The Unstoppable Rise of the Bulgarian Property Market
What is it about Bulgaria that has attracted thousands of
property investors to commit to the country?
Why does the Bulgarian real estate sector appeal so greatly to
so many people?
And what is causing the continuous flow of new investment into
the country?
These are all questions that those external to the unstoppable
Bulgarian real estate market need answering!
Well, the reasons for the popularity of Bulgaria's property
market are manifold and this article will guide you to an
understanding of the main factors driving the ongoing success of
the Bulgarian real estate sector.
Bulgaria is on track for EU accession - that means that it is
about to gain full membership of the European Union either in
2007 or 2008. When the country is a member it will benefit from
freer trading rights, it will easily attract more foreign direct
investment, more companies will set up offices and bases in the
country and as a result employment opportunities will increase
and overall the local Bulgarian economy will benefit positively.
Because Bulgaria is not yet in the EU however, many investors
are buying property in Bulgaria now to benefit from the economic
improvements that the country will enjoy once it does become a
member. These economic improvements will likely translate into
higher property prices in the real estate sector, therefore
those who buy now believe that they will benefit from the
greatest price gains and make the maximum profits and enjoy the
longest period of growth.
Until Bulgaria does join the EU its property ownership laws are
not in line with those of other EU countries which means that
there is an element of risk to the whole property buying process
which artificially keeps real estate prices low - as with any
type of investment, the greater the potential risk the greater
the potential profit. Therefore those who are not risk averse
can see that the artificially deflated prices present them with
even more opportunity for profit over the medium term.
Finally, property prices in Bulgaria may be artificially
deflated but they are starting from a low position anyway
because the country is just beginning to emerge into a first
world country with first world infrastructure - as and when it
joins the EU it will most likely make further leaps forward in
terms of its development and this will make the country more
attractive to more people which will increase the demand for
real estate which will push up the prices for property and those
who buy before this predicted boom will be able to reap the
greatest rewards! And that is why the appeal of Bulgarian real
estate market is so intense with property investors right now.