The procedure for buying property

The procedure for buying / selling real estate in Bulgaria

Foreign citizens of the European Union are entitled to purchase "property in Bulgaria" with a land plot. When you make a purchase of real estate, a sufficient passport. The procedure for buying real estate by a foreign person is no different from the procedure for buying a Bulgarian citizen. An alien has the same rights, including the right to lease his home.

Foreign citizens of NOT the European Union have the right to purchase "real estate in Bulgaria" without a land plot. When making a sale-sale of a sufficiently secure passport. The procedure for buying real estate by a foreign person is no different from the procedure for buying a Bulgarian citizen. An alien has the same rights, including the right to lease his home.
If you want to buy a house with a land sector, you need to register a legal company in Bulgaria. The company is registered within 3-7 days. The cost of opening a company including taxes and a lawyer is 300 euros. The annual filing of documents on the zero balance of the company is 50 euros including taxes, publication and accountancy services. As a rule, only a land plot is drawn up for a company, but if necessary, a house can also be issued for it, otherwise the purchase has the same purchase procedure as without a land plot. One of the best options for buying a house without registering the land in the property is to buy a house in the complex.

The procedure for buying real estate (apartments, houses, commercial real estate) from the builder in Bulgaria.

1. The choice of real estate.

2. After selecting the property, a reservation amount of 1000-2000 euros is made (each developer individually determines the amount of the reservation) - this amount is included in the purchase price and remains with the developer. The object is removed from sale for up to 30 days, the price is fixed.

3. A preliminary contract is signed between the buyer and the developer. The pre-sale contract for the sale of sales describes in detail the main conditions and parameters of the transaction: the location and full description of the object, price, forms and terms of payment, rights and obligations of the seller and buyer, penalties on both sides for fulfillment of obligations, and various additional conditions by agreement.

4. Within 30 days after making the reservation amount, the buyer must pay the amount of 30% to 50% of the total value of the property, the percentage is determined by the developer depending on the timing and form of payment proposed by the buyer. (If the next payment is not received within 30 days after making the reservation amount and the buyer does not enter into additional negotiations with the seller, the contract is considered terminated, the reservation amount remains to the seller as a penalty for unfulfilled obligations on the part of the buyer)

5. The following payments are made in accordance with the agreements between the seller and the buyer, prescribed in the preliminary contract, they may be different. Interest-free installment payments by one year or until termination are standardly possible. There are objects in which a longer installment plan of up to 2,3.5 years is possible. At the discretion of the builder, a long installment plan is not always interest-free. As a rule, individual contractual conditions apply.

6. Within the time period established by the Preliminary contract, the parties to the transaction, in person or through a proxy confirming their right to a notarized power of attorney, enter into a Property Agreement in the form of a Notarial Act. By the time this document is signed, all final settlements between the parties to the agreement should be carried out.

7. At the request of the parties, a preliminary contract may not be concluded, as a rule, this happens in cases where the buyer is ready to pay the full cost of the property and immediately go through the process of registering real estate property. In this case, the reservation amount is paid, the object is withdrawn from sale, the process of preparing documents for the transaction begins. By the time of signing the notarial deed, all final settlements between the parties under the contract should be carried out.

A notarial deed of transfer of ownership is signed by a notary.

The seller must prepare all relevant documents required for a notarial transaction.

Necessary documents for a notarial transaction by the seller:

1. Land ownership document (notarial deed).
2. Building permit.
3. Plan / kitty / issued by the Cadastre and Surveying Service.
4. Real estate tax assessment issued by the municipality.
5. A certificate of absence of burdens and prohibitions on property, the right to the right to use the object by third parties, open business affairs, etc.
6. Certificate of commissioning (If construction is fully completed)

Necessary documents on the part of the buyer with personal presence on the transaction:

1. Passport
          Declaration of citizenship and civil status in accordance with Art. 25, clause 8 from ZNND, declaration of origin of funds in accordance with art.66 clause 2 from ZMIP, Declaration on measures to combat money laundering in accordance with art.42 clause 2 from ZMIP - Declarations are signed on the spot at the notary.

Necessary documents on the part of the buyer for the transaction through a trustee:

1. The power of attorney signed at the Bulgarian Consulate or the power of attorney certified by a notary at the place of residence. A proxy can be (a relative or acquaintance, an independent lawyer, a lawyer of the LiderBG company, the manager of the LiderBG company)
2. Declaration of citizenship and civil status, art.25, par.8, from the ZNND, signed at the Bulgarian Consulate or certified by a notary at the place of residence.
3. Declaration on the occurrence of cash Art.66, par.2 from ZMIP, signed at the Bulgarian consulate or certified by a notary at the place of residence.
4. Declaration on measures against money laundering, art. 42, par. 2 from ZMIP, signed at the Bulgarian consulate or certified by a notary at the place of residence.

All of these documents are prepared by a lawyer of the LiderBG company. The buyer certifies them at the Bulgarian Consulate or at a notary public at the place of residence and sends them by mail to Bulgaria. For the Bulgarian Consulate, documents are prepared in Bulgarian. In the absence of the Bulgarian Consulate, documents are prepared for signing by the buyer at the notary's place of residence in the corresponding official language, into which a license translation into the Bulgarian language is subsequently made in Bulgaria. The LiderBG company provides translation services. Important! Signing documents at a notary at the place of residence means paying for the translation of the text of the documents from the Bulgarian language into the corresponding official language and the reverse licensed translation into Bulgarian.

After the buyer and seller have signed the act of purchase and sale, the notary certifies it with his signature and provides it to the district loan. The judge makes changes to the state register, the mark is also made in the notarial act itself. Registration in the state register takes from 3 to 5, in connection with this procedure, the buyer receives a notarial deed not immediately after signing it with a notary, but after its registration in the state register.

The procedure for buying a SECONDARY real estate in Bulgaria (apartments, apartments, houses, commercial real estate).

1. The choice of real estate.

2. After selecting a purchase object, to withdraw it from sale, a reservation amount (reservation) of 2000 euros is paid - this amount is included in the price of the object. The amount of the reservation is paid to the bank account of the company "LeaderBG", on the basis of an agreement on the reservation of the property. The reservation agreement indicates the contact information of the LeaderBG company as a transaction agent, description and value of the object, amount of the reservation, terms of transfer of ownership by a notarial deed. The object of purchase is withdrawn from sale and the price is fixed. The process of preparing documents for the transaction begins. The time period for preparing documents for the secondary sale depends on several factors, for example: if the Seller lives in Bulgaria, the collection of documents takes 3 to 7 days, if the Seller lives in another country outside Bulgaria, the collection of documents takes 7 days to 2 months. ,

3. At the request of the parties or if necessary, the parties may conclude a preliminary contract. The pre-sale contract for the sale of sales describes in detail the main conditions and parameters of the transaction: the location and full description of the object, price, forms and terms of payment, rights and obligations of the seller and buyer, penalties on both sides for fulfillment of obligations, and various additional conditions by agreement.

At the request of the parties, a preliminary contract may not be concluded, as a rule this happens in cases when the buyer is ready to pay the full cost of the property and immediately go through the process of registering the real estate property. In this case, the reservation amount is paid (the reservation amount and to whom it is paid is described in clause 2), the object is withdrawn from sale, the process of preparing documents for the transaction begins. The seller must prepare all relevant documents required for a notarial transaction.

A notarial deed of transfer of ownership is signed by a notary. The buyer transfers the remaining amount of the cost of the apartment to the seller’s bank account immediately after signing the notarial deed before the notary, before registering the transaction and writing the Notarial deed into the property register of the Agency for inscriptions. After receiving the final amount of the transaction, the seller confirms this fact to a notary. After the seller’s confirmation of receipt of the full amount, the notary completes the necessary steps to register the transaction and enter the Notarial deed into the property register of the Entry Agency.

Necessary documents for a notarial transaction by the seller:

1. Property document (Notarial deed)
2. Plan / kitty / issued by the Cadastre and Surveying Service
3. The tax assessment of real estate issued by the municipality, a certificate is issued only in the absence of tax debts.
4. A certificate of absence of burdens and prohibitions on property, the right to the right to use the object by third parties, open business affairs, etc.
5. Declaration of citizenship and civil status, Article 25, paragraph 8 of the ZNND
6. Declaration on the absence of debts to the Republic of Bulgaria.264.par.1 from the DPK (unpaid, subject to compulsory collection of debts on taxes, fees and social insurance contributions)
7. Declaration on measures against money laundering, art. 42, par. 2 from ZMIP

Necessary documents on the part of the buyer with personal presence on the transaction:

1. Passport
          Declaration of marital status st.25 par.8 from ZNND, declaration of cash flow st.66 par.2 from ZMIP , declaration of measures against money laundering st.42 par.2 from ZMIP - Declarations are signed at the notary's place.

Necessary documents on the part of the buyer for the transaction through a trustee:

1. The power of attorney signed at the Bulgarian Consulate or the power of attorney certified by a notary at the place of residence. A proxy can be (a relative or acquaintance, an independent lawyer, a lawyer of the LiderBG company, the manager of the LiderBG company)
2. Declaration of marital status, art.25, par.8 from ZNND, signed at the Bulgarian Consulate or certified by a notary public at the place of residence.
3. Declaration on the occurrence of cash Art.66, par.2 from ZMIP, signed at the Bulgarian consulate or certified by a notary at the place of residence.
4. Declaration on measures against money laundering, art. 42, par. 2 from ZMIP, signed at the Bulgarian consulate or certified by a notary at the place of residence.

All of these documents are prepared by a lawyer of the LiderBG company. The buyer certifies them at the Bulgarian Consulate or at a notary public at the place of residence and sends them by mail to Bulgaria. For the Bulgarian Consulate, documents are prepared in Bulgarian. In the absence of the Bulgarian Consulate, documents are prepared for signing by the buyer at the notary's place of residence in the corresponding official language, into which a license translation into the Bulgarian language is subsequently made in Bulgaria. The LiderBG company provides translation services. Important! Signing documents at a notary at the place of residence means paying for the translation of the text of the documents from the Bulgarian language into the corresponding official language and the reverse licensed translation into Bulgarian.

After the buyer and seller have signed the act of purchase and sale, the notary certifies it with his signature and provides it to the district loan. The judge makes changes to the state register, the mark is also made in the notarial act itself. Registration in the state register takes from 3 to 5, in connection with this procedure, the buyer receives a notarial deed not immediately after signing it with a notary, but after its registration in the state register.

Taxes for re-registration of real estate in Bulgaria.

All taxes due for re-registration of real estate in Bulgaria are paid at the notary on the day of signing the notarial deed, in cash and in Bulgarian currency.

Taxes for re-registration of real estate in Bulgaria include:
State duty - 0.1%
Local tax (depending on location 2.5 - 3.5%)
The fee of a lawyer (writing a notarial deed, registration with the Bulstat Register, Cadastral and Tax Service) - 700 BGN
The declaration in the service of electric distribution, water supply and sewerage - 200 BGN, of which 100 BGN remains on the account of the owner in the water supply service as a deposit.
Translation services - 100 BGN
Notary fee - (certified copy - 12 BGN, fixed fee +% of the amount over the certified material interest, they are different, see the table how to calculate) + 20% VAT of the resulting amount or multiply by 1.2

IMPORTANT!!! The total amount for the conversion of property into ownership is calculated from the value of the property or tax assessment. A large amount is taken as the basis for calculating the rate. What does it mean?

    When buying a first-hand property (new building), the tax assessment in many cases is lower than the real value, approximately 30-40%. In this case, the renewal fee will depend on the amount of the purchase, which will be indicated in the notarial deed.
    When buying a secondary property, the tax assessment is not always, but in some cases exceeds the real value, in this case, the renewal fee will depend on the tax assessment. The calculation is always based on the largest of these sums. This item must be taken into account by those who are considering buying hot offers at low prices.

After receipt of the notarial deed, registration is carried out: in the Bulstat register - within 7 days after receipt of the notarial deed, in the Tax Service - within 2 months after receipt of the Bulstat, cadastre and surveying services - there is no time limit. Then a declaration is submitted to EVN - the electricity distribution service and ViK - the water supply and sewage service. Registration in these services is included in the fees section, as a fee for a lawyer who on your behalf will carry out the entire registration procedure for these services.