Radio Bulgaria

Real estate market experts in Bulgaria say that in the middle of 2010 investors will restart work on some stalled construction projects, gradually raising the prices in the sector. Experts also claim the market currently offers some good opportunities for buying high-quality real estate properties at reasonable prices.

It is a fact that in the second half of 2009 the Bulgarian real estate market was much more dynamic in comparison to the beginning of the year.
This was due mainly to lowered prices in the sector. The banks also brought dynamism to the market by slowly reducing the mortgage interest rates. Most of the buyers were people who urgently needed a home or those who needed a bigger one. People who had spare cash and saw good offers also bought real estates. There were almost no investments in real estate properties in the second half of 2009. Currently, people are generally looking for a price below 1000 euro per sq meter, and also want investors to carry out the finish work.
Real estate prices in expensive Sofia districts have dropped by 19-23%. Colliers International, which prepares reports on the Bulgarian real estate market, has pointed out that in 2009 construction of residential buildings rose by 50% compared to 2008. Tatyana Emiilova from the company made a forecast on the market trends in 2010.

“We see there is an increase in demand, which is due mainly to the good offers, low prices and investors’ readiness to offer high-quality construction. We expect a further and more gradual decrease in prices, which will reach 10%. We expect the prices to stabilize after 12 to 18 months.”
The trade buildings market continues to expand despite decreased consumption related to the crisis. 10 000 sq m. were built in 2009, which made the total area of trade centers and malls in Bulgaria reach 230 00 sq meters. Iglika Yordanova from Colliers International says the market segment was affected by three factors.

“The first factor is the expected completion of big trade centers in Sofia and Varna. Another factor is the trendy development of retail parks, situated along major traffic arteries, as well as outlet centers. We expect the trend to continue in 2010. The third factor is the expansion of discount food chains, which had a good start in Bulgaria and will continue to develop in 2010. Other discount chains will also be successful. Generally, 2010 will be an interesting year for this sector.”


The market of industrial and logistic buildings has been least affected by the global economic crisis due to the low level of development in the sector. Experts say that a few major projects are expected to be completed in the first half of 2010. The rents of such buildings are expected to decrease slightly because of the low demand. Renowned fashion companies that are to emerge on the Bulgarian market are expected to be the major buyers.

English: Alexander Markov