Buying Property in Bulgaria as a Foreigner
Bulgarian conveyancing is notarial: ownership passes when a notary executes the deed, and the register decides who owns what. That makes the transaction itself fast and formal — and it makes everything that happens before the notary the part that determines whether the purchase is sound.
This guide covers what a foreign buyer may lawfully acquire, what must be checked before any money moves, how the process runs, and what it costs.
At a glance
- EU / EEA citizens
- Buildings + landSame terms as Bulgarian citizens.
- Other nationalities
- Buildings onlyLand through a Bulgarian company.
- Transfer tax
- 0.1–3%Set by municipality. Sofia: 3%.
- Total mandatory cost
- 3–4%Tax, notary and registration fees.
- Ownership passes
- At the deedExecuted before a Bulgarian notary.
- In person?
- Not requiredA notarised power of attorney suffices.
What you are allowed to buy
Article 22 of the Bulgarian Constitution historically barred non-nationals from owning land. The 2005 amendments introduced a conditional exception where an international treaty permits it — which is why the answer still depends on nationality rather than on domestic legislation alone.
| Buyer | May acquire | Position |
|---|---|---|
| EU / EEA citizens | Buildings and land | May acquire both on the same terms as Bulgarian citizens — no residence requirement, no approval procedure and no quantitative restriction. The transitional restriction on agricultural and forestry land expired on 1 January 2014. |
| Third-country nationals | Buildings only | May freely acquire buildings and limited real rights over land, including the right of construction, but not ownership of land itself unless an applicable international treaty permits it. |
| Third-country nationals, via a company | Buildings and land | A company registered in Bulgaria has Bulgarian legal personality whatever the nationality of its shareholders, and may acquire land without restriction. This is the route most third-country buyers take. |
| Anyone, agricultural land | Separate regime | Agricultural and forestry land is governed by its own statute and carries conditions that do not apply to ordinary residential property. Treat it as a distinct exercise. |
What has to be checked
The Property Register records every instrument affecting the property. Almost every problem that surfaces after completion was visible there beforehand.
| Check | Why it matters |
|---|---|
| Chain of title | Trace how the seller acquired the property and how each prior owner did, back far enough to be satisfied the chain is unbroken. A defect several transfers back can still defeat the purchase. |
| Mortgages (ипотека) | A registered mortgage survives the sale and remains enforceable against the property in the buyer's hands. It must be discharged before or at completion, and the discharge must be verified — not merely promised. |
| Judicial attachments (възбрана) | An attachment signals enforcement proceedings against the current owner and prohibits disposal. A transfer made despite one is voidable at the creditor's suit. |
| Rights of construction | An unextinguished right of construction entitles a third party to build on the land and own the building separately. Land bought subject to one is bought encumbered. |
| Act 16 | For a completed building, the permission for use. Without it the building cannot lawfully be occupied, connected to utilities, or mortgaged as a finished structure. |
| Cadastral position | Confirm that the property as built matches the cadastral record, and that the sketch covers what you believe you are buying. |
| Heirs and consents | Where the property was inherited, establish the full circle of heirs. A sale without the consent of every heir is a sale of an undivided share, not of the property. |
| Tax valuation | The municipal tax valuation determines the tax base and is needed before the notary will proceed. |
From viewing to registered ownership
- Engage a lawyer before signing anythingNot after the preliminary contract. Almost every problem that surfaces later was visible in the register beforehand.Week 1
- Title investigationA search of the Property Register by the name of the current owner and of prior owners in the chain, and review of every registered instrument in the property's file.Week 1–2
- Preliminary contractSets price, completion date and what happens if the seller cannot deliver clean title. This is the document that protects the deposit — the point at which negotiating leverage is highest.Week 2
- Obtain the tax valuation and clear encumbrancesThe municipal tax valuation is obtained, and any mortgage or attachment is arranged to be discharged at or before completion.Week 2–4
- Pay the transfer taxPaid at the notary's office on the day of the transaction. The notary will not execute the deed without proof of payment.Completion day
- Notarial deedExecuted before a notary with territorial jurisdiction over the property. Ownership transfers on execution.Completion day
- Registration in the Property RegisterThe deed is entered in the register at the Registry Agency. Registration is what makes the acquisition effective against third parties.Same day
What the transaction costs
| Item | Amount | Notes |
|---|---|---|
| Local transfer tax | 0.1% – 3% | Set by each municipality. In Sofia the rate is 3%. Levied on the higher of the agreed price and the municipal tax valuation, and paid by the buyer by convention. |
| Notary fee | Statutory scale | A progressive scale applied to the same tax base — the percentage falls as value rises — and capped per transaction. |
| Registration fee | Percentage of the tax base | Payable to the Registry Agency on entry of the deed in the Property Register. |
| VAT | 20% where it applies | Arises on new buildings sold by a VAT-registered seller and on regulated building plots. Most second-hand residential sales between private persons fall outside it. |
| Legal fees | By agreement | Title investigation and transaction management. Agreed before work begins. |
| Agent commission | By agreement | Where an agency is involved. Not a mandatory cost. |
Rates reflect the position in August 2026, after Bulgaria's adoption of the euro on 1 January 2026. Municipal rates and statutory scales change; confirm current figures before relying on them.
Six ways foreign buyers lose money
Frequently asked
Can a foreigner buy property in Bulgaria?
Yes, though what may be acquired depends on nationality. Citizens of EU and EEA states may acquire both buildings and land on the same terms as Bulgarian citizens. Nationals of other states may acquire buildings and limited real rights over land, but not ownership of land itself unless an applicable international treaty permits it.
How can a non-EU buyer acquire land, then?
Most commonly through a Bulgarian company. A company registered in Bulgaria has Bulgarian legal personality regardless of who owns it, and may acquire land without restriction. The structure is entirely lawful and widely used, but it adds annual filing and compliance obligations that direct ownership does not carry.
Do I need to be in Bulgaria for the purchase?
Not necessarily. The notarial deed may be executed by an attorney acting under a notarised power of attorney, apostilled if executed abroad. Many foreign buyers complete this way.
What does it cost beyond the price?
The mandatory fiscal and notarial costs typically come to between three and four percent of the tax base — the higher of the agreed price and the municipal tax valuation — before legal fees and any agency commission.
What is Act 16 and why does everyone mention it?
Act 16 is the permission for use, issued after inspection of a completed building. Until it is issued the building cannot lawfully be occupied, connected to utilities, or mortgaged as a completed structure. A significant number of properties marketed to foreign buyers either lack it or are sold before it has been issued.
Is a preliminary contract binding?
Yes. It is a contract, and it commits both sides. That is exactly why it should not be signed before the title has been investigated, and why its termination and refund provisions matter more than its price clause.
Can I check the property myself before instructing anyone?
The Property Register is publicly accessible and searches can be run online. What is harder without training is interpreting what the entries mean — an undischarged mortgage, an attachment and a registered preliminary contract look similar on the page and have very different consequences.
Does buying property give me residence in Bulgaria?
No. Property ownership is not in itself a ground for a residence permit. Residence is a separate procedure with its own conditions, and should be planned alongside the purchase rather than assumed to follow from it.
Related guides
Check the preliminary contract before paying a deposit, or read about selling property from abroad. For help with the documents, discuss your property transaction.
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