- In what cases do I have to register a firm when buying property in Bulgaria ?
One has to register a firm when buying land, a house with land and an apartment with land. Apartment without land is registered in behalf of a physical person.
- How can I register an apartment when it is sold together with land?
You can register an apartment with land in two ways:
A) An apartment is registered in behalf of a physical party, while the land is registered for a legal party, that is your firm registered in Bulgaria. In such case you will have two notarial acts of ownership: one for the apartment, and another one for the land.
B) Both the apartment and land can be registered in behalf of a firm. In such case you will have a single notarial act of ownership, in which the apartment and the land will be indicated together.
- How long does the whole purchase process take?
Period of purchase registration depends on the kind of property you are buying. If you buy land plot, it will take approximately 1 month from the moment the deposit agreement is signed and deposit is paid. Firstly, a firm is registered (around 20 business days), and as soon as it is registered and all the amounts are paid in accordance with the agreement, the transaction gets registered by the notary. If you buy a house, the whole procedure will also take 1 to 1.5 months. If the price for the house is rather big, for example, euro 350,000 to 500,000, the payment can be made by stages, for example, within two or three months. If you buy an apartment at the construction stage, the registration period will depend on commissioning date. Usually, payment for an apartment under construction is made by stages. The transaction can be registered before the exploitation permit is issued, but not earlier that the act 14 is received.
- Can I obtain real estate purchase loan in Bulgaria ?
From January 2009 Bulgarian banks do not issue loans to foreign physical parties.
- What is BULSTAT card and what do I need it for ?
BULSTAT is a tax number. If you have bought an apartment, you have to apply for BULSTAT card registration within 7 days from the moment the transaction was executed and the notarial act of ownership was received. In such case BULSTAT card will be registered for a physical party. When applying declaration to tax administration in respect to purchase of the property, you will have to submit BULSTAT number, under which you are going to be registered in taxation bodies.
- How can I pay for the property I am buying?
You can pay for the property in cash or noncash using your personal account opened in Bulgaria or through the account of our agency provided to you.
- What is land category and what is the difference between the categories?
Agricultural land is divided into 10 categories. Land category depends on terrain, soil constitution, climate conditions and suitability of the land for growing arable crops. Land of categories 1, 2, and 3 is considered the most fertile one. Poor fertility land starts from category 5.
- Bulgarian construction business terminology: Act 14, Act 15 and Act 16
The purpose of those Acts is to control the stages of the construction process and to assure that all works are being accomplished according to the enacted standarts. Act 14 is the document for acceptance of the buildings structure. It is issued when the building reaches shell stage.
The next stage is Act 15. It is issued when the building has been fully finished. It is signed by both supervising authorities and by the owners of units in the building.
Act 15 is used for certifying the suitability for the buildings commissioning (part or stage of it). The act ascertains that the building complies with the approved project.
Act 15 itself serves as the basis for the following Act 16. Usually Act 16 is the most anticipated by the property owners. It is also known as Certificate of Habitation and is permission for using the building meaning it is suitable for living and new residents can move in. If there is any disparity found between the approved construction design and the completed building, as a consequence no Act 16 is being issued. In any case, from buyer's perspective, lack of Act 16 for an entirely completed housing project is a sign that something is not right and should be investigated further before taking the final decision to acquire a property. Information about whether a ready building has received Certificate of Habitation can be requested at the Authority for National Building Control.
