PROPERTY PRICES IN BULGARIA TO CONTINUE INCREASING GRADUALLY

Property prices in Bulgaria would continue increasing, though the percentages would be lower than the ones registered for 2004 and 2005, head of the National Real Property Association (NRPA) Orlin Vladikov said.
Prices would depend on the quality of construction work, location and nearby infrastructure, Bulgarian news agency BTA reported.
Only luxurious property in Bulgaria could reach the price levels in European capitals and resorts, Vladikov said.
In 2005 nearly 250 000 property deals were concluded in Bulgaria. The upcoming EU entry of the country was expected to play an important role in developing the property market and increasing the demand for office property, real estate agents said.
Central European Real Estate Associations Network (CEREAN) vice-president Eli Moneva said that the prices of property would go up but the net revenue from real estate deals was expected to decrease.
The property return rate at the moment was nine per cent but was expected to decrease to the regional average of six to seven per cent, Moneva said. Competition and the higher construction expenses were responsible for the development, she said.

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