Which holiday properties in Bulgaria are most in demand
Holiday properties in Bulgaria are traditionally popular with investors. However, buyers have different requirements when looking for an opportunity. With the increase in foreign activity, the preferences of future owners have changed.
Many buyers consider the upkeep of the property a key factor. They are looking for offers with low maintenance costs. Studios and two-room apartments are popular. They are affordable and in demand among tenants. In addition, buyers do not want to spend time and money on property repairs. As a result, they prefer properties that are ready to move into immediately after purchase. This condition is particularly true for apartments located by the sea and near ski resorts.
It is worth noting that most buyers look at properties in popular locations from both perspectives. They want to use it both for their own holidays and as a source of income.
Resort property attracts both foreign and local buyers. Preferences by property type are as follows:
1. Studios are an excellent option for short-term rentals and self-catering holidays.
2. One-bedroom apartments are suitable for long-term rentals.
3. Houses are attractive for buyers who value privacy and require much maintenance.
On average, the cost of holiday homes in Bulgaria is 800 euros per square metre. In popular locations, a square metre can cost 1200-1400 euros. We are talking mainly about Borovets, Pomorie, Sveti Vlas properties, and others.
Overview of Bulgaria property market trends
According to official statistics, the cost of housing in the country continues to rise. In the first quarter of 2024 it increased by 16% year on year. By comparison, prices rose by 10% in the same period of 2023. On a quarterly basis, the increase was just over 7%.
Varna leads the way in terms of property price growth. Here, the price of new properties rose by around 35%, while the price of existing stock increased by 18%. Over the quarter, prices rose by 9%.
Sofia was in second place, with an increase of almost 7% over three months. New stock rose by 25% and old stock by 13%.
In Burgas, quarterly growth was 3%. Here, the price increase is mainly observed on the secondary market – by 13%. The price of new objects increased by almost 10%.
There are several reasons for the rise, analysts say:
– rising wages;
– lower mortgage interest rates;
– growing demand for property;
– limited supply.
In Bulgaria, wages are rising at a similar rate to house prices. In addition, mortgages remain affordable, supporting demand for housing. Given these factors, analysts predict further price growth in the property market.