How to view?

• Chose a property/properties from our property portfolio, by using the link “Property Search” and run the search engine. If you are looking for something specific which you cannot find do not hesitate to contact us for help.
• Once you have selected a property or properties, contact us by phone or e-mail to arrange for your viewing and buying trip. We can help you with your travel arrangements in every aspect – flight and hotel (accommodation) bookings, car rental, etc.- to read more about our services in relation with viewing and buying a property use the link “Our services”.

How to Buy (the process of buying)?

One important thing that has to be taken into consideration, when buying a property in Bulgaria is the current relevant law. In Bulgaria foreign citizens can directly acquire buildings and premises within a building, but not land. Indirectly however - absolutely in order with the law - foreign natural persons and legal entities can acquire any type of real estate, including land, by registering a Bulgarian company to act as acquirer. A company that can be owned 100% by the foreign investors(citizens) in which they are sole directors and beneficiaries. That company can then buy and own both, the building and the land - this is how a foreign citizen can have freehold a house with garden for example.
It is not however the case if you decide to buy a flat in a block of flats or in a housing complex. There is no need of company incorporation, and you, as a foreign individual can buy and own the apartment, as you are not buying any land.
There are no other limitations to foreign property ownership.

In 2012 all this will change in accordance with the EU membership agreement Bulgaria has signed as a member country. The citizens of other EU countries will then be able to buy and own property with adjacent land as private foreign individuals, without the need of incorporating a company. Those who have already purchased property through a company will be able to transfer (if they wish) the ownership in their own name.

As the process of incorporating a company is easy and straightforward the current law and practice is not an obstacle for the growing number of foreign citizens who buy properties in Bulgaria. Obviously they prefer to buy now, instead of waiting until after 2012 when the property prices will be higher than the prices today (considering the current prices, the demand and the annual rate of increase).

5 steps to complete a deal

1. Preparation of preliminary agreement – obligatory part of the buying process. The agreement is signed between the seller and the foreign individual willing to buy the property prior to the incorporation of the company. It is stated that the signed foreign individual (individuals, if husband and wife are co-owners) will be a sole director and beneficiary (company owner) and as such, when the company is incorporated the official agreement will be signed between the seller and the company as the buyer of the property. On signing of the preliminary agreement a deposit between 10 and 15% of the property price(depending on the seller’s requirement) is paid to the seller in order to withdraw the property from the market. In accordance with this agreement the seller is obliged to return back to the foreign individual an amount twice bigger than the received deposit, if for some reason the deal fails because of a seller’s fault.

2. Once the preliminary agreement is signed the process of incorporation of the company can be initiated with the preparation and submission of all necessary documents and payment of the relevant incorporation fees, including stamp duty - the total cost is 480 Euros. It takes between 7 and 14 days for the company registration to come through the court.

3. After the incorporation, the company is registered with the local tax and statistics authorities (called “bulstad” registration).

4. The full price of the property is paid (less the amount of the paid deposit), an official sale agreement is signed and the property deeds transferred and registered with the local court with the name of the company as the new property owner.

5. The new property owner (the company) is registered with the local council.

• Use the link “Our services” to read more about our services and relevant fees.
• Fast track buying – applicable only for properties in block of flats or housing complex developments(flats), where you are becoming the owner of a building only. This is a procedure for purchasing property in Bulgaria without you having to travel to Bulgaria at all. Please contact us for more details and information.
  

PROPERTY TAXES
In Bulgaria the owners of properties have to pay annual property tax in amount of 0.10 – 0.15% /depending from the policy of exact Municipality/ from the tax evaluation price of the properties. The investors should be aware that the tax evaluation price is up to four times less than the market one.

VAT
The VAT in Bulgaria is in amount of 20% and it is included into the final sales price. If the buyer arranges the purchase through Bulgarian company the paid VAT could be refundable.

INCOME TAX
The foreign natural persons and legal entities do not pay income tax like the Bulgarian residents yearly. Their incomes from re-sale and rents are subject of Income Tax in amount of 10% due immediately after each transaction. Further details you can obtain upon request.

CORPORATE GAINS TAX
The business and investment income of nonresident legal entities earned from sources in Bulgaria are subject to Corporate Gains Tax. The domestic rate of tax is 10% /in force from January 1, 2007/. Where the recipient of the payments resides in a country with which Bulgaria has Double a Tax Treaty, the tax rate could be reduced or an exemption could be available subject to the provisions of the respective treaty. Bulgaria has executed more than fifty Double Tax Treaties with almost all European countries including the UK and Republic of Ireland.

You can also contact the nearest Bulgarian Embassy regarding:
-Visa Information for Bulgaria for non EU citizens
- Property Ownership
-Starting a Business
-Residence and citizenship in Bulgaria