Property in Bulgaria
Property in Bulgaria is the fastest growing asset in our country. Last year the property prices in Bulgaria have gone up with more than 25 % in general. Some real estates have gone up with 50 % for one year, especially the ones in Sofia, in the Black Sea beach resorts (Sunny Beach) and in the ski resorts (Borovets, Bansko).
The improved economic conditions, political and social stability in Bulgaria over the last 3 years brought to a real boom of the prices of property in Bulgaria. Other important factor for the rising property market is the huge tourism potential in our country. There are great natural attractions - high mountains, beautiful and clean Black Sea coast, preserved rural areas, minimum urbanisation, thousands years of history, etc. Nowadays Bulgaria is considered as the fastest growing tourism market in Europe. This is something that foreign buyers of property in Bulgaria appreciate the most. Together with the constantly rising prices, buying property in Bulgaria is one of the best investments that one can make these days.
Further Bulgaria was invited to become a NATO member targeted for 2004 and full EC membership is scheduled for 2007. Now is the right time to invest in property in Bulgaria.Bulgaria is a politically stable country, and the introduction of a currency board in 1997 stabilised the country's economy. Reaching year of 2007, Bulgarian laws are improving and changing in accordance with the laws in the countries of the European Union. Bulgaria has one of the most liberal foreign investment laws in the region.
Foreign investment typically assumes one of the following forms: establishing a joint venture with existing companies, state-owned or private; acquiring a company through privatization; setting up a new (green field) venture; or making a portfolio investment.
Foreign investors can purchase property in Bulgaria directly or through a local company. Only Bulgarian-resident individuals and entities can own land, while non-residents personally may acquire only buildings. Therefore if foreign citizens want to invest in property in Bulgaria, they must register a Bulgaria based company (something that we fully assist with). As soon as the company is registered any properties / property in Bulgaria may be purchased to the company name. The most common type of organization for foreign investors is a limited liability company. Other forms are companies limited by shares (joint stock companies), joint enterprises, business associations, general partnerships, limited partnerships, and sole proprietorships.
The law does not limit the extent or amount of foreign participation in companies. Foreign individuals and companies can open unlimited number of accounts in any Bulgarian banks, in any hard currency or the local Bulgarian Levs. There is very serious talking that soon the main law in Bulgaria, the Constitution will be changed very soon, so that all foreigners who wish to acquire property in Bulgaria will be able to do so personally, so registering a local company will not be needed. However we strongly advise not to wait until the law is changed, as it is expected that this will give even a stronger push to the property prices and they will suddenly go up.
The improved economic conditions, political and social stability in Bulgaria over the last 3 years brought to a real boom of the prices of property in Bulgaria. Other important factor for the rising property market is the huge tourism potential in our country. There are great natural attractions - high mountains, beautiful and clean Black Sea coast, preserved rural areas, minimum urbanisation, thousands years of history, etc. Nowadays Bulgaria is considered as the fastest growing tourism market in Europe. This is something that foreign buyers of property in Bulgaria appreciate the most. Together with the constantly rising prices, buying property in Bulgaria is one of the best investments that one can make these days.
Further Bulgaria was invited to become a NATO member targeted for 2004 and full EC membership is scheduled for 2007. Now is the right time to invest in property in Bulgaria.Bulgaria is a politically stable country, and the introduction of a currency board in 1997 stabilised the country's economy. Reaching year of 2007, Bulgarian laws are improving and changing in accordance with the laws in the countries of the European Union. Bulgaria has one of the most liberal foreign investment laws in the region.
Foreign investment typically assumes one of the following forms: establishing a joint venture with existing companies, state-owned or private; acquiring a company through privatization; setting up a new (green field) venture; or making a portfolio investment.
Foreign investors can purchase property in Bulgaria directly or through a local company. Only Bulgarian-resident individuals and entities can own land, while non-residents personally may acquire only buildings. Therefore if foreign citizens want to invest in property in Bulgaria, they must register a Bulgaria based company (something that we fully assist with). As soon as the company is registered any properties / property in Bulgaria may be purchased to the company name. The most common type of organization for foreign investors is a limited liability company. Other forms are companies limited by shares (joint stock companies), joint enterprises, business associations, general partnerships, limited partnerships, and sole proprietorships.
The law does not limit the extent or amount of foreign participation in companies. Foreign individuals and companies can open unlimited number of accounts in any Bulgarian banks, in any hard currency or the local Bulgarian Levs. There is very serious talking that soon the main law in Bulgaria, the Constitution will be changed very soon, so that all foreigners who wish to acquire property in Bulgaria will be able to do so personally, so registering a local company will not be needed. However we strongly advise not to wait until the law is changed, as it is expected that this will give even a stronger push to the property prices and they will suddenly go up.
14.10.2005, Real Estates
