Investors chase cap rates. Vail buyers chase something better.

There's a financial concept I share with clients that captures what makes Vail/Beaver Creek different. I call it the powder dividend. You can buy a strip mall in Florida with a higher capitalization rate, but the skiing is not so great there. Vail offers both financial appreciation and lifestyle return.

Since 1980, Vail properties have averaged over seven percent annual appreciation. Remove the post-COVID anomaly, and the trend line is remarkably consistent. Add ultra-low property taxes and manageable carrying costs, and the investment case strengthens. But the real value proposition goes beyond spreadsheets.

You're purchasing access. Access to one of North America's premier ski mountains. Access to 5,000 full-time residents who act as concierges. Access to a cultural scene that includes everything from the New York Philharmonic  to world-class dining. Access to safety, where families feel comfortable letting kids ride the free bus system unaccompanied.

This isn't about buying a vacation rental with cashflow potential. It's about securing an asset that appreciates while you use it. The property works financially while you ski powder, bike single track, or simply enjoy summer evenings in the village.

The market supports this approach because supply is genuinely constrained. National forest boundaries mean Vail cannot sprawl. New development is redevelopment. When a project happens, it's typically tear-down and rebuild, not greenfield expansion. This limitation creates long-term value protection.

Current market conditions present opportunities, particularly for buyers who understand what they're purchasing. The shift toward buyer advantage at lower price points doesn't reflect weakness. It reflects normal market cycles in a destination that has consistently recovered and exceeded previous peaks.

For sellers, positioning matters. Properties that highlight lifestyle value alongside financial metrics perform better. Ski-in ski-out access, proximity to village amenities, views, and community features drive buyer decisions here more than price per square foot comparisons.

The powder dividend isn't just a clever phrase (although it is, if I must say so myself). It's the fundamental reason people invest in Vail. They want appreciation with enjoyment. They want their capital to work while they ski. And over decades, Vail and Beaver Creek have delivered both.

If you're evaluating mountain real estate purely on financial returns, you're missing half the equation. The other half happens every powder day.