Frequently asked questions about Bulgarian properties

How do I purchase a property in Bulgaria?

Foreign nationals are allowed to purchase regulated land and the buildings on it in Bulgaria on their physical name, if they are EU citizens or citizens of EEA countries . Citizens of all other nationalities can buy a property in Bulgaria only through setting up a company. We at Best Bulgarian Properties Ltd. take care of all details regarding the company registration.

As the company will own the land and you own the company, this is just a legal work around.

The first step in the purchasing procedure, same as in UK and many other countries around the Globe , is to pay a deposit of 10% of the purchase price of the property (in some special cases we require higher deposit). Once we receive the deposit we sign a preliminary contract with the owners so we could guarantee the availability of the property for at least 30 days.

During these 30 days we will have to register your limited company ( if a company is necessary) and prepare all the necessary papers for the deal. In order to start the registration procedure we require you to sign the papers that are necessary and to pay the amount of 600 euro, which is the cost for a company registration.

Are there any hidden fees? No, when you buy a property in Bulgaria trough us, you pay the advertised price of each property as indicated on our website, 600 euros for the company registration, ( if a company is needed) unless you already have a registered company, and around 5% for notary fees and taxes. Feel free to contact us or book a viewing trip.

Can you help me with the renovation of the property that I purchased? How much will it cost? Yes, we would be glad to help you with your Bulgarian property renovation. We have a team of professional and experienced builders, who have renovated and built many properties. We could renovate or build to EU standards or above for a very reasonable price. To find out how much the renovation of your specific property would cost, please contact us.

What is the legal treatment of foreign investors in Bulgaria?

Bulgaria has one of the most liberal foreign investment laws in the region regarding Bulgarian real estate. According to the Bulgarian Constitution and legislation, foreign persons and companies can invest in real estate in Bulgaria either personally or through a local legal entity. Generally speaking, foreigners as persons, besides the citizens of EU or EEA countries , can acquire only buildings but not land. In order to obtain the ownership of land in Bulgaria all non residents or not citizens of EEA countries, could buy the property as a juridical person not as physical one, in other words, register a company on your name and buy the property trough it.

How can be established an enterprise with foreign investment in Bulgaria? As far as Bulgarian houses, villas, apartments and limited ownership rights (the right of use, the right to build a house, etc.) are concerned, everyone  can directly purchase them as a person.

Setting up a company in Bulgaria is relatively easy. All you need is a good solicitor or barrister at law. There are other ways to do it, like:

Establishing a joint venture with existing local companies; Setting up a new venture; Acquiring a company through privatization;

Which are the preferred types of business organizations with foreign investment? The most common form of organization for foreign investors is a limited liability company. Other types are general partnership, limited partnership, joint-stock company, sole proprietorship, joint venture, branch, holding, cooperatives, representative office. Limited liability companies, unlimited partnerships, public limited companies, limited partnerships, holdings and cooperatives are legal entities. Branches and representations are not independent legal entities: branches may engage in economic activities, they have their own property and compile a separate balance sheet; representations may not engage in economic activities.

Is the extent or amount of foreign participation in companies limited?

No, it is unlimited.

Can foreigners acquire ownership rights over land in Bulgaria?

Foreign individuals from other that EU or EEA countries nationalities ,  can not own land (this is a Constitutional prohibition). However, the Foreign Investment Law removed the restrictions on acquisition of land by locally-registered companies with foreign participation. By setting up or joining a company incorporated under the Bulgarian legislation foreign persons can acquire full land ownership rights including ownership rights on agricultural land.

What are the living costs in Bulgaria? How much one pays for house insurance, gas, electricity, local and national taxes, to drive a car? It's not possible to compare living costs in Bulgaria and Western Europe. Living costs in Bulgaria are  lower! For example the food is generally twice cheaper than UK. House insurance: around 100-200 EURO per year depending on the type of house, together with the belongings and furniture inside. For a property of price 30,000 EURO insurance against theft, flood and fire costs about 125 EURO per year with a decent insurance company. Gas: the gas system network is not developed in Bulgaria yet. People here mostly use electricity to cook. For heating: there are central heating systems in the big cities: monthly costs for a 2-bedroom apartment around 120 EURO. In the small places people use charcoal and wood, which is even cheaper way to heat a house. For electricity, when used for cooking, light or hot water one pays about 30 EURO per month. Local and national taxes for owning a property: depending on the place where the property is located, the most expensive area is the capital Sofia, where the annual taxes of 2 bedroom apartment are around 150 EURO per year, but the rest of the country is around 80 EURO per year.Driving a car in Bulgaria: There are few annual fees that must be paid every year to drive a car in our country:

Driver responsibility insurance: 35 EURO per year Road tax (depending on the engine power): around 55 EURO per year for a car of 2000 cc. engine. MOT: 12 EURO per year Fuel prices: petrol: 1.05 EURO/L, diesel: 0.95 EURO/L, LPG: only 0.50 euro/l. Most of the cars in Bulgaria are equipped with LPG systems, so cars are mostly fueled with the non-pollutant and very cheap propane gas. There are many petrol stations everywhere, many garages to service the cars (very cheap though). The insurance for a brand new car is around 800-1500 EURO per year, depending on the price of the car.

Who are we?

Best BG Properties Ltd. is a Limited company Registered in the Sofia court, Bulgaria, with Bulstat number 131519624. Our registered address is Vazrajdane Distr., Bul. "Al. Stamboliiski" 74, ap.9  our office is located at Bul. Alexander Stamboliiski 74, Ap.9 Zip code 1000. We have network of brokers in almost all parts of Bulgaria, who are providing our property offers directly from the owners. We are in the process of expanding our coverage and within short period of time to cover all parts of Bulgaria. Our first priority is to make our customers happy and provide them with the best service.

What are the fees and commissions charged by Best BG Properties Ltd. Agency commission: Our agency commission covers many important services which we provide for the buyer during the process of purchasing - such as: solicitor's assistance, full checks on the title deeds and the ownership, preparation of all necessary contracts, paperwork, communication costs. etc. We protect the rights of the buyer!Other expenses: Depending on each property there are other expenses like: notary fees, tax when purchasing property, stamp duty, checks on the property ownership, etc. These additional charges are usually around 3% of the price.Company registration fee: Our team of lawyers will fully assist you in registering your limited 'LTD' company in Bulgaria. For registering a company we charge a fee of 600 Euros. Please note that the company must prepare and submit annual tax declarations as well as keep accountancy books. Therefore, we have a qualified accountant to take care about the company's books. If you do not operate with the company, meaning if you do not perform any business activity, our accountant charges 25 euro per year.

Viewing trips charges?

If our company car is used for the viewing trips we charge 0.30 Euros (approx. 0.24 GBP) per km to cover the petrol charges and wear costs of the vehicle. This charge is lower than the price charged by the taxi companies in Bulgaria. This fee is refundable in case you purchase a property through us.

Managing properties?

Best BG Properties is offering comprehensive property management services. We could take care of the rental of your property to the maintenance. Contact us for more details. Refurbishing/building properties: Best Bulgarian Properties can provide high quality building and refurbishment works using our local professional builders. Do not hesitate to contact us for further details.