To the east, Bulgaria beckons with its own beauty, history and an affordability advantage over other eastern and central European countries, despite steadily rising prices and low inventory. Bulgaria’s other advantages include its low tax rates, as well as some of the lowest mortgage rates in Europe, while favorable banking policies have eased access to credit. In the historic capital of Sofia, Bulgaria’s luxury sector saw a 50% year-over-year increase in sales for homes priced at €600,000 (US$643,410) and up in 2023, according to Vesela Ilieva, managing partner of Unique Estates, the exclusive Christie’s International Real Estate affiliate in Bulgaria. In 2024, nearly a third of the company’s listings traded at asking price, and about 15% sold above asking, which, Ilieva says, “demonstrates the confidence and commitment of clients in the success of luxury real estate as a valuable investment.”
“High-quality investment properties with attractive locations, well-maintained communal areas, and proven profitability sell within one to two months and are increasingly sold without any negotiation on the listing price,” Ilieva adds.
From 4Q23 to 1Q24, home prices in Bulgaria rose 7.1%, the largest increase in the EU and the largest jump in the country since 2007. Prices are expected to grow by 15% in 2025.
The market remains very active in traditionally desirable areas within Sofia, including the Lozenets, Iztok and Izgrev neighborhoods. The Doctor’s Garden neighborhood remains one of the priciest areas in the capital, along with other sought-after locations like the area around the historic Alexander Nevsky Cathedral and the National Assembly. In the high-end segment, the average price for an apartment is around €3,500 per square meter (US$334/sq ft), while in iconic locations in Sofia, prices can be twice as high.
“Our expectations are that the luxury real estate market in Sofia and Bulgaria as a whole will remain stable and show growth,” said Ilieva.
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