Bulgarian property to bounce back in 2014

Bulgarian property is set to bounce back this year, according to one agent.

Adres' market forecast says that activity will increase in 2014, as the market stabilies and becomes more attractive. Buyers with savings and stable income will drive the purchases.

"Deposit interest rates are expected to drop further in the next 12 months and the decline of real estate prices will stop, which will activate buyers," Georgi Pavlov, executive director of Adres told Novinite.

"We expect that a lot of people who have savings accounts will consider investing in real estate, once they note the decrease in interest rates."

Indeed, prices in Bulgaria have fallen signifantly in recent years, but recent figures have shown some initial signs of steadying values, while Pavlov argues that the big plunge has already occured with price rises forecast for the future.

"Property investment is a safe bet, and a possible price hike would make it even more profitable," he added, noting that the market is suffering a shortage of property, with 60 to 70 per cent of units in apartment blocks still under construction already having been sold.