensed for tourist use. Though the owner can live there, the penthouse must be rented out “for a certain number of weeks each year,” Mr. Hofer said. In order to purchase Austrian real estate, Americans and other buyers outside the European Union must form a corporation in Austria or elsewhere in the European Union. A tax adviser should be consulted, Mr. Hofer added.
In Salzburg state, using a property as a holiday home or for tourist lodging “is subject to stringent restrictions, unless the property is in one of the few municipalities that have not yet reached its maximum quota of second homes, currently 16 percent,” said Dr. Johann Brundl, a notary.
A property “may only be used as second home in a second-home area,” designated on a zoning plan, and not used as a main residence or for tourist lodging, said Dr. Brundl.
Mortgages are available with 30 percent down, Ms. Muhr said.
Languages and Currency
German; euro (1 euro = $1.18)
Taxes and Fees
Beyond a onetime 3.5 percent fee at closing and a 1.1 percent land registry fee, there are no annual property taxes in Austria. Homeowners pay an annual fee of about 630 euros ($745) for water usage, sewage and garbage collection, Ms. Muhr said.
Notary and lawyer fees range from 1 to 2 percent of the purchase price, plus a value-added tax of 20 percent, Dr. Brundl said.
Buyers and sellers each pay a 3 percent commission to the real estate agent.
Florian Hofer, Engel & Völkers, 011-49-171-83-08-379; engelvoelkers.com
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