FEATURE ARTICLE: FAQ's - buying property in bulgaria

Do I need a Bulgarian solicitor or accountant?

No. However, taking independent legal and financial advice is always recommended. Zelnik Properties can provide you with a list of independent Bulgarian experts for your peace of mind.

Can I arrange a Bulgarian mortgage?

Yes. Interest rates in Bulgaria are currently in the region of 6.25% (for a Euro mortgage). Again, obtaining independent advice would be wise and mortgage paperwork would have to be signed in Bulgaria, although the application can be completed & sent from the UK. We can help you arrange a mortgage through the Raiffeisen bank, the No1 bank in Bulgaria. Please contact us for more information.

Do I need a Bulgarian bank account?

No, although it may be useful to have one. Annual or monthly fees such as utility bills could be paid directly from your Bulgarian account. A monthly, or yearly direct debit can be arranged and this could save paying regular currency transfer commissions.

What are the annual running costs?

Bulgarian 'Council Tax' and waste collection are approx €350 per annum and this figure is based on the price that appears on your Notary Act (title deeds). Utilities, electricity and water, are between a third and a half of what you would expect to pay in the UK. Zelnik Properties will arrange the general upkeep and cleaning of the building and grounds, this will cost €8 per square metre, based on the size of your apartment and your share of the common parts.

Do I own my apartment freehold?

Yes, you own the title (Notary) deeds freehold. You also own a share of the plot and common parts, which is proportional to the size (area) of your apartment.

What payment plans are available?

Various payment plans are available, with discounts available for early (large) deposits, some plans will not be available as the build progresses.

Are there charges on top of my purchase price?

Generally about 1-2% of the purchase price should be allowed to cover purchase costs, including legal, notary fees and taxes.

Can I rent out my apartment?

Yes, this is one of the many advantages of owning an apartment in an area with great opportunities for outdoor pursuits. Although please don't be misled by promises of high, guaranteed rental returns, which are often hidden in the purchase price. It would be prudent to have a realistic idea of potential rental income, especially if you are using that income to service a loan or mortgage. As a guideline, based on equivalent developments in Beli Iskar village, you could expect to see an income of between €250 and €400 a week. This figure is dependant upon the size of your apartment and is typical for the 'high', winter season.

Can Zelnik Properties take care of my apartment rentals?

Yes, we will have a comprehensive on-line booking facility (including an availability calendar for each apartment), as well as our office-based contact number. Our rental service can include the management of booking and payments, airport transfers, booking of hire cars as well as cleaning, linen changes and maintenance of your apartment, during the rental period. For your complete peace of mind, we can also provide in-resort support to your guests throughout the period of their stay. Details of our pricing options will be available soon. Please contact us for further details.

I'm looking for a property as an investment, what should I look for?

As a general guide, up-and-coming areas should always offer the highest potential capital return. Try to look for resorts that are the focus of both private and government funded expansion/improvement projects. A prime example would be the €500 million 'Super Borovets' project. This project will see the expansion of the existing ski resort of Borovets with new pistes, additional lifts and improved facilities. Also, remember that short airport transfer times and budget airline availability are always a key benefit. As the saying goes; location, location, location!