Buying Property and Business in Bulgaria is a good investment because:

Compared to most of the other EU countries prices per sq.m. are still fairly low. Bulgaria is in the 2-nd place in lowest price per sq.m for property in Europe. The average price of buying property in our neighbour Romania is twice higher.

For 2008 the sum of all foreign investments in the town of Ruse, Bulgaria accounted to over 500 Million EUR. Ruse, a town on the north border with Romania that connects Bulgaria with Central Europe and where the whole import-export is going through, was the town with the highest foreign investment for the last 2008. This fact was one of the reasons for our Prime Minister Sergei Stanishev to visit Ruse in the beginning of this year.

Statistics show that property prices in Bulgaria have constantly increased every year reaching 400% since 2002. So imagine buying a house for EUR 20,000 now and selling it after 5 years for EUR 80,000. 

For the first 3 months of 2007 property prices in Bulgaria have risen with 22.6% - Bulgaria keeps the 3rd place in world aspect in this sphere according to the British property consultant Knight Frank. In most countries in the world it increased by 9.6% for Jan-March 2007. This % for the last year in UK was 12.6% and in USA 4.7% only. This coefficient was 1.8% in Italy, Switzerland, Japan, Germany and Sweden. Spain it was 7.2%.

Bulgaria is a member of the EU since Jan 2007. The number of the foreign clients enlarged much /the foreign investments increased by 30 times from 2000 to 2007/.

Since 1999 the supply of commercial and residential buildings has increased 10 times and the investment made has increased from approx. 3 million to 80 million euro and demand is still bigger than the supply. “Property prices in Bulgaria will go up with a constant annual yield in the next few years”- a survey carried out by U.S. international consultants for real estate CB Richard Ellis (CBRE) in America and Global Property Guide shows.

Residential and commercial construction is in a rise. According to CBRE Bulgaria is 3rd place for highly developing market of commercial property for the first 3 months of 2007 with development of 63%. The main reasons for that is the membership in the EU that starting leading many foreign investors to Bulgaria.

The initial capital investment varies according to the individual's pocket.

Apart from the fact that the return can be very good, not only with the increase in the prices of the property but one has also the opportunity to earn a high monthly income from renting out, when not using the property. Bulgaria keeps the 2nd place in Europe for income from rents.

Property is considered to be a secure investment.

Although Bulgaria is a good source of making some extra money, it is also a very attractive holiday destination during the summer and winter holidays. Having good ski resorts, beautiful beaches and great for shopping, we are sure you will like it. Last 3 years the Black Sea boomed an enormous amount of new development. There were 1.5 million foreign visitors to Black Sea resorts and mountains last year, and Bulgaria is now the 3-rd most popular holiday destination after Spain and France for British holidaymakers.

Repayment of investments made in business in Bulgaria – annual yield is about 10%;

The tax on income earned from the companies in Bulgaria is the lowest in Europe – only 10% since 1-st January, 2007. It’s the lowest in Europe.

When you do business or when you buy land, VAT is paid when the turnover of your company or the price of the land you bought is bigger than 50000 BGN or 16000 GBP or 25000 EUR. The VAT is paid by the buyer on the selling price and its size is 20%. If you do business in Bulgaria with the same company that owns your land VAT is refundable.

The above results in the biggest investment interest shown by Jewish, English, Italian, Greek and German funds and investors.

The largest group of foreign buyers is the British one. There are 30,000 British home-owners in Bulgaria.

That is why the present period is the right one to invest in property or buy/start a business in Bulgaria.

All data for Business and Property Trends in Bulgaria in the site is statistics taken by property news for Bulgaria and researches of the biggest property consultant world companies based on economy development – taxes, expenses when buying, GIP and laws. The CBRE forecasts are based on the interest of investment companies in construction, renting and maintenance of warehouse-office bases.

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