Bulgaria’s resort real estate market is in demand among buyers
Bulgaria’s resort real estate market is actively developing. Investors are paying particular attention to properties on the Black Sea coast. Demand is stimulating the growth of residential prices, but buyers are not stopping it.
Latest data show that the increase in prices for quality properties in popular resorts such as Sozopol is particularly noticeable. Here, the price per square metre increased by 30% and reached EUR 2 thousand, which was a record. The cost of individual objects is EUR 2800 per square metre. m. Despite the growth dynamics, prices for resort properties remain 20-30% lower than in the capital of Bulgaria.
Popular resort locations
One- and two-bedroom apartments are most in demand on the coast. The cost of finished options ranges from EUR 120 to 180 thousand. Buyers are focusing on properties that are suitable for holidays and remote work. A number of deals are also being made to rent out apartments on a short-term basis.
The leader among the holiday resorts is Sozopol. It attracts buyers with the following advantages:
– mild climate;
– developed infrastructure;
– proximity to the sea;
– stable high tourist flow.
Moreover, the construction market in Sozopol is actively developing. Large projects are being implemented in the city, which can attract the attention of buyers with different budgets.
Other popular resorts are Varna, Burgas, Sunny Beach, Nessebar, Ahtopol and others. Property prices vary according to location:
– in the northern regions of Bulgaria, housing costs range from EUR 900 per square meter;
– in the market of Varna, prices start from EUR 2500 per square meter;
– the cost in the central districts of Burgas is EUR 1790 per square meter;
– in the southern regions, buyers can find offers for EUR 1200 to 1500 per square meter.
Of particular interest are Nessebar and Sunny Beach, where prices are rising steadily. In addition, there is a demand for both high-end properties and those in need of renovation. For example, old complexes can be bought for EUR 1000 per square metre, while two years ago their price was EUR 500-600 per square metre.
Bulgarian citizens living outside the country’s borders are often interested in buying property. This category includes consumers between the ages of 35 and 45. Most of them run their businesses and work in the fields of medicine and law. Representatives of this segment of buyers are interested in turnkey options with the presence of developed infrastructure.
Demand for resort properties is highest during the summer months. In the off-season, the locations are empty, which has a negative impact on the profitability of the properties. Furthermore, the profitability of real estate in the country as a whole is quite low. In Sofia, for example, the yield is around 4%.