Archive for the ‘News’ Category
Repair works on the road from Bourgas to Elhovo
We are glad to spread some good news about the road from Bourgas to Elhovo, which I am sure that will make happy everyone who has bought or is looking for a property in the area.
In the beginning of June 2009 repair works started on the road from Bourgas to Elhovo. The project is massive and includes total repairing of the full length of the road, which is now a part of the international road network, leading to the newest border check point between Bulgaria and Turkey – Lesovo. The road will be repaired according to modern standards and constructed with high quality, as it is financed by the EU. 65% of the project is financed by the European Investment Bank and the other 35% should be paid from the budget of the Republic of Bulgaria.
The full length of the road is 100km and it should be finished by the end of January 2011. However this summer, working hard, they managed to repair a big part of it. This project is a part of the massive project for road rehabilitation called Transit Roads. It includes the main roads, which connect Bulgaria with Turkey and Greece. These roads have become very important since our country has joined the European Union in 2007.
At present there are some speed limits in the parts which are being repaired and we advise you to be extra careful if you drive there alone. The parts, which have been already repaired, are nice, with new gutters along the road and new sidewalks in the villages.
Minimum initial capital of 1 euro for Ltd company in Bulgaria
Bulgarian Parliament approved the initial capital to be 2 BGN or approximately 1 EUR
The initial capital for the registration of a limited liability company (Ltd.) is reduced from 5000 to 2 levs. Now this is a fact by passing amendments to the Commercial Code on first reading. According to the Council of Ministers with the implementation of this measure the level of entrepreneurship in Bulgaria will increase, which means more jobs, new services and products.
The Chairman of the Parliamentary Economic Committee Martin Dimitrov commented that this is the first real reform act of the Parliament, and will help young people to do business. 
The measure was introduced in many European countries where the fee for registration of a company is just one euro.
The proposal for a symbolic capital for initial registration limited liability company was announced by the Government of GERB as one of the anti-crisis measures to stimulate business.
Bulgaria had had one of the highest levels of minimum capital in the world. The World Bank “How to do business” report defined previously that Bulgaria was the country with the 36-th highest capital of 181 countries. With a higher minimum capital are countries such as Mongolia, Lebanon, Mozambique, Congo, Benin, Syria.
Nearly 100 countries have zero minimum capital requirements. Among them are Australia, Canada, Ireland, Israel, New Zealand, Saudi Arabia, the United States, Great Britain, Japan, Singapore, Hong Kong, France and Malaysia.
Driving a car in Bulgaria – cost, taxes, insurances…
We have been questioned recently how much would cost a foreigner to have a car in Bulgaria.
To drive a car in Bulgaria you should have a valid driving license and at least 18 years of age. There are two options for those who don’t intend to rent a car – to buy one locally or to import your own car from your country.
If you decide to buy a car in Bulgaria and register it here you will pay:
1. To register the car on your name – approx. € 50
2. Eco tax – if the car is older than 5 years – from € 100. This is payable once – only when you buy the car.
3. Driver responsibility insurance: at least 50 € per year.
4. Annual theft and accident insurance – it depends on the car- can be € 100 per year for an old car or around € 800-1000 for a brand new car.
5. Road tax (depending on the engine power): around 60 € per year for a car of 2000 ccm engine.
6. Vignette – approx. € 34 per year. It is required for the national roads only; this means that if you are driving only locally you may not need it at all.
If you come here with your own car you may drive it in Bulgaria without registering it. In this case you can use your insurance made in your country in case of accident. You will have to pay for vignette ( to use the roads) – there are vignettes for one week, for one month or for one year. You can buy a vignette in every petrol station. You will be given a sticker which has to be placed on the wind screen.
- Fuel prices:
petrol: 0.97 €/L,
diesel: 0.96 €/L,
LPG: only 0.51 €/L.
Bagging a bargain in Bulgaria: It’s a tough market but investors prepared to pay now will reap the rewards later
www.dailymail.co.uk, 28.05.09, excerpt
Carl Froch, the World Boxing Council super middleweight champion, is finding investing in overseas property just as satisfying as delivering a well-placed left hook. And it may turn out to be almost as lucrative.
‘What is the point of having money in the bank which is earning nothing?’ says Froch, 31, who lives in Nottingham. ‘I have been investing between 8,800 GBP and 44,000 GBP in property in Bulgaria and Turkey over the past 12 months.’
He’s put his money into small apartments, which he intends to rent out to locals rather than holidaymakers, and a suite in an ‘apart-hotel’, which he hopes will have a good return.
‘This sort of investment is perfect for someone like me who gets lumps of money in dribs and drabs,’ he says. ‘I see the properties as my pension as I don’t have other savings.’
Joe Upchurch, managing director of Aston Lloyd, from whom Froch has bought his properties, is a boxing fan. He has also sold an apartment to Joe Calzaghe, one of Froch’s heroes.
‘Upchurch is very experienced and knowledgeable and I trust his advice completely.
‘It’s all about timing,’ he says, and as a boxer, he should know.
Carl isn’t worried about negative comments about the Bulgarian property market:
‘That mostly relates to the south-eastern coast, which is like the Costa del Sol. I have invested in Kostinbrod, which is 15 minutes from the capital of Sofia.
‘This is an up-and-coming business district and the whole area is being revitalised. I am confident I will get a guaranteed income for the rest of my life, as well as seeing the capital value increase too.’
Reports show an 8.4 per cent increase in tourist revenue in 2008, with demand from foreign visitors and Bulgarian nationals expected to remain stable this year, backed by a government advertisement campaign worth the equivalent of 3.5million GBP to promote tourism.
Ross Elder, MD of holidaylettings.co.uk, says: ‘Inquiries for Bulgaria in the first quarter of 2009 are up 9 per cent. It’s a fantastic holiday option if you are seeking value for money on accommodation, flights and food.’
Many people piled into Bulgaria in the boom seeking a quick buck, only to go belly up.
But there’s still income and growth to be had if buyers do their ground work, on the developer as well as the property, take independent legal advice and buy good-quality property in the right area.
Overseas property consultant, Simon Conn, adds: ‘In good city locations, such as Sofia and the better-quality coastal developments, there are long-term possibilities.’
Land prices fell 30% in some areas of Sofia
The economic crisis has affected long term investment and construction plans in Sofia and the surrounding area, affecting the market, causing a slump in value of up to 30 per cent in some regions, according to sofiaecho.com
Given the actual location of the parcel, price deviation varies. The southern boroughs of Sofia, or the ‘elite’ boroughs, Dragalevtsi, Boyana and Simeonovo, have traditionally maintained higher values through higher demand and thus registered a smaller drop, amounting to 10 per cent. The situation, however, is considerably more precarious in areas like Vrazhdebna and Bojourishte. Locations around the Sofia circular road, around Krivina and the area between Hemus and Trakia motorways, where before the crisis land could be purchased for 120-150 euro for a sq m, now see values of as little as 70 to 80 euro per sq m.
According to surveys from different real estate companies, demand for real estate in and around Sofia is currently next to nothing. When mortgage crediting is restored to pre-crisis levels and people are able to afford buying a house, only then can we expect an upsurge in business.
Parcels are a peculiar segment, as they can be used either for development or long term investments. In the first instance, the active party are supposed to be the construction companies, but given the contemporary market conditions, they are in a bad state. The latter case – long term investment – currently, simply doesn’t exist.
The source this material was taken is: http://sofiaecho.com/2009/04/10/703556_land-prices-fell-30-in-some-areas-of-sofia-in-2008–report
