Bulgaria - advice starting out ?

Conrad

mikeyw wrote:

Guys,

It seems Bulgaria is set to offer good returns over the coming years. Admittedly i'm maybe a year too late but i'm sure there's plenty left for the latecomers.

What's a good starting point for locating reasonably priced coastal new build ?

Is it likely the mortgage costs could be covered by holiday rental ?....I guess there are plenty of sites who will advertise your holiday home for you. I expect a few months occupancy over the summer months would just about do it.

Anyone who's gone down this line i'd love to hear your advice.

Was hoping to buy in the UK but think growth will start to flatten out over the next few years apart from a few select areas....still i've no crystal ball !

TIA,
Mike.

Mikey I started buying property some time ago, and in the last few years have been investing abroad.

My view of Bulgaria is that it is'nt suitable as an investment.
For a start the rental season is at best 3 months but you will find you end up with just a few weeks rent.

Secondly there is mass oversupply of cheap new built property.

Thirdly the state is corrupt, so investor security just is'nt robust enough.

A far better option is a corruption free state such as Estonia or Slovenia both of which enjoy some of the highest capital growth figures on Earth.

Ive also invested in Germany - just as cheap as Bulgaria but has a viable second hand market, far greater long term prospects, little corruption and very safe in terms of build standards.
In an Eastern City you will get 12 months rent.

My other key area is Morocco,

LOOK AT THIS, BULGARIA VS MOROCCO:

1) Morocco is as close as S Spain
2) It has a 12 month season - go for an on golf beach resort, not inland
3) Its attracting a better quality of investro - by miles
4) The Government supervise resorts very closely - planning permissions are rigourous (not like in Bulgaria where its the wild west)
5) Many of the worlds biggest developers are investing here. This is simply not the case in Bulgaria - most of the developmentis by small unknown developers
6) Many developments come with 10 yr build guarantees
7) Resorts include top notch golf courses ON THE BEACH - the same 50 miles away in Spain costs 5 x more
8) Its fashionable - Everyone from Richard Branson, to 240 premiership footballers (inc J Terry, R Ferdinand, The Neville Bros), Jude Law are investing. The Stones and Jimi Hendrix made Morocco chic
9) Resorts include multiple on - site international hotel chains - this gives me confidence. You generally dont see this in sghort season Bulgarian Black sea resorts
10) Huge state of the art marinas are under construction on many resorts

Here's a website http://lejardindefleur.com

I know the develeopers

lynzpower

We know you know the developers, they are not YOU are they? Jesus the amount you tout this area - didnt we find that its a no go area the last time you were bragging about your "superb investment?" edit found the thread http://forums.moneysavingexpert.com/showthread.html?t=210103&page=2

pioneer

We went to Morocco for a day trip from southern spain, great expectation where east meet west etc. Everybody was back on the boat within a couple of hours of landing, women crying etc. I wouldn't have a property there if you gave it to me. I'm not that hungry !!!

lynzpower

why were the women crying pioneer?

losgiganteskid

lynzpower wrote:

why were the women crying pioneer?

Cos that's what they do !!

JoeyG

If you dont mind looking a bit further afield... Goa is a safe bet at the moment

My parents have just invested in a new build there, and the expected returns look very good indeed

pioneer

From the moment we landed, we were pestered, pestered, pestered there were men/youths ready to accost you round every corner even hiding behind the bushes outside the port and they never let up. We knew something was up as the boat approched there were miles & miles of goldern beaches completely empty, NO WONDER no one would dare go on them. To add insult to injury after being ashore for only an hour we decided to go back to the port only find practically all of the people we travelled over with already waiting for the boat back ! A offical covered in id grined a said "back already" your not due back until 18:00, I would have paid double to get the 13:00 boat. Then inside the port another offical said passports please we handed them over, he passed them to someone else who ran off with them, half an hour later no sign of him; well I was Shi**ing myself. When he eventually came back he had copied my detailed onto a form and wanted paying for it. I said if he accompanies me over to a policeman who was standing nearby I would give him the money; looked around gone; he must of been a ghost.

Everyone had their own story; personally I'm glad we got out alive. As for buy a property there, well if you are David Beckham you can afford a Jurrasic Park Type of Fence, it would be your only chance.

Generali

Conrad wrote:

A far better option is a corruption free state such as Estonia or Slovenia both of which enjoy some of the highest capital growth figures on Earth.

Estonia yes, Slovenia no:

Slovenia Growth Rate - 5.6%
Estonia - 11.6%

China - 10.4%
India - 9.2%

I take your point about not investing in Bulgaria though. Wouldn't touch it with a bargepole. Edit: Nor Morocco. If you want to chuck your money away, give it to me!

mystic_trev

I'm building an apartment block in Nigeria and can guarantee you rental yields of 20% PA - Please send me a cheque for £20,000 to secure your place for this once in a lifetime "Investment" oppourtunity !!!!!!!!!!!!

Guy_Montag

I reckon coastal properties in Abkhazia would be an excellent investment, as soon as the brewing war between Russia & Georgia has dealt with sovereignty issues, prices will rocket.