[size=55:2ol6nnrm][You must be registered and logged in to see this link.]

Properties in Bulgaria Remain Attractive to Russian Buyers

For Russians Bulgaria is a country that is close to their mindset and way of life. It has everything for a carefree lifestyle – a sea, mountains, a wonderful climate, cultural and historical sites.

However, the more demanding Russian buyers are not interested in “cheaper” residential developments and look for gated developments with good property management services, as they do not stay in their properties all year round. Gated developments are the places where most deals are concluded and prices of properties there are higher.

The economic crisis and the high taxation levels in Greece, the construction crisis and the high prices of properties in Spain, Italy and Croatia limit Russian buyers in their search of properties abroad. Most buyers are ready to invest 100,000-200,000 Euro. For that amount of money in most countries they could buy a middle class property while in Bulgaria they can get a luxury property. In the last couple of years prices of real estate in Bulgaria fell considerably but since the end of 2010 the market has become more stable.

On June 8th the European Parliament accepted the report about Bulgaria’s technical readiness to enter the Schengen zone. Although the final decision will be made in the autumn this is a good signal. Entering the Schengen zone will mean more property deals and higher property prices. An advantage will be that property owners and their families will be able to get visas for the Schengen zone which will allow them to travel easily around most of Europe.

[size=55:1q6nfjc0][You must be registered and logged in to see this link.]
Russians buy up property on Bulgarian Black Sea coast

According to specialists of Bulgarian Properties Company, in the first six months of 2011 property prices of Black Sea Coast have decreased by 5%, while slump of 10% was recorded in 2010. Residential properties fell in price more than by 50% since boom times, SETimes reports.

Low property prices encourage deals’ growth. Analysts of Bulgarian Properties report that in the six months of 2011 sales’ volume increased by 50% year-on-year.

Atanas Terziev, a real estate consultant from town of Tsarevo, says that the most demanded apartments among Russian buyers are located in the common buildings. They are not interested in purchase of housing located in the modern resort buildings. «Maintenance fees in popular resort complexes like Slanchev Bryag may reach € 5000 – € 6000 per year. That’s why Russians try to buy apartments in the conventional buildings», - the expert says. He adds that Russians ousted English and Irish buyers from Bulgarian property market.

Irish and British have purchased houses on the seacoast in 2006-2008. Nowadays they are obliged to sell properties to Russians, so they can’t pay for mortgages. Russians, unlike the English and Irish, come in Bulgaria with cash.

During the last five years about 150 thousand Russians bought residential properties in Bulgaria. They spent more than € 695 mln.

According to brokers, most of these buyers are middle class families from Moscow and Saint-Petersburg.

This is good news but from what I know the Russians don't want to pay the asking price and often get the buyer to reduce or lose the sale.