Real Estate Investмent in Bulgaria
On the territory of Bulgaria, there are the most beautiful and exotic beaches on the Balkans. The beaches, which conquer you with their simple beauty, golden shores and blue waters.
The coast of Bulgaria provides ideal conditions for diving, water skiing, yachting and other recreational activities. Among foreign investments, real estate in Bulgaria is very much desired. This is not surprising, because in Bulgaria there is a large selection of real estate for each buyer at different prices. The acquisition of real estate in Bulgaria is a win-win investment for several reasons. On the coast of Bulgaria, there is a large number of sunny days in a year and very favorable soft climate: winter is not cold and summer is not hot.
The hospitable mentality and ancient culture also have a great significance. Finally, a stable economic and political situation in the country attracts many investors. Low prices – there is one more reason for the popularity of real estate in Bulgaria.
Benefits of investing in real estate in Bulgaria
All real-estate owners in Bulgaria, as well as their family members, are entitled to a D-type visa. The following documents are required for obtaining a visa: Notarized copy of the contract for the sale of a property for sale of an immovable property. A copy of the agreement may be reserved by a notary or the Consolidated Department of the Embassy of the Republic of Bulgaria. References of the tax authorities of the country on lack of debt. A copy of the certificate for the commissioning of the building, in which there is property (the so-called Act 16). References with the place of work or a study or a pension for pensioners. Documents that confirm the financial performance of the customer (bank certificates, help with the current account price).
You will need more documents – you simply cannot know them all. Therefore, we advise you to hire a local consulting firm. In Sofia (the capital of Bulgaria) the choice is large. But we recommend you VD&A. This is Bulgarian consulting and law firm that works mainly with immigrants. Offer corporate services when starting a business in Bulgaria. Do not hesitate to call them. They will also help you if you want to obtain Bulgarian citizenship.
Owners of real estate can apply for a visa for the first time from 6 months to 1 year when they first submit documents. For subsequent applications – for a period of two years and more, you will only need to obtain a visa for the last 2 years. To confirm the required documents, a copy of the visa is requested. The right to obtain a visa to re-enter the country may also be close to the owner of the property, but there are: It is very important to know that the multi-visa is valid for 12 months, that gives you the right to stay in Bulgaria up to 90 days each. Owners of real estate can apply for a visa at the Visa Center of the Republic of Bulgaria in their own city, if it is not – just call to VD&A and they will help you.
It is important to determine whether the object is “clean” with a legal point of view, so that there is no compensation (mortgage, certificates, guarantees, and so on).
It is necessary to know that, in accordance with a large property, a foreign citizen, a permanent immovable property, do not have the right to be free to land. But this question is also quite simple: if you format a legal entity in Bulgaria, you can also shape the ground. Of course, it is impossible to do it yourself. For this, the assistance of a competent lawyer is mandatory. But you already have at your disposal the best law firm in Sofia – VD&A
They are at all stages of the transaction verify the property. Specialists will explain all the details of the purchase and sales process. They will consult you for all kinds of questions, as well as for buying a real estate, as well as for selling it.
Expert opinion on real estate prices in Bulgaria
It is expected that the prices for real estate in Bulgaria in 2020 will remain available to most foreign investors. According to experts, the trends in the real-estate market in 2019 will remain in 2020:
Again, there will be a high demand for one- and two-bedroom apartments in the cities of Sofia, Plovdiv, Varna and Burgas. There are more offers for apartments with two and three bedrooms due to the intensive construction of new houses. A slight reduction in the price of immovable property in large cities may be due to a number of reasons:
Firstly, there are more offers for ready-made apartments.
Secondly, interest rates on mortgage loans will grow slightly.
It is expected that the purchasers will increase their interest in immovable property in closed complexes with guards and a pool. The price of apartments in large cities will slow. While the real estate in such famous places, like Pomorie, Sunny beach, St. Vlas, Pavda, Nesebar. will remain on the same level.
According to the majority of analysts, the purchase of real estate in Bulgaria is considered to be a profitable investment for foreign buyers.
Prices for apartments in Sofia
Residential areas of Sofia are preferable in 2019. The currently available districts for purchase in this year, are much more diverse due to the increase in the possibility of choosing and increasing prices. Neighborhoods in the vicinity of Mountain Vitosha will continue attracting most investors. But the “Banishora” district will take a 2nd place, and this is a surprise. The proximity to the city center and the record of exciting projects quickly prompted the interest of the investors.
So the average prices in the most popular quarters in the 1st quarter of 2019, according to Bulgarian Properties, are:
Vitosha -980 euro for a square meter.
Banishopa -905 euros for a square meter.
“Krasna polyana” -1,200 euros for a square meter.
“Manastirski Livadi” -1,085 euros for a square meter.
Mladost 4 – 1,050 euros for a square meter.
Lulin 2 – 665 euros for a square meter. Etc.
Mountain ski resorts in Bulgaria: Pamporovo, Banko, Borovets – have become very popular. In these cities they have begun to actively develop infrastructural facilities, build residential complexes and centers. Not long ago, back in the summer, a new elite cottage complex appeared not far from the coast. Experts believe that investing in this type of real estate is the most profitable in Bulgaria. So as elite real estate, as well as real estate on the first line of sea resorts are always appreciated.
Taxes in Bulgaria
Taxes in Bulgaria are one of the lowest in Europe. That makes the country very attractive for investment in real estate. The tax on real estate in Bulgaria depends on the inventory, tax and property valuation. This is the so-called “state appraisal” of real estate. For example, the tax on property is 0.15 percent of the relative value of immovable property for individuals. And 0.20 percent for legal entities.
All these subtle details of the purchase of real estate in Bulgaria were explained to us by the experts from the local consulting firm VD&A. And there are many more hidden details that you need to pay attention to…
For the final we will say that in Bulgaria there are no restrictions on the purchase of real estate for foreign investments. And if there are any limits, they are only in your mind ...