Sat, Feb 11 2012

Colliers: Real estate prices in Bulgaria to drop by further 10 per cent by July

Wed, Jan 20 2010 12:24 CET

byNick Iliev

2362 Views 1 Comment
Colliers: Real estate prices in Bulgaria to drop by further 10 per cent by July

The value of real estate was expected to decline by an additional 10 per cent on average by July 2010, Tatyana Emilova from real estate consultancy firm Colliers was quoted as saying by Dnevnik daily on January 20 2010.

The ongoing drop in value in the first half of the year was expected to be succeeded by "stabilisation in the market" in the second half, she said.

In 2009, real estate prices dropped by about 20 per cent on average nationwide, compared to 2008 figures, Colliers data showed.

For 2010, however, experts believed that there would be an increase of demand in the market and augmented flexibility given the lower prices, and investors were said to be "willing to negotiate," Dnevnik reported.

The implemented amendments in the legislation pertaining to real estate transactions which would outlaw cash payments, were going to have little or no effect on the current market conditions, according to Atanas Garov, CEO of Colliers branch in Bulgaria.

The proposed measure aimed to bring "light and transparency in the industry" but according to Garov, cited by Dnevnik, this would not be the case.

He reckoned that real estate would continue to be sold at prices different from the official appraised values and that cash payments would continue to be the norm.

"If the Government wants real transparency in the industry, it must implement measures whereby the cash flow would be constantly monitored and evaluated" Darov was quoted by Dnevnik as saying.

Source:propertywisebulgaria.

  • Print
  • Send via email
  • Translate to
  • Share:

Comments

Anonymous Ralph Holland MRICS Thu, Jan 21 2010 10:03 CET
Report Comment

'light and transparancy' is certainly required in all real estate markets - it the least transparant of all markets, and doubly so in the emerging SEE and CEE markets. Membership of the RICS is the touchstone of professionalism and the herald of transparancy - and all Bulgarian real estate 'professionals' should aspire to membership. The RICS is in process of setting up in BG and fortunately there are already local candidates in training, not least at my former firm, Forton International.


To post comments, please, Login or Register.


Please read the The Sofia Echo forum comments policy.

Varna real estate is the dearest amid nationwide decline

In the fourth quarter of 2009 alone, levels dropped in 16 municipalities across the country, the steepest of which, 6.4 per cent, was in the northern city of Pleven.

New real estate transactions law passed on first reading

Initially, the measure, outlawing all payments in cash, was due to take effect from January 1 2010

Green grass over blue glass

Sofia municipality might opt for green over yet another business centre

Newly-completed office buildings to keep rents low in 2010 - study

About 375 000 sq m of new office space is going to be completed an made available on the market in 2010, which will have a dis-balancing effect on the prices due to excessive supply

More in this category

Raiffeisen Real Estate: Prices of Sofia homes returned to 2007 levels

Average market prices of homes in Sofia fell by one per cent in the fourth quarter of 2011 compared to the same period of 2010, according to the Raiffeisen Real Estate Index, as quoted by Klasa daily.

Most property sales in Bulgaria were people wanting to escape their investment – report

Proportionately, the number of transactions in leva increased as people reacted to speculation that the euro would disappear.

Bulgarian property market: Home finance easier, media report says

Nearly all banks are ready to finance between 80 per cent and 90 per cent of the price of a home, provided it is a good building in a large city, Bulgarian daily says.

Bulgarian property prices ‘have hit bottom’ brokers say – report

Property prices in Bulgaria were five to 10 per cent lower in 2011 than in 2010, while initial estimates for this year are that they will remain largely unchanged, with transactions remaining at ‘crisis levels’.

Budapest, Skopje at top among ‘Europe’s top 20 places to invest in property’

Bulgaria’s capital city Sofia ranks 17th, report says, quoting Global Property Guide.

© 2000-2012, Sofia Echo Media Ltd.

Web Design by RIZN

Sofia Echo Media is part of the Economedia Group.
The news and information content on this website is provided by our editorial team and is copyrighted. Any unauthorised reproduction or use of it is strictly forbidden. Reproduction of this website's content is permitted only with prior written permission from the Editor-in-Chief, should be propertly acredited and provide an active link back to our site. Comments posted by the website's visitors are independent of the editorial materials and do not represent the views of sofiaecho.com. Sofia Echo Media cannot be held responsible for the statements contained in visitor comments. The percentаge change in the shares' prices are based on the price of the last transaction of the current session compared to the price of the last transaction of the previous session. Bulgarian Stock Exchange data is not real-time, but updated every 15 minutes, and should not be used as a basis for decisions about buying or selling stock options.