Bulgaria Property
The purchasing process in Bulgaria is very simple. However, foreigners are not permitted to own land alone. Individuals are able to buy houses, flats or villas, however must set up a Bulgarian company to buy plots of land alone. The process is simple, and your lawyer will be able to advise you of the best methods available. In general it will take about a month to set up a Bulgarian company.
Whether you are purchasing property with or without land, you should also use a local lawyer who will be able to check your contracts and title deeds and carry out any necessary checks on the property. Obviously the first step is to find the property. Once you have found your property, you will generally put down a deposit of €6,000. This will take the property off the market and freeze the price.
Once this has been done, your lawyer can then make checks and advise you of the best way to proceed with your purchase. If you choose to open up a Bulgarian company you must at this point register the company, which your lawyer will be able to organise for you.
One month from placing your deposit, you will need to sign your private purchase contract where further checks on the property will be carried out. To then complete your purchase, you sign the contract of purchase. This is generally done in front of the Bulgarian Notary and clearly outlines you as the owner of the Bulgarian property.
Steps to follow when purchasing in Bulgaria
Reserve your property. Find out if the property comes with extra land, if so you will need to incorporate a company to hold the land. You will receive an initial contract of sale (which is similar to ‘sold subject to contract' in the UK). Get a reputable Bulgarian solicitor to do the standard checks on the property. Sign the Contract of Purchase either in front of a Bulgarian Notary or at the Bulgarian embassy in London. In the case of off-plan developments, the contract is not signed until all building is finished.
Taxes
Taxes vary in Bulgaria, depending on each individual’s circumstances and factors. These include your tax domicile, the extent of your business activities, the nature of the property transaction and more.