Deprecated: mysql_connect(): The mysql extension is deprecated and will be removed in the future: use mysqli or PDO instead in /home/a26f9f83/public_html/articles/includes/config.php on line 159
Buying Property in Bulgaria : How to Avoid Making A Bad Investment > NetSparsh - Viral Content you Love & Share

Buying Property in Bulgaria : How to Avoid Making A Bad Investment

Where is it possible to buy a property on your credit card? Bulgaria, of course! With thousands of potential property buyers seduced by Bulgaria's bargain property prices, the temptation is to think that making a solid return is a no-brainer! Searching the Internet, dozens of articles and property websites boast about the 100% capital growth that can be achieved on Bulgarian property investments in the space of 12 months.

For first time investors with small budgets looking for a step onto the property ladder, this seems like an opportunity almost too good to be true! The result is that thousands of novice speculators and second homebuyers are flocking to Bulgaria to cash in on the investment opportunities it offers. But as the saying goes, if it's too good to be true, well then, it probably isn't.

Property prices are rising significantly but largely in the more established and more desirable tourist hotspots. Investing along the Black Sea coastline and areas within 10km of the two major ski resorts, Barovets and Pamporovo, is likely to yield a healthy 60-80% capital growth in one year. Buying a new apartment in these areas can cost as little as ?30,000 and is likely to be solid investment, since they can be easily let to the increasing number of tourists coming to experience the delights of Bulgaria.

A quick trawl through the Bulgarian real estate portals and you're likely to find 100's of properties under ?15,000. With prices like this, the temptation is to rush in and buy, sometimes without even seeing the property. It is wise not to be carried away by the prospect of a property at this price doubling its value in one year. The problem with many of these properties is that they tend to be located in Bulgaria's most isolated and rural areas. These areas are often weak on infrastructure and services and may lag behind the rest of Bulgaria for many years to come.

Investing in Bulgaria's more established locations, such as Varna, Sofia or Barovets, may seem more expensive for the budget investor. But when you consider the headaches and additional expenses that come with renovating an old property in rural Bulgaria, as well as the language difficulties, your budget buy could prove not to have been such a bargain after all! Also, these properties could very well be difficult to rent. Although Bulgaria is growing in popularity with eco-tourists, this tourist sector has not taken off to the same extent as the more traditional ski or sun holiday destinations.

Consequently, the likelihood of property prices rising as dramatically in isolated areas is very slim. Even if property prices take a huge leap upon Bulgaria's entry to the EU in 2007, the chances are that they will increase in rural areas by 15-30% at most.

The situation is similar in Spain and makes a good example. Though Spain saw property prices increase by over 100% on joining to the EU, it is still possible even now to find properties in the most isolated, inland areas for as little as ?35,000. These areas are only now gaining the interest of property buyers priced out of Spain's more desirable locations.

The situation will be similar in Bulgaria. Tourists will flock to the ski resorts, the Black Sea coast and the more popular mountainous regions. Consequently, developers will continue to invest in these areas. New developments will attract more buyers and more tourists and the areas will see continued capital appreciation on investments. Isolated areas, lacking amenities and services will be overlooked and property prices in these areas will remain significantly lower than the rest of Bulgaria.

For intrepid investors willing to take a long-term view on their investment and wait 15 to 20 years to see significant returns, then cheap isolated properties may be worth considering. But the certainty of a return and the ability to approximate what that return will be is far more likely with properties in the more established Bulgarian destinations.

Tracey Meagher runs and maintains PropertyAuthors, a website offering freely downloadable property investment ebooks and articles. She also maintains the Bulgarian Property Newsdesk weblog. Visit http://propertynewsdeskbulgaria.blogspot.com for further information and advice on buying property in Bulgaria. For free articles on investing in property visit http://www.proeprtyauthors.com

In The News:

This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news

Arizona State University

ASU real estate expert questions value of cutting housing benefits in House tax bill
Arizona State University
ASU Now spoke to Mark Stapp, director of the Center for Real Estate Theory and Practice at Arizona State University's W. P. Carey School of Business, to gain a better understand of the bill's short- and long-term impacts. Among his observations of the ...
How will Trump's tax plan affect real estate here?Half Moon Bay Review

all 785 news articles »

PGH City Paper

Why can't local homeowners include “green” attributes in real-estate listings?
PGH City Paper
The Real Estate Standards Organization (RESO), which provides technical support for the industry, has created standardized ways to list green info; CEO Jeremy Crawford says half of the nation's 700 MLSs utilize green fields, a cohort that encompasses ...


Wall Street Journal

Bitcoin Is Creeping Into Real Estate Deals
Wall Street Journal
The real-estate industry is taking its first steps in adopting cryptocurrencies and the technology that backs them in what could eventually produce important changes in the way property is bought and sold. While noticeable differences might be years or ...


WKRN.com

Fake real estate agent scams family out of entire savings
WKRN.com
RIO RANCHO, N.M. (KRQE) – Faith Kerns couldn't wait to move into a house with just her and her boys. She found a great place in the school district she wanted, but she trusted someone who turned out to be a scam artist. “It was heartbreaking when my ...


End of net neutrality could spell doom for real estate small businesses
Inman.com
In a sweeping rebuke to internet companies and consumers, U.S. Federal Communications Commission Chairman Ajit Pai on Tuesday released a plan to repeal so-called “Net Neutrality” regulations, a move with far-reaching implications for mom-and-pop ...

and more »

Local business owner accepted into Forbes Real Estate Council
Summit Daily News
The owner of Dwell Summit Real Estate, Tanya Delahoz, has been accepted into the Forbes Real Estate Council, an invitation-only community for executives in the real estate industry, according to a news release. Dwell Summit Real Estate is a boutique ...


Why is real estate startup funding on the rise?
Inman.com
According to Crunchbase, between August 2016 and August 2017 a total of 111 real estate startups secured over $502 million in early stage equity funding. So why is the real estate industry becoming a popular playing field for venture capitalists? That ...


Pacific Business News (Honolulu)

Hawaii hotel real estate market buoyed by 7% boost in RevPAR
Pacific Business News (Honolulu)
Hawaii's hotel real estate market this year has been buoyed by a 6.6 percent increase in revenue per available room during the first three quarters, compared to the same period last year, exceeding the increase in the national average by nearly four ...


Hamilton Journal News

Unique real estate options plentiful in Hamilton - Dayton Daily News
Hamilton Journal News
Hamilton historic home gems can be found inexpensively.

and more »

Bloomberg

Harvard Is in Talks to Have Bain Manage Real Estate Assets
Bloomberg
The Harvard team is overseen by Daniel Cummings, who was hired in 2009 and previously worked for Carlyle Group LP and a division of Jones Lang LaSalle Inc. Cummings oversaw the creation of a portfolio of direct real estate investments in which Harvard ...

and more »
Google News

Why Real Estate Investment?

Why should you invest in real estate? Well, investing in... Read More

Expenses of Home Ownership

Hopefully all goes smoothly when you purchase your home. In... Read More

U.S. Real Estate Sought By Foreign Investors Due to a Weaker Dollar

The weak US dollar has been good news for real... Read More

What Is a CMA

"CMA" is an abbreviation real estate agents use for a... Read More

Home Selection Checklist - A Good Aid When Choosing a Home

This home selection checklist is a tool to help you... Read More

The Psyche of The Seller and The Tenant Buyer

For those of you who were not psychology majors the... Read More

The Bubble Effect

Turn on the TV at almost any time day or... Read More

Business Credit Card Dirty Tricks

My system teaches people that the proper use of credit... Read More

Choosing a Reputable Real Estate Appraiser

When you are considering purchasing a property; either for investment... Read More

How to Become a Successful Real Estate Developer

Real estate investment and development has never been a more... Read More

San Diego Real Estate

San Diego is home to millions of beautiful apartments, condominiums,... Read More

Yes But, How Do I Evaluate Buying Undeveloped Land And Get Into The Business?

These real questions on buying undeveloped land are answered by... Read More

Back To The Future - Big Changes Are Coming, Get Ready Now

The comments below are quoted from a recent speech by... Read More

The Professional Investors Plan

The art of using high-leveraged activities.Here I would like to... Read More

Greed Can Cost You Your Shirt!

The proper action when things are going well is to... Read More

How To Get Top Dollar For Your Home ? Fast

1. Time is money when selling your homeAfter you've made... Read More

The Cat in the Attic

Strange and unexpected things happen during home inspections. Seldom are... Read More

Title Insurance Protects Your Financial Investment

You purchase homeowners insurance to protect yourself financially in case... Read More

Financing Houses

What Real Estate Lenders Look ForLenders control many programs --... Read More

An Often Overlooked Secret of Marketing and Negotiating for Real Estate Investors Looking for Deals

When you call sellers, what do you say? When you... Read More

How to Prequalify a Buyer When You Sell Your Home By Owner

One questions many "for sale by owner" sellers... Read More

Finding The Perfect Maui Home For Sale

If you are thinking of relocating to Maui, this article... Read More

Landlording And Other Aggravations

Here's the gripping story...You are the landlord of a small... Read More

Relocation Humor: Why I Bought A House

The Rental Experience in South FloridaReaders: This is based on... Read More

How To Find a Real Estate Agent

You may be of the opinion that you don't need... Read More