Authored by the expert who managed and guided the team behind the Bulgaria Property Pack
Everything you need to know before buying real estate is included in our Bulgaria Property Pack
Bulgaria offers one of Europe's most affordable property markets with strong rental yields and significant growth potential.
Property prices in Bulgaria's main cities range from €700 to €3,000+ per square meter, with Sofia commanding the highest rates at €2,000-€3,000+ in central districts. Rental yields reach 4-6% for long-term rentals and up to 18% for short-term lettings in prime locations. The country has experienced remarkable property value growth of 14-20%+ annually in major cities like Sofia, Varna, and Burgas over the past five years.
If you want to go deeper, you can check our pack of documents related to the real estate market in Bulgaria, based on reliable facts and data, not opinions or rumors.
Bulgaria's property market offers excellent value with Sofia leading prices at €2,000-€3,000+ per sqm in prime areas, while coastal cities like Varna and Burgas range €1,300-€2,000 per sqm.
Rental yields are attractive, reaching 4-6% for long-term rentals and up to 18% for short-term lettings in tourist areas, with strong occupancy rates of 70-90% in peak seasons.
| City/Region | Price per sqm (€) | Long-term Yield | Short-term Yield |
|---|---|---|---|
| Sofia (Central) | €2,000-€3,000+ | 4.2-4.6% | Up to 12% |
| Sofia (Residential) | €1,000-€1,300 | 4-5% | 8-10% |
| Varna | €1,300-€2,000 | 5.1-5.8% | Up to 12% |
| Burgas | €1,300-€2,000 | 5.1-6% | 10-14% |
| Plovdiv | €1,225 avg | 4.7-5.5% | Up to 18% |
| Black Sea Resorts | €1,800-€3,000+ | 3-5% | 12-16% |
| Secondary Cities | €700-€1,300 | 5-7% | 8-12% |
Fact-checked and reviewed by our local expert
Yeheli Samuels 🇧🇬🇮🇱
CEO and Founder, Dira Bulgarit - Israeli real estate in Bulgaria
What's the average price per square meter in the main cities and coastal areas of Bulgaria?
Property prices in Bulgaria vary significantly between major cities and coastal areas, with Sofia commanding the highest rates as the capital city.
Sofia's central districts command €2,000-€3,000+ per square meter for premium properties, while residential and secondary areas range from €1,000-€1,300 per square meter. These prices reflect the capital's status as Bulgaria's economic and cultural hub with the highest demand from both locals and international buyers.
Coastal cities Varna and Burgas offer more affordable options at €1,300-€2,000 per square meter for new or centrally located properties, dropping to €900-€1,400 slightly away from city centers. Older properties in these cities can be found from €700 per square meter, making them attractive for budget-conscious investors.
Tourist resort areas like Sunny Beach and Golden Sands command premium prices of €1,800-€3,000+ per square meter for first-line sea apartments, while older or more distant units range from €800-€2,000 per square meter. Plovdiv, Bulgaria's cultural capital, averages €1,225 per square meter with increments for new builds and central locations.
Secondary inland cities offer the most affordable options at €700-€1,300 per square meter, depending on urbanization levels and local amenities.
How much rental income can I realistically expect in Sofia, Plovdiv, Varna or Burgas?
Rental yields in Bulgaria's major cities are attractive compared to Western European standards, with short-term lettings significantly outperforming long-term rentals.
Sofia offers gross yields of 4.2-4.6% for long-term rentals, with typical 1-bedroom apartments renting for €590-€900 per month depending on location and quality. Short-term Airbnb properties in prime Sofia areas can achieve yields up to 12%, particularly in central districts popular with business travelers and tourists.
Varna delivers strong yields of 5.1-5.8% for long-term rentals, with 1-bedroom properties commanding €475-€900 monthly rent. Summer season short-term rentals can reach 12% yields in prime beachfront zones, making it highly attractive for seasonal rental strategies.
Plovdiv shows excellent potential with long-term yields of 4.7-5.5% and exceptional short-term yields up to 18% in prime zones. This makes Plovdiv particularly attractive for investors focusing on cultural tourism and business travel.
Burgas offers yields of 5.1-6% for long-term rentals, with 1-bedroom apartments renting for €435-€600 per month. The city's growing industrial base and port activities ensure steady rental demand year-round.
Which areas have shown the highest property value growth over the last five years?
Bulgaria's property market has experienced remarkable growth, with certain regions significantly outperforming others in terms of capital appreciation.
Sofia, Varna, and Burgas have led overall growth with 14-16% annual increases over the past five years. These major cities benefit from economic development, infrastructure improvements, and increasing foreign investment interest.
The most dramatic growth has occurred in previously undervalued cities including Vidin, Kyustendil, Lovech, and Sliven, which have seen 20%+ annual growth as they catch up to national averages. These secondary cities offer significant potential for investors willing to enter emerging markets.
Resort areas have also performed strongly, with Black Sea coast destinations like Sunny Beach and Nessebar, plus mountain resort Bansko, achieving up to 10%+ annual growth. This growth reflects increased tourism and the development of Bulgaria as a holiday destination for Europeans.
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The growth has been driven by EU membership benefits, increased foreign investment, infrastructure development, and Bulgaria's position as one of Europe's most affordable property markets with strong fundamentals.
Are there any upcoming infrastructure projects that could increase property values in specific regions?
Several major infrastructure developments are underway or planned across Bulgaria that will likely impact property values positively in affected regions.
Highway improvements and road upgrades are actively progressing in Black Sea regions and urban clusters, enhancing connectivity between major cities and tourist destinations. These projects typically increase property liquidity and demand as areas become more accessible.
Sofia's ring road expansion continues to progress, which will improve traffic flow and make suburban areas more attractive for residential development. Additionally, plans for a second Sofia airport remain in various project stages, which could significantly boost property values in surrounding areas once confirmed and implemented.
Varna and Burgas seaport improvements are ongoing, strengthening these cities' positions as major economic hubs and likely increasing demand for both residential and commercial properties. Enhanced port facilities typically attract business investment and create employment opportunities.
These infrastructure investments tend to boost demand and liquidity particularly in secondary "catch-up" cities that benefit from improved connectivity to major economic centers.
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What are the ongoing costs of ownership, like annual property tax, maintenance fees, and utilities?
Property ownership costs in Bulgaria remain very affordable compared to Western European standards, making it attractive for long-term investment strategies.
Annual property tax ranges from 0.1-0.3% of the property's tax-assessed value, which is typically lower than market value. This represents one of Europe's lowest property tax rates, significantly reducing the annual carrying costs for investors.
Maintenance fees for new developments typically cost €6-€12 per square meter annually, covering common area maintenance, security, and building management. Older buildings generally have lower maintenance fees but may require higher individual maintenance investments.
Monthly utilities for a 1-2 bedroom apartment average €80-€160, covering water, electricity, internet, and heating. These costs vary seasonally, with heating costs being higher during winter months but remain affordable compared to Western European standards.
Additional costs may include building insurance (typically €50-€150 annually) and periodic maintenance reserves for major building improvements, though these are generally modest.
How easy is it to rent out a property short-term on platforms like Airbnb versus long-term to locals?
Both short-term and long-term rental strategies are viable in Bulgaria, each offering distinct advantages depending on location and investment goals.
Short-term letting through platforms like Airbnb can generate exceptional returns of 12-18% in prime locations such as Sofia city center, Black Sea resorts, and ski areas like Bansko. However, this strategy requires higher seasonality management, regular cleaning and maintenance costs, and municipal registration requirements that vary by city.
Long-term renting to locals provides more stable income with yields of 4-6%, significantly lower vacancy risk, and consistent demand from students, professionals, and families. This approach requires less hands-on management and provides predictable monthly income streams.
Sofia and major cities offer year-round demand for both strategies, while coastal and resort areas heavily favor short-term seasonal rentals during peak tourist periods. Local rental markets remain strong due to urbanization trends and limited affordable housing supply in major cities.
Legal requirements for short-term rentals include tourist tax collection and proper registration with local authorities, while long-term rentals have standard landlord-tenant protections and regulations.
Which regions are most attractive for foreigners to buy in, and why?
Several Bulgarian regions stand out as particularly attractive for foreign property buyers, each offering unique advantages for different investment strategies.
- Sofia: The capital offers urban sophistication, year-round rental demand, strong property liquidity, and the highest potential for capital appreciation. It attracts business travelers, expats, and students, ensuring consistent rental demand.
- Black Sea Coast (Varna/Burgas): These areas provide high liquidity, strong tourism draw, excellent short-term rental markets, and beautiful coastal lifestyle. Properties here benefit from both Bulgarian and international tourist demand.
- Mountain Resorts (Bansko/Borovets): Ski tourism creates strong short-term rental opportunities, these areas offer lower entry prices, and growing winter sports popularity among Europeans drives demand.
- Sunny Beach/Golden Sands: Resort areas offer high peak season occupancy, established tourist infrastructure, and proven rental income potential for holiday letting strategies.
- Plovdiv: Cultural capital status attracts heritage tourism, offers lower prices than Sofia, and provides strong rental yields with growing international recognition.
Foreign buyers are attracted by Bulgaria's affordability compared to Western Europe, EU residency pathway opportunities, favorable climate, strong historical price growth, and relatively straightforward purchase process for EU citizens.
What are the main legal requirements and restrictions for foreigners buying property in Bulgaria?
Bulgaria's property laws are generally favorable for foreign buyers, particularly EU citizens, with straightforward processes and minimal restrictions.
EU citizens face no purchase restrictions and can freely own both apartments and land throughout Bulgaria. The process involves standard due diligence, notary procedures, and property registration with minimal bureaucratic barriers.
Non-EU foreigners can freely purchase and own apartments but face restrictions on land ownership. To acquire land, non-EU buyers must establish a Bulgarian company (typically costing €1,000-€2,000) and purchase through this entity, adding complexity but remaining entirely legal and common.
Legal fees typically amount to 1-2% of the purchase price, covering lawyer representation, contract review, and due diligence procedures. Notary and registration fees add another 1.5-2.5% to the total transaction cost.
The purchase process involves preliminary contract signing, due diligence period, final contract execution before a notary, and property registration with the local registry office. Most transactions complete within 30-45 days from initial agreement.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Bulgaria versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
How stable are the neighborhoods in terms of safety, amenities, and long-term livability?
Bulgarian neighborhoods generally offer good stability and safety, particularly in major cities and established residential areas.
Sofia, Plovdiv, Varna, and Burgas maintain generally safe environments with standard urban considerations. These cities provide good amenities including shopping centers, restaurants, healthcare facilities, and educational institutions that support long-term livability for both residents and rental tenants.
Established residential neighborhoods in major cities show stable property values, consistent rental demand, and improving infrastructure as Bulgaria continues EU integration and development. Areas near universities, business districts, and transportation hubs demonstrate particular stability.
Resort areas experience high seasonal fluctuations in activity and amenities, becoming very lively during summer months but quieter in off-season. This pattern suits short-term rental strategies but may affect year-round livability for permanent residents.
Mountain resort towns like Bansko offer excellent winter season amenities but can be quite quiet during off-season periods, making them best suited for seasonal rental strategies rather than permanent residence or year-round letting.
What are the average occupancy rates for rental properties in tourist-heavy areas like the Black Sea coast or Bansko?
Occupancy rates in Bulgaria's tourist areas vary dramatically by season, requiring careful consideration for rental investment strategies.
| Location | Peak Season Occupancy | Off-Season Occupancy | Peak Period |
|---|---|---|---|
| Black Sea Coast | 70-90% | 25-40% | May-September |
| Bansko (Ski Resort) | 75-90% | 25-55% | December-March |
| Sunny Beach | 80-95% | 20-35% | June-August |
| Golden Sands | 75-90% | 25-40% | May-September |
| Sofia (Urban) | 80-95% | 70-85% | Year-round |
| Plovdiv (Cultural) | 75-90% | 60-75% | April-October |
Black Sea coastal properties achieve 70-90% occupancy during peak summer months (May-September) but drop to 25-40% during off-season. This seasonal pattern requires careful financial planning to cover year-round expenses from concentrated seasonal income.
Bansko shows strong winter sports demand with 75-90% occupancy during ski season (December-March), but summer occupancy ranges 25-55% as hiking and mountain tourism develops. Some properties achieve year-round strategies by targeting both winter sports and summer mountain tourism.
Urban areas like Sofia and Plovdiv maintain much more consistent occupancy rates of 80-95% for well-located properties, making them more suitable for investors seeking stable income streams.
How quickly do properties usually sell in different parts of Bulgaria, and how does that affect resale potential?
Property liquidity varies significantly across Bulgarian regions, with major cities offering much faster sales than secondary locations.
Sofia, Varna, and Burgas properties that are well-priced and in good condition typically sell within 3-6 months. These major cities benefit from active local and international buyer interest, multiple real estate agencies, and established property markets that facilitate quicker transactions.
Small towns and resort properties often require 6-18+ months to sell, especially during off-season periods or for less liquid property types such as large houses or unusual configurations. Rural properties and those requiring significant renovation may take even longer.
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Higher liquidity in cities and prime tourist areas significantly improves resale potential and helps maintain property values. Properties in Sofia's central districts, Varna's city center, and established resort complexes typically maintain their value better and sell more quickly than peripheral locations.
Factors affecting sale speed include property condition, pricing relative to market, location desirability, and timing relative to tourist seasons for resort properties.
What financing options are available for non-residents, and what down payment percentages are typically required?
Financing options for non-residents in Bulgaria exist but come with more restrictive terms compared to local buyers.
Some Bulgarian banks will provide mortgages to non-residents with loan-to-value ratios of 50-70%, requiring down payments of 30-50% of the property value. This represents higher down payment requirements than typically available to Bulgarian residents.
Interest rates for foreign borrowers range from 3-5%, generally higher than rates offered to local buyers due to perceived higher risk. Banks typically require proof of income from the buyer's home country, local bank account establishment, and comprehensive documentation of financial status.
Major Bulgarian banks that may consider non-resident applications include UniCredit Bulbank, UBB, and DSK Bank, though each has specific criteria and requirements. The application process typically takes 4-8 weeks and requires in-person meetings with bank representatives.
It's something we develop in our Bulgaria property pack.
Many foreign buyers choose cash purchases to avoid financing complexities, particularly given Bulgaria's affordable property prices compared to Western European markets. Cash purchases also strengthen negotiating positions and speed up transaction completion.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Bulgaria's property market presents compelling opportunities for foreign investors seeking affordable European real estate with strong growth potential and attractive rental yields.
Sofia offers the highest capital appreciation potential, while coastal areas provide excellent short-term rental income, and secondary cities present emerging opportunities with exceptional value propositions.