The Property Market in Bulgaria
Following the country’s transition to a market economy, the development of the retail property market has been difficult, but steady.
The last few years have seen an essential positive change, especially in the big towns, at the mountain resorts and on the Black Sea coast, where a lot of new buildings have been constructed.
In accordance with the Commercial Act in Bulgaria, foreign persons (business entities registered abroad or foreign citizens with permanent residence abroad) may acquire ownership over properties in Bulgaria and limited ownership over real estate, with the right to construct buildings. There are certain legal limitations to foreign persons to acquire ownership over land, which are practically more of a hurdle than a prohibition.
The harmonisation of Bulgarian legislation with that of the European Union makes the procedure of a real estate transaction in Bulgaria not much different than in other European countries. The costs associated with the transaction are, however, lower. As elsewhere in Europe, the transfer is subject to notary and municipal fees. The notary fees are approximately 0.4% of the declared price. The municipal fees are 2% of the declared price of the property and are paid to the municipality in which the real property is situated.
Houses and properties in the mountain and coastal regions can range from £10,000 - £25,000+ for a 3, 4, or 5 bedroom property with land. Tourist areas at the Black Sea and in the popular ski resorts prices rise to around £35,000 for 1/2 bed apartments to £75,000+ for detached properties - depending on exact location.
The last few years have seen an essential positive change, especially in the big towns, at the mountain resorts and on the Black Sea coast, where a lot of new buildings have been constructed.
In accordance with the Commercial Act in Bulgaria, foreign persons (business entities registered abroad or foreign citizens with permanent residence abroad) may acquire ownership over properties in Bulgaria and limited ownership over real estate, with the right to construct buildings. There are certain legal limitations to foreign persons to acquire ownership over land, which are practically more of a hurdle than a prohibition.
The harmonisation of Bulgarian legislation with that of the European Union makes the procedure of a real estate transaction in Bulgaria not much different than in other European countries. The costs associated with the transaction are, however, lower. As elsewhere in Europe, the transfer is subject to notary and municipal fees. The notary fees are approximately 0.4% of the declared price. The municipal fees are 2% of the declared price of the property and are paid to the municipality in which the real property is situated.
Houses and properties in the mountain and coastal regions can range from £10,000 - £25,000+ for a 3, 4, or 5 bedroom property with land. Tourist areas at the Black Sea and in the popular ski resorts prices rise to around £35,000 for 1/2 bed apartments to £75,000+ for detached properties - depending on exact location.
