Are Brits Investing In Bulgaria Because Of Its Lenient Travel Restrictions?

Many people expected the property market in Bulgaria to struggle in 2021. Property around the world was suffering price cuts, the pandemic having left potential home buyers with limited funds. Furthermore, Brexit was expected to have a big impact on British investment.

However, that has not been the case. While property prices saw very little growth at the start of the pandemic, the latest figures show that growth has now surpassed pre-pandemic rates.

Why should this be the case? Does an increase in British investment have anything to do with Bulgaria's more lax travel restrictions?

Staying put

Before looking into British investment in Bulgarian property, we need to consider another potential reason for house prices to be rising. The pandemic has led first to stay-at-home orders, and now to an abundance of caution when planning for the future.

In the housing market, this means that more people are staying put in homes in which they've found comfort. A lack of sellers has led to a low supply, while demand has steadily increased once more. This is certainly one factor in the rising price of homes in Bulgaria in 2021.

However, it is far from the only factor. That caution is wearing off as vaccination rates increase. There are more homes available for sale now, even if the number is lower than what it was before the pandemic.

We also need to look at why demand is increasing. If people are choosing to stay put, shouldn't demand also be low?

British property investment

One of the reasons few people expected the Brexit referendum in 2016 to come out on the side of "leave" is that British people love investing outside of the country. While they invest in property around the world, most property investment...