The Bulgarian real estate market experienced a notable increase in property transactions during the third quarter of this year, with a total of 54,138 transactions registered nationwide, mirroring the same period last year.
The surge in activity was particularly evident in the country’s six largest cities—Sofia, Varna, Plovdiv, Burgas, Ruse, and Stara Zagora—where property purchases collectively rose by 9.8% to 20,074 transactions.
This trend indicates a strong and sustained demand for real estate not only in urban areas but also in smaller towns and resort locations.
Among the major cities, Burgas led the growth in property transactions, recording a 19.1% increase compared to the previous year.
A total of 2,300 transactions were registered in the city from July to September, up from 1,931 during the same period in 2023. This placed Burgas at the forefront of real estate market expansion, signaling heightened buyer interest in the Black Sea coastal city.
Plovdiv also witnessed a significant increase in property activity, with 4,072 transactions registered in the third quarter, a 13.7% rise from the 3,582 transactions recorded during the same period last year.
Stara Zagora saw an even more substantial jump, with a growth rate of 18.2%, reaching 1,097 registered transactions.
On the other hand, the cities of Varna and Ruse experienced a downturn in property activity, reporting a decline in transactions by 0.6% and 8%, respectively. Despite these decreases, the overall upward trend across the largest cities underscored a robust real estate market.
Smaller Settlements Outpace Larger Cities
Interestingly, the growth in property transactions extended beyond the big cities, with smaller towns showing even higher increases in real estate activity.
A total of 16 cities across Bulgaria reported transaction growth exceeding 10% compared to the same quarter last year, highlighting the increasing appeal of properties outside the major urban centers.
Leading this surge was Kostinbrod, a town situated near Sofia, where property transactions jumped by 28.6%. A total of 238 transactions were registered in Kostinbrod, reflecting the strong interest in suburban properties with easy access to the capital.
The demand for suburban housing is attributed to a preference for spacious homes away from the congested city center.
Dryanovo, a small town known for its picturesque landscapes, ranked second in terms of growth, with a 27.3% increase in transactions.
The town saw 98 property sales during the third quarter, as buyers showed a growing inclination toward acquiring homes surrounded by nature.
Dryanovo’s appeal lies in the combination of natural beauty and affordable real estate options, making it a favored destination for those seeking a peaceful lifestyle.
Resort Towns Experience a Boom
The demand for holiday properties also contributed to the increase in transactions, particularly in popular resort areas.
Velingrad, known for its mineral springs, recorded a 19.1% rise in property sales, with 293 transactions during the quarter. The town’s appeal as a vacation destination and wellness retreat continues to attract investors looking for vacation homes.
Similarly, Nessebar, a historic town on the Black Sea coast, reported a 16.1% increase in real estate activity.
The registry office, which also covers the nearby Sunny Beach resort, registered 2,766 transactions in three months, underscoring the continued interest in seaside properties. This surge reflects a broader trend of increased demand for vacation homes and investment properties in coastal areas.
Diverse Growth Across the Country
The growth in real estate transactions was not confined to specific regions, as various cities and towns across Bulgaria experienced a surge in activity.
Blagoevgrad saw a 12.8% increase in transactions, while other towns such as Etropole, Zlatograd, Devnya, and Smolyan also reported double-digit growth rates.
These trends indicate that buyers are active across the country, with many looking beyond the traditional property hotspots.
In total, more than 1,000 property transactions were registered in the registry offices of seven cities, including Sofia, Plovdiv, Varna, Burgas, Nessebar, Ruse, and Stara Zagora, during the third quarter.
Meanwhile, 13 other cities recorded between 500 and 1,000 transactions, illustrating that real estate interest extends beyond the largest urban centers.
Rural Properties Gaining Popularity
A trend that emerged in 2020 and has persisted is the growing demand for rural properties. Many buyers are opting for country houses, seeking to escape the hustle and bustle of city life. Homes surrounded by nature, with good road access and proximity to larger cities, are particularly desirable.
Buyers are not only interested in ready-to-move-in houses but are also open to purchasing more affordable properties requiring renovations.
The appeal of rural living has increased amid the ongoing shift towards remote work and the search for more space, comfort, and tranquility.
Additionally, holiday properties by the sea remain a popular choice for those seeking a second home or an investment in a vacation rental.
Outlook for the Bulgarian Property Market
As the data from the Registry Agency for the third quarter of 2024 shows, the Bulgarian real estate market is experiencing a resurgence in activity across various regions.
The diversity in transaction growth, from major cities to smaller settlements and resort towns, reflects a broad-based demand for real estate.
While the largest cities continue to dominate in terms of volume, the significant growth in suburban, rural, and holiday properties suggests that buyers are increasingly exploring a wider range of options.
The Bulgarian property market’s ability to maintain its momentum despite economic uncertainties indicates a resilient sector poised for continued growth, catering to diverse buyer preferences and investment needs.