By the beginning of 2023, housing prices in Bulgaria reached a record peak over the past 14 years, rising by almost 15%. Unlike in 2008, when the last time a record price increase was recorded, the current figures are almost 10% higher.
Experts explain the increase in the cost of Bulgarian housing by the war in Ukraine, rising prices for energy and building materials. A particularly high increase in prices per square meter was noted in the resort towns of Varna, Nessebar, Pomorie, Sveti Vlas, Sunny Beach.
Now the demand in the market is much higher than the supply. There are no prerequisites for filling the market with new offers. Russians, who now have problems flying to Bulgaria, are not in a hurry to sell their homes en masse. Many decided to wait and observe the development of events, including in the hope of improving the exchange rate of the euro against the Russian ruble.
Bulgarians themselves are actively buying studios, apartments and private houses. High inflation with very low bank deposit rates encourages them to invest their savings in real estate. Others want to move from big cities closer to the sea.
There is a growing interest in real estate on the coast in Bulgaria from Poles, Romanians and Israeli citizens. Germans and Britons are still among the TOP buyers.
By the beginning of the second quarter of 2023, the number of purchase and sale transactions had decreased slightly. But prices are not falling, they remain at a record peak. Experts note that the market is overheated. There are prerequisites for its cooling, but this will not lead to a sharp decrease in the value of real estate, especially in resort towns on the coast.
