One cost effective method of buying property is to buy Bulgarian Off Plan property. Purchasing Bulgarian Off Plan property is the process whereby the investor pays a deposit to reserve a property before the construction has started or certainly in the very early stages of construction.

The benefit to the developer is that they are able to agree the sale of their properties at an early stage. This offers them security and cash-flow when they have very little to show the investor other than the site, plans/drawings and computer generated images. Buying Bulgarian off plan properties in can be beneficial in terms of securing a great development in a fabulous location as well as maximising potential profit.

Most of the investments available through Emerging Real Estate are Bulgarian apartments that can be secured on an Off Plan basis as this type of payment structure offers advantages to both the investor and the developer alike.

Purchasing off plan Bulgarian property benefits the investor as the price of the property can be secured often 1 to 2 years prior to completion, offering significant capital growth prospects. With an off plan purchase, the deposit required is usually between 10% and 20% with secondary payments on the finishing of the roofing works and the final payment being made on completion of the building and financed by a mortgage. We are also currently offering Bulgarian off plan property where the final payment (up to 30%) can be deferred for up to 12 months interest free.

Both in the UK and Off Plan property investments have seen some outstanding results for Bulgarian investors over recent years and this has now become established as the preferred method of purchase for most of our customers buying Bulgarian property.

 

An Example of Buying Off Plan Property in Bulgaria

Purchase Price	€100,000	July 2004
Deposit Payable (10%)	€10,000	August 2004
Roofing Works Completed (15%)	€15,000	July 2005
Completion (45%)	€45,000	December 2005
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Total paid by completion	€70,000
The property can be used at this point or rented out if preferred
Balance to pay 12 months after completion	€30,000	December 2006
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Total Paid	€100,000

Assuming that Bulgarian property has been rising at 15% per annum (which is much lower than has been achieved recently), then the Bulgarian off plan property would be worth over 140,000 Euros at this point.

 

The Detail of Purchasing Bulgarian Off Plan Property

• Study the Bulgarian off plan developments and apartments on offer in consultation with Emerging Real Estate who are available to liaise with you and the Bulgarian off plan developers 7 days a week. We are in constant communication with the developers so we have up to date knowledge regarding availability. We can also advise you on the payment terms of all developments and issue you with an initial Terms of Sale document.
• After confirmation with us that your chosen Bulgarian off plan property is still available we will reserve it by telephone on your behalf. This will be valid for up to 7 days until your reservation fee arrives at our offices. This fee can be a cheque or a bank transfer for either £750 or €1000. All the information that we require is included on our off plan reservation form.
• The developer will issue you with a full contract for sale. This contract must be signed and returned to the developer within 3 weeks. We will liaise with you, answering any queries that you may have. We will also assist you in returning the paperwork to the developers.
• Within 3 weeks of your reservation, the initial deposit must be paid after deduction of the reservation fee. This will be paid via a bank transfer directly to the Bulgarian off plan developer. Emerging Real Estate will confirm all the relevant bank details.
• Further payments must be made on time depending on the terms of the contract on your particular off plan property. We will advise you well in advance of the dates when payments are required so that you can prepare your finances accordingly
• The Bulgarian property will be yours after completion. The main part of this transaction is the signing of the Notary Act that can be arranged through a solicitor or you can travel to Bulgaria and inspect your finished property. A number of taxes are payable at this stage which in total will amount to approximately 3% of the purchase price. Some of our Bulgarian off plan developers are prepared to share these costs with you and us will certainly help to secure the best deal available when purchasing Bulgarian off plan property.

Purchasing Bulgarian off plan property can prove by far the cheapest and most profitable way to invest in overseas property. As well as having many financial advantages, purchasing off plan property can be beneficial in terms of securing a great development in a fabulous Bulgarian location.