Property sale in Bulgaria

The truth about Bulgaria

You have probably heard about Bulgaria in the press or by paid announces. Almost all of them will tell you that Bulgaria is a great for investment. But there is a little amount of news that warns you to keep away from that place? Where is the truth about the Bulgarian property market?

In January 2007, Bulgaria joined the European Union, just as its neighbor, Romania. But that means almost nothing in fact. The things in Bulgaria didn’t get better – in fact they get worse. And this is widely known by the locals.

The Bulgaria overseas property market, particularly near the resorts, is hyped by aggressive real estate agents who receive high commissions. At the moment the commission is nearly 15%! But why the heck are developers playing the property agents 15% commissions? The reason is that there are a lot of apartments in the beach and ski resort areas, and not enough demand.

And look at the paradox – there is no demand because the places are over build and they look like a concrete jungle, and there are a lot of apartments for the same reason. Sounds funny, isn’t it? Not so funny for the locals. There are no divine beaches anymore in Bulgaria. Trust me, these are the facts. If some property agents tell you something else – they are just lying. Of course, there are exceptions, but you’ll not find new apartments there. And if the things go to the same direction, in a few years these beaches will be gone too.

Don’t get me wrong, Bulgaria is a beautiful country with beautiful and good people. But it’s transforming into a concrete monster – that’s not good for anybody.

But that’s not the only problem. The infrastructure? Oh boy, it will take hours to tell you the problems with that. Let’s begin with a simple thing – the highways. You probably don’t know that there are no highways from the capital Sofia to the largest seacoast cities – Varna and Burgas. Sad but fact. You’ll think “Hey, that’s not so bad, I can take a 6 hours journey twice an year, that’s not a big problem for me”. Sure, but when you enter into the towns, all you’ll see on the roads are… holes. That’s right – holes. The streets looks like a Swiss cheese, but don’t taste like that for sure.

The main problem with the infrastructure is that after communism felled in 1989, the government don’t care about it. In Bulgaria there is a high level of corruption. You’ll think “Yep, Bulgaria is poor country. I’m sure that the EU will help them to rebuild their infrastructure.”. Wrong, the EU will not help because of that corruption. And if in some way they try to help, I’m sure that the infrastructure will see no money. Only the corrupted government will see them.

The next bad news – if you want to buy an apartment as an investment and give it for rent – there is no way to get real money for your investment. The rental prices of a new apartment costing 80 000 Euro is around 300-400 Euro per month. That means that at the best case you’ll get your money back in 20 years (WOW!) and this does not include the maintaining of the apartment. It’s easy to see that it’s not a good investment.

So much bad thing… but is there any good for the Bulgarian property market? In fact, there is. The truth is that if you avoid resorts and large cities, which are so advertised by the Bulgarian property agencies, you can find some really good places. Like the villages in Rhodope Mountainsand in Stara Planina Mountain. The nature there is absolutely stunning, and the old traditional Bulgarian houses are for almost no money – around 10 000 Euro. The house maybe will need a little repair work, but that will not cost you many. You can get a nice house at the final price of 15 000 – 20 000 Euro on a quiet place with a beautiful view and divine nature around. This is the real beauty of Bulgaria!

Other good investment that you can make is buying a land in outskirts of the city centers.

So, where are the places you have to avoid? Here is the list:
The Black Sea Resorts
The Ski Resorts
The Large Cities

And where are the good places to buy?
The Small Villages in the Mountains
The Land in Outskirts of the City Centers

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