In recent years, we have witnessed a growth in housing transactions. The negative interest rates on deposits, high inflation, the uncertain political situation in the country and the world, made many Bulgarians withdraw their savings from banks and transfer them to something more secure, namely the purchase of a home.
Since the beginning of the year, however, a new trend has been observed in the housing market, namely – first home buyers are starting to predominate. One of the main reasons for observing such a picture is that the income of Bulgarians is growing. This means that a certain percentage of those who have previously lived in small dwellings can now afford a larger apartment and are doing so. “The affordability of housing is constantly decreasing, so the available income is faster than the prices of the housing”, say intermediaries.
The most common profile of these buyers are families with two or more children. These are mostly people between the ages of 30 and 45. Most work in the IT field, have their own business or have grown children who live in another city.
The change in buyers – however, buying for own needs instead of for investment purposes poses a new problem in the real estate market. In recent years, developers have massively built homes with a built-up area of up to 65 sq.m. This type of property was sought for investment purposes. Today, however, when most customers are buying to live in this apartment themselves, they want the property to be bigger. However, the supply of such is decreasing day by day.
You can see detailed statistics on average property prices in Bulgaria by cities and neighborhoods HERE