What Will Happen To Property Prices In Bulgaria ?

The price for a property in Bulgaria has increased significantly in the last quarter of 2008, compared to the same period last year. According to the company Knight Frank, to study the dynamics of property prices in 43 countries, the price of real estate Bulgaria has increased by more than 32 percent compared with the previous period in 2007. In general, over the past two years, growth in property prices in Bulgaria amounted to almost 70%. Despite predictions of Realtors and analysts Bulgaria reporting on slowing growth and even stagnation in certain segments of the Bulgarian property market, the overall positive trend is a fact. According to a study in Western Europe, property prices remain stability, tending to reduce unessential, while in Eastern Europe and Asia, growth in real estate prices continues. The fall in property prices recorded in 12 countries, led by Latvia, Estonia and usa. In recent months, Bulgarian analysts are forced to state the fact of the slowdown in the property market, however, many experts continue to argue that a lull in the market – a temporary phenomenon.

Slowdown growth of the Bulgarian property market, analysts attributed to several key factors – an overabundance of new housing, not the most favorable mortgage terms, and too sharp an initial spurt in prices, which led to some overvalued real estate market segments. Despite the factors slowing the growth of prices in the market, experts believe that over the next few years, the trend of the Bulgarian property market will only positive. The reason is the liquid properties, located in the resort areas of Bulgaria, and in the cities, which attract primarily sighted investor. For the investor, the least risk-averse, the most interesting segment of the real estate market in Bulgaria is becoming a commercial real estate. This segment is least likely to stagnate in the current environment and is therefore most preferable for investment. One of the most popular places where investors continue to invest their money, is Sofia, however, should not be withdrawn and regional centers in Bulgaria, such as Varna, Burgas and Pleven.