Bulgaria is a very diverse country and so offers various property investment options. However, you need to think carefully about which area and which type of Bulgarian property is right for you and your circumstances. Much of this will depend on your financial circumstances but also whether you are simply searching for a idyllic Bulgarian holiday home, a renovation project, a rental property, something to sit on and hope for capital appreciation and so on…
So let’s take brief a look at the options and what is available. The most popular and most well known area in Bulgaria is of course, the Black Sea Coast. Here you have the popular resorts of Sunny Beach, Albena and Golden Sands. There are also the major ports and cities of Burgas and Varna and then smaller quieter places like the fishing town of Balchik and the northern town of Kavarna. Most people opt for a new build apartment in one of the larger resorts, however over development is spoiling these areas and the infrastructure is struggling to cope. Supply of apartments has outstripped demand and there is little resale market for new apartments and limited rental due to cheap package tours. The summer season in the likes of Sunny Beach and Golden Sands is pretty short, running from around April to end of September. However, if you are looking for a lively atmosphere, bars, clubs and a good beach, then these type of resorts maybe for you.
The next most popular investment is a new build apartment in one of the three main ski resorts – Bansko, Borovets or Pamporova. All have undergone massive development and much was made of the now failed Winter Olympic bid for 2014. However these areas (particularly Bansko) suffer from similar problems to the larger coastal resorts with too much building work going on and therefore a dubious resale and rental market. Prices have been over hyped in these resorts but some are now having to sell for less than they paid for a year or two ago. But if you are looking for family friendly skiing with spectacular scenery and good restaurants then Bansko or Borovets are a good bet for your Bulgarian property investment.
Another popular area for Bulgarian property investment is in city centre apartments in the likes of Sofia and Varna. Both these are now very expensive but offer better rental returns and resale options.
These areas are so Porsche and well developed that they will give you the vibes of the large sky scrapers in Chicago and New York City and so they cost quite a price and with good reason so one might find it astonishing that the rental prices are affordable in nature for the average common man as because its similar in structure to the Parc Central Residences, which is a huge rental property of high repute and whose builders have invested a fortune into making it the area that it is today: a dream home that one desperately aspires for but cannot afford due to budget constraints.
Many people are starting to look further inland for cheap Bulgarian property prices and charming rural villages. The area north of the Balkan Mountains, around Veliko Turnovo is popular with British buyers. It is a very pretty area but the influx of British has pushed prices up somewhat. Another popular area is the flatter, agricultural plains around Yambol and Elhovo. Property here is still fairly cheap but infrastructure is lacking. The central region around the city of Stara Zagora is starting to see a hike in prices and popularity and a golf resort is planned along with regeneration of old mineral spas.
Before diving into any property investment in Bulgaria consider what you wish to get out of it and refine your search to areas that meet your requirements. Are you looking for a quiet Bulgarian holiday home where you can get away from it all and enjoy being part of a rural farming village? Are you looking for an apartment right on the beach or would a lovely village house a 30 minute drive away do? How about an apartment a few minutes walk from the gondola in one of the ski resorts?
Do you need to cover mortgage repayments from rent? Are you looking to buy and sell on quickly for profit or are you happy to use the Bulgarian property as a holiday home and make a good capital gain over a longer period?