Bulgaria Investment Property - Emerging Real Estate

It is important to note that buying a Bulgaria investment property does not automatically mean Bulgarian residency is ensured on any sort of permanent or semi-permanent basis from your investment.

Once in Bulgaria, a similar application process at the local passport office must be adhered to in order to obtain a residence permit to live in the Bulgaria investment property. The same documents provided in support of a visa application will be required, and most of these will need to be legalised with an “apostille” stamp at the Foreign and Commonwealth Legalisation Office in London before looking to purchaseBulgarian Property. 

Customs

Local customs regulations should be checked if household goods need to be shipped to a Bulgaria investment property, as importation of goods over a certain value will be charged duties.

Further assistance with this aspect of investment relocation can be obtained from large international removal companies. Please note that regulations on the import (and export) of cash, in any currency, and of motor vehicles are strict and should be thoroughly researched before travel. Research must be done in relation to the importation of pets to an investment property in Bulgaria.

Health and Social security

When considering investment and relocating or retiring to a Bulgaria investment property, it is advisable to do some research in advance on local customs and living conditions. Some public facilities (for example the health service, roads and infrastructure and utilities) in property are not yet of the standard you might expect in the here. Medical treatment is not generally free for foreign nationals and comprehensive insurance may need to be taken out, whether you are visiting or living on a more permanent basis in your Bulgaria investment property. Once residing in your Bulgaria investment property, it maybe possible to pay contributions to the local national health system in order to access Bulgarian medical services.

It should be possible to arrange for funds from this country, including pensions, to be transferred into a Bulgarian bank account for access when living in your Bulgaria investment property. UK tax on income received from the UK will remain payable, but Bulgaria has signed a double tax treaty agreement with the UK to avoid double taxation for foreign nationals with an investment property. For further information please see the Inland Revenue website. However, there is no reciprocal social security agreement between Bulgaria and the UK. If benefits have been claimed from state in here, the Department for Works and Pensions should be checked to find out whether you are entitled to receive them when residing in your Bulgaria investment property.

If considering buying a Bulgaria investment property the country should be thoroughly researched before any commitment to an investment is made. One of the best ways to do this is to visit Bulgaria personally and have a look at investment property. Ideally visit at different times of the year is advised to get as broad a view of the country as possible. It should be noted that, although English may be fairly widely spoken in some areas (e.g. in Sofia and in the resorts which cater for foreign tourists) this is not the case all over the country. If planning to live in Bulgaria on a permanent basis it is a good idea to learn the basic of the native language when considering an investment property.

Cost of Living

When considering an investment property, the cost of living in Bulgaria is substantially lower than in the UK. When living at your investment property, money will go a lot further in Bulgaria especially if you are buying locally produced products such as food, beer, furniture, taxi services and so forth.

As a very rough guide prices tend to be between 3-5 times less expensive. A bottle of beer in a bar would typically cost 40p, a city centre bus ticket 13p; three course meal with drinks £5 per head and an adult football ticket £2. This makes buying a Bulgaria investment property more attractive as the cost of living is so cheap. Overall, investment property allows UK residents to live a much cheaper lifestyle abroad.

Economic prospects

Following the changes in 1989 throughout Eastern Europe, Bulgaria has been going through a transformation from a state-controlled economy to an open market economy.

Recently the main economic indicators have stabilized, increasing the opportunity for an investment property. Bulgaria is likely to join the European Union in 2007. The European Union is bringing millions of pounds of investment in upgrading the country’s infrastructure - roads, airports and so forth - as well as schemes such as the Beautiful Bulgaria Project targeted at refurbishing the historical architecture and tourist destinations. At the same time, new private investment will bring Bulgaria more in line with its European neighbours in the near future.

This means that not only will a property investment in Bulgaria be a dream home for today but it will continue to be a sound financial investment for the future.