How to make purchase of real estate in Bulgaria using mortgages and loans by Bulgarian and foreign financial institutions. A wide range of mortgage products suitable for Bulgarian property purchases.
    We offer exclusive solutions to people investing in Bulgaria – best rates and greatest flexibility. Excellent recommendations by experts of Bulgarian Property Ltd.

Mortgages by Conti Financial Services

Licensed Credit Broker

    If you require finance to purchase your overseas property, then Conti Financial Services - Licensed Credit Broker (who has had over 20 years experience on the market) could assist. Using the Bulgarian property as security a Repayment mortgage could be raised, depending on individual requirements. Based on the valuation or purchase price, whichever is the lower, of the Bulgarian residential property, UK or Non-UK applicants can borrow up to 70% for purchases and re-mortgages for Home Improvements. Mortgages for other purposes are dealt with on a case-by-case basis.
    Please note that if an apartment is still under construction (off-plan), funds are only available when it is legally registered in your name on completion. This will also apply for a new house/villa, but where the land is already purchased and registered in either your name or a Bulgarian Company (with you as legal owner of that Company), staged payments are then available on a drawdown basis to construct the property - details on request.

    Loans are available for UK and Irish Nationals (and non-UK Nationals on a case by case basis) for either House Purchase or refinancing for Home Improvements. Mortgages for other purposes may also be considered - contact us for further information.

Type of Loan: available on a Repayment basis only

Minimum: 40,000, No Maximum, but must not exceed 70% of valuation or purchase price (whichever is the lower).

Proof of Income: required in all cases (can be made up of Earned Income, Pension, Investment or Rental Income. Please note however, it is not always the case that the Lender will take all or part of these Incomes into account when determining the maximum loan available). Non-Status loans are currently not available.

Term: Maximum 15 years - up to age 70

Currency: Euro only

Current Interest Rate: approx 7.50%

Example: Repayment Mortgage of approx 72,500 over a period of 15 years at an interest rate of approx 7.50% in EURO = approx 685.50 capital and interest per month = a total approx amount payable over term of 126,290 including capital, interest, arrangement and survey fees. To find out more and apply for a mortgage on your Bulgarian property, click here.

Mortgages by Bulgarian branch office of Piraeus Bank

Largest commercial bank in South-Eastern Europe

     We from Bulgarian Property Ltd. are delighted to announce another mortgage product for Buglarian property. Piraeus Bank, one of the largest commercial banks in South-Eastern Europe, was established in Greece in 1916. Piraeus bank has 277 domestic and overseas branches and a number of subsidiary companies as well as banking institutions in the USA, UK, and the Balkans. Piraeus Bank's presence in Bulgaria is constantly expanding and so is the Bank's knowledge and affinity with the country. The Bulgarian property loans are one more indication of the Bank's commitment for investing in the country.

     Conditions on mortgages for Bulgarian property are summarized below:

• Type of Loan: Available on a Repayment basis only
• Loan purpose: Purchase of completed residential property in Bulgaria
• Currency: EURO
• Interest rate: 7.50%, variable
• Loan to Value: Up to 70% of the valuation or the purchase price whichever is the lower
• Term: 5-15 years
• Minimum amount: EUR 40,000. No maximum.
• Status: Full status only
• Borrowers: All UK residents will be entitled to the product as long as they are over 21 years old and below the age of 70 at maturity of the loan. Mortgages are also available to companies against the personal guarantee of the company's UK beneficial owners. Other terms may apply for company loans.
• Loan security:
   1. First ranking mortgage on financed property in Bulgaria
   2. Pledge over company's assets (for company loans)
   3. Personal guarantees of beneficial owners (for company loans)
• Repayment method: Capital and interest, in equal monthly installments
• Early redemption charges: For redemption of the mortgage within 3 years of completion an early redemption fee will be charged. The fee will be 3% in the first year following completion, 2% in the year 2 and 1% in year 3 of the outstanding balance of the loan.
• Arrangement fee: 1%
• Building insurance: Fire, flood, earthquake
• Life insurance: Not required
• Fees: The borrower will also be subject to legal fees and costs, as well as administration and valuation fees

     Please download the Mortgage application form and follow the instructions written in it. You need to have Adobe Acrobat Reader installed on your PC in order to open the file.

     Example:

     Repayment Mortgage of approx €72,500 over a period of 15 years at an interest rate of approx 7.50% in Euros = approx €685.50 capital and interest per month = a total approx amount payable over term of €126,290 including capital, interest, arrangement and survey fees.
     Your loan is based on your joint net "take home" pay and is calculated on an affordability basis. All your existing liabilities including any mortgage/rent payments, personal and bank loans, credit card payments (if the balance is not cleared on a monthly basis) and any maintenance payments together with your proposed Bulgarian mortgage payments must not exceed 40% of your net monthly income.
     Example: Net joint monthly income €2,500 X 40% of that figure is €1,000 minus existing monthly mortgage payment €300 - No other liabilities. This leaves a balance of €700 for a proposed Bulgarian Mortgage payment.
     Please ensure that you have full title to the property on completion and that the appropriate documents are available for the lender. Finance will be granted only for completed apartments where the State Acceptance Commission has issued a valid "Use Permission Certificate".
     In Bulgaria, although a foreign legal entity (Ltd, joint stock company etc) is entitled to own titles of land, a foreign person is not. However, a foreign person may have full rights on an edifice, as he/she can own title of an edifice without owning the underlying land.
     Please be aware that the Lawyer/Notary can be incorporating, within his charges, costs for assigning the mortgage and you should establish with the Lawyer/Notary the actual cost before proceeding with the loan application.
     Please bear in mind that if you are intending to be present at the completion to sign all the relevant documents and you do not understand the Bulgarian language, a translator will be required to respond to the Notary. The translator will also be required to sign the notary deed.
     Please note, that the lenders will not advance funds to purchase or renovate properties that are currently uninhabitable.

     For further information please contact:
     mortgages@piraeusbank.co.uk