Investing in Bulgarian Property

Maintaining its position as a hot destination for travel and investment, Bulgaria continues to lead the way for European property purchases, with interest remaining strong over recent months.

Proving to have appeal and considered to remain steady in interest, buyers are no longer simply looking into Bulgaria for fast cash returns. The appeal of the dramatic natural beauty of the country, coupled with its diversity of options, the buy-to-let market continues to grow steadily. Previously considered to be a seasonally restricted location for investments, areas of Bulgaria are beginning to prove their year-round attractions as people begin to discover the country’s resources beyond a fast investment opportunity.

Overview of Investing in Bulgaria

Bulgaria has a huge tourism potential, steadily growing over the past years and benefitting dramatically by the changes implemented by the government. The intention to re-create Bulgaria as a tourism hotspot has developed an appeal to a wider clientele. Having been popular for many years amongst the East European countries, Bulgaria joined the EU in 2007 and is steadily making its mark on the rest of Europe as well as across the globe.

Changes in policies enabling foreigners to purchase property and land more easily, lead to the initial influx of investors who saw the country’s great potential prior to the admission to the EU. Prices inevitably shot up after joining the EU, yet now the country is considered to be a more stable location for longer term investments.

Appealing to all investor levels, the recent establishment of both the property and tourism markets has limited the ability to produce exceptionally high returns on a short term basis. This is not to say that it is no longer possible, the market has simply started to balance itself after the initial boom in construction.

Purchasing to profit from the tourism market will produce the best returns in a location such as Bulgaria. The establishment of the tourism market over the past few years, coupled with the improved accessibility from infrastructure modernisation, has made properties purchased in specific locations of Bulgaria ideal for mid to long term profits.

Purchasing a holiday home property and renting it to tourists can provide earnings in rental returns, along with the capital growth over the years that the unit is being rented. Continued demand for Bulgaria is assured, with the cities filled with history, the extensive coastline and the world class ski resorts all contributing to a holiday destination to suit all tastes.

News Highlight – An Ideal Holiday Destination

Still considered to be an emerging market, buyers entering into Bulgarian property purchases should continue to see the growth in popularity of the region rise the prices considerably over the coming years.

An ideal European location for exceptional capital growth potential, the diverse variety of tourism options creates a great location for year round holidays. Self catered holidays are on the increase, with growing numbers of Europeans opting to stay in privately rented accommodation during their foreign holidays. The high standards of accommodation provided from the modern developments being constructed in Bulgaria adds to the appeal of holiday makers searching for a location with skiing, golfing, city escapes and sandy beaches.

Bulgaria has renovated itself into an ideal holiday destination and many property investors have considered the fantastic potential that Bulgaria offers for buy-to-let investments.

Rental income on Bulgarian properties are no longer considered to be seasonally restricted, as buyers in the Bansko region are seeing a steadily high demand during the ski season, while also a recent increase in interest during the remainder of the year for the wide variety of holiday activities, such as mountain hiking, horse riding, cycling, etc.

Only 3 hours flight from the UK, with continuously increasing numbers of flights to fulfil growing demands. The completion of the expansion and re-modelling of the Borovets ski resort is expected to assist with the continued tourism growth, further adding to the outstanding potentials for capital growth and rental returns of the property investment market.

Why Invest in Bulgaria?

• Capital growth is about 14% in Bansko and 20% in Sunny Beach
• Fantastic rental opportunities along the coastline, ski resorts and city centres
• Opportunities for 10 year build guarantees
• Bulgaria is an member of the European Union
• Bulgaria is a member of NATO
• No visas required for EU passport holders, unless staying for longer than 30 days
• E111 health insurance covers visitors
• The country benefits from modern hospitals and specialist clinics
• Very cheap cost of living – £7 buys for a meal for two, and a pint of beer is only 50p
• Currency linked to the Euro

Latest News in Investment Markets – The UK

A solid market for property investing, the UK holds appeal not only for its residents, yet for foreign investors searching for an established market with proven growth. Property prices have steadily risen in the UK creating a consistent capital growth, along with the demand for rental properties in all the major cities.

Right now is considered to be a fantastic time for entering into the UK property market, with interest rates dropping and a wide variety of investment options available. Lifestyle factors provide the market with further appeal and the constant renovation and expansion of cities to accommodate demand, provide possibilities for buyers to choose between traditional style properties or off-plan modern dwellings to suit their preferences.

While the UK has a well established tourism market, rental demands are mainly from residents, and will always be high in city areas and locations close to universities. This creates a year-round rental potential despite the season or weather. As an established market, the UK provides buyers with a location where they are almost guaranteed to make a great investment from their purchases.
Property Investing UK Homepage

Property Market Focus - March 19, 2009

Coming Next Month!

The Moroccan Investment Market

Next month we will be whisking you away to Morocco, an exotic location yet only a short distance from the UK and mainland Europe. We will assist you in finding out why Morocco continues to maintain appeal to property investors along the coastal regions.

Mediterranean and Atlantic beaches attract ever increasing numbers of visitors, along with championship golf courses and continuous sunshine. Buy-to-let properties remain in demand by investors keen to purchase in a region with steady capital growth and a location ideal for personal holidays. Prices of properties and the cost of living are comparatively cheaper than Morocco’s near European neighbours, further adding to the appeal.
Property Investing Morocco Homepage

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