Bulgaria

'The Land of Roses’

 Buying & Selling:  Bulgaria’s property market is flourishing and still developing compared to most other European countries making it ‘one of Europe’s Hot Spots’, encouraged in recent years by it’s joining the European Union. As Bulgaria becomes more popular, tourism grows with it. Buying in Bulgaria is easy and no more or less difficult than buying in any other foreign country, although you do need to pay particular attention to land ownership title depending on whether you are buying a property with land, or an apartment or like property without land. Non-Bulgarian nationals are prohibited from owning land and can only own the buildings or dwellings and not the land upon which they are built. The way to address this is that the buyer who wants to purchase a property (not apartments) including just land and that is by forming a Bulgarian limited company. Even though the buyer does not own the land, this is not a cause for concern, as the buyers rights continue ongoing. In Bulgaria a company owned by a foreign person is considered to be a Bulgarian legal entity and can acquire property ownership rights without restrictions. All the necessary procedures to form the company will take around one month. The buying process can be summarised as follows:

To begin with you will need to identify funding either via cash proceeds or have a mortgage agreed at least in principle, obviously subject to the property. You may find funding via Bulgaria, or equally via the UK, or buy financing via an existing owned residence. On finding the property you want to buy and negotiating the price and timescales you will sign a reservation contract, which will secure your interest in the property, there is usually a period of 4 weeks in which to carry out checks before the buyer signs the main 'preliminary' contract. The preliminary contract is signed by all parties in which they effectively promise to enter into a final contract to buy and sell the property. After all the necessary details are gathered, the contract will be drawn up by the sellers legal representatives and will set out timescales, payment terms, prices and conditions agreed.

After signing the preliminary contract the buyer will usually pay a deposit 10% of the price on a resale property or a down payment of perhaps 30% on a new or “off-plan” property. With developers this amount may vary. The final contract/Notary Deed is signed transferring the right of ownership to you. At this point it can be put on the public record which will show the official transfer of title to the investor. The notary is a public official who is simply there to ensure that the transaction goes through in a proper legal manner, but the notary is not duty bound to act on behalf of the buyer. Once this has occurred, the investor will transfer the remainder of the funds and obtain the title deeds in their name. At this point the property is legally completed and the investor becomes the owner!  For New Build/off plan properties typically banks will finance up to 70% of the asking price allowing the investor to purchase by putting in only 30% of their own money.

Currency:  lev (BGN)

Getting To or Through:  There are four international airports in Bulgaria, Sofia, Varna, Burgas and Plovdiv. Transport within Bulgaria is inexpensive, the best way to travel within Bulgaria is by bus. The rail network is generally old and dirty and best avoided. Driving in Bulgaria can be difficult as the road are bad and poorly signposted. Driving whilst drunk will result in a stay in prison. Taxi drivers rarely speak English and there is no fixed fare structure.

Culture:  For over a thousand years the population have enjoyed participation in colourful festivals celebrating various events in there past. One such spectacle is that of fire dancing, where men can be seen dancing on red hot embers. The costumes they wear are world renowned. You can still see the old men on there horse and carts slowly pass down country tracks, but in the city, life is keeping up with twenty first century.

Geography:   Bulgaria is in south-eastern Europe and borders the black sea between Turkey and Romania. It is mostly mountains with lowlands in the north and south-east.

Seasonal Climate:  Hot dry summers and cold damp winters.

Population:  7.5 million (Est)

Capital City:  Sofia

Language:  Bulgarian

Religion:  Mainly Bulgarian Orthodox, Small percentage Muslim

General: A very pretty and green country to visit, the people are very friendly despite a poor economy. The population is rapidly declining due to both migration and low birth-rates. During the last thirty years it has declined by about 20% and is one of least populated countries in Europe.