Bulgaria property values drop to six-year low

The property market in Bulgaria experienced almost a twofold decline in sales since the record high number of deals registered in 2007, according to official figures. The data from the National Statistical Institute (NSI) and Registry Agency also shows that  prices have lost a third of their peak value in 2007 and fewer building permits were issued.

And there is no sign of an improving market. According to local real estate brokers the downward trend is likely to persist throughout the first half of 2011.

The number of property deals in the country, including sales of land, residential real estate and buildings, has close to halved in the past four years, with deals in Sofia, Varna and Bourgas dropping between 5% and 9%, according to Registry Agency data.

Property prices are now about 33% lower than in 2008, according to NSI. The average price of real estate in 2010 was 964 leva per square meter in with the most expensive prices in the capital city Sofia at 1,569 leva per square meter. The lowest property prices were in the town of Kyustendil at 567 leva per square meter.