Bulgaria is one of the cheapest overseas property destinations in Europe that gives you full value for your money. Bulgaria is a beautiful and diverse country. If you are looking to buy a villa or apartment in Bulgaria, you will have a lot of options available to you.
You can buy a beachfront apartment in Sunny Beach on the Black Sea Coast, or a ski chalet in Bansko, which is one of the best ski resorts in Europe. Or you may settle for a city life in Sofia, the capital of Bulgaria. No matter where you buy a villa or apartment in Bulgaria, you are guaranteed one thing – they are as cheap as it gets. In fact, you can buy a decent apartment in Sunny Beach for as little as 25,000 to 50,000 EUR.
What’s there to like about Bulgaria apart from the low prices? You will like the fact that Bulgaria has a great climate with lovely mountain views and a vast unspoiled Black Sea Coast. There are plenty of opportunities for water sports in beach resorts such as Sunny Beach and winter sports in ski resorts such as Bansko. There is something for everyone in Bulgaria, which is why it is such a great destination for overseas property hunters.
Buying Property in Bulgaria – How It Works
As a foreigner, you cannot buy land in Bulgaria directly. If you want to buy an apartment, you can do so directly in your own name. But if you want to buy a villa in Bulgaria, you will need to register a Bulgarian Limited Company with yourself as the sole owner and buy the property through the company. Since you are the sole owner of the company, you will enjoy full ownership over the property. For sure this is complicated, but it’s nothing to worry about. Also, this restriction is expected to be removed any time now.
You will be required to pay property purchase taxes worth 2 to 4 percent of the property price. This tax is set by the local municipality. There is a land registry tax worth 0.15% of the property price that has to be paid as well. There is no VAT or value added tax on residential properties in Bulgaria.
There are other costs related to the property, such as the estate agent’s commission, which is set at 3 to 5 percent of the purchase price. The lawyer’s fee amounts to 1% of the property price.
If you are buying a villa in Bulgaria, you will need to get a company registered with yourself as a sole owner. This requires a deposit of 1800 EUR and setting up of a company bank account worth 2500 EUR. You will have access to this money once the company has been set up. The registration fee will amount to 750 EUR.
Other fees include the notary’s fee, which amounts to 300 EUR, the translator’s fee, which should not be more than 50 EUR.
Finally, it is important to hire a lawyer when purchasing property in Bulgaria because of the complex laws in the country. As a foreign buyer, there is no way for you to navigate the complicated regulations in place in the Bulgarian property market such as setting up a Bulgarian Limited Company for the purpose of the purchase. It is best to hire a reputable lawyer for these purposes.
Bulgaria Property Market Outlook 2016
Property prices in Bulgaria are among the lowest in Europe and they will continue to remain so. But prices have been rising fast, especially in beach resorts such as Sunny Beach. There is a great demand for residential properties in Bulgaria from Russian buyers, as well from British and Irish buyers.
Contact us today with your Budget and we will source any type of property in any region of the country for you.