Britons living in Bulgaria. Guide to Bulgaria, Sofia and Varna

VAGABOND - the first and only monthly magazine in English
If you are a foreigner living in Bulgaria or you are just interested in what ... Both Russians and Britons do have something in common when it comes to ...

A PR campaign of pseudo-news reports advertised the fact that Bulgarian law allows foreigners who invest $250,000 to automatically obtain permanent residency, making them eligible to later apply for Bulgarian – and EU – citizenship. A Russian real estate invasion?Last year, real estate agents proclaimed Russians “the new Brits of the Bulgarian property market”. A stone luxury villa complex in picturesque hills with a panoramic view of Zakynthos. After they bought up large chunks of London and the best properties in various European resorts, ads like this started appearing alongside the wisecracks: “Ideal opportunity on one of the only Greek islands welcoming Russian investments. Among real estate agents, the “new Russians” have a reputation for arrogance. And indeed, Russians were the second most active buyers after the English. As a result, there are whole villages as far as 10 to 40 km inland from the Black Sea inhabited mainly by retired UK citizens. Both Russians and Britons do have something in common when it comes to their shopping style: more than 50 percent invest with no clear idea of what they will do with the property in the future. But Bulgarian real estate agents have not given up their campaign to turn the Black Sea coast into the Russian Riviera West. But such a comparison may be misleading, as there are rather striking differences between them. Compared to Moscow prices of 5,000 – 8,000 euros per sq m, the modest rate of 1,500 – 2,000 euros in Bulgarian resorts seems laughable. Despite centuries of political and cultural relations with Russia, Bulgarians find their new neighbours from both countries equally exotic and greet them with hospitality as well as curiosity. Despite their reputation, Russians need only say they are going to the UK to buy real estate and they immediately get a visa – even now, when the UK is tightening its visa regime, wary of mass immigration. Everywhere they go they expect the perfect property shopping party. For a variety of reasons, the Bulgarian property market attracted mainly the first type. His demands are relatively simple: seaside property must be “first line,” right next to the beach. However, it is still too early to say whether Russians really will become the new leaders on the property market because Bulgaria is facing strong competition for Russian roubles. If he's looking for a winter vacation spot, it should be next to a ski run. If things go their way, in a few years Varnagrad and Moscow-on-the-Maritsa might not be laughing matters. In 2004 Russia's political relations with Bulgaria started to warm after a frosty period. In 2007, 15 percent of all Russians purchasing holiday homes did so in Montenegro, while only seven percent bought in Bulgaria. In both cases, Russians buy primarily in the most popular and flashy locales and do not quibble for long about the cost. In the middle of 2006, however, Russian investors with a keen eye for new and developing markets started to buy up properties in Bulgarian summer and ski resorts, unloading capital as if the Bolsheviks were in hot pursuit. It also shows that Russians are not very welcome neighbours. Little wonder, then, that the Bulgarian PR blitz fell flat; from 2004 to 2006 Russian buyers were not active players on the Bulgarian property market. Look for a 40-something family man nostalgic for the Bulgarian resorts of his Soviet childhood. Over the last two years Britons have been purchasing more rural properties and relocating to Bulgarian villages year round to save money, since living costs are far lower than in Britain. Russians prefer the northern Black Sea coast, thanks to sentimental memories of “the good old days”. Russians, however, buy apartments in holiday complexes strictly for personal use. Russians, on the other hand, go to Bulgaria to spend money and hence buy holiday homes in upscale resorts. That same year, like their great-grandfathers who more than a century earlier entreated the Russians to march into Bulgaria to chase out the Ottomans, a number of Bulgarian real estate companies attempted to provoke a Russian property invasion. The first purchases expensive, fully furnished properties in luxurious resorts for prestige, rather than hefty returns. The goal was to entice Russians into buying property in Bulgaria with the vague promise of easier access to Europe – not such a big incentive at a time when European nations were lining up to give rich Russians visas. The second type is a true entrepreneur on the prowl for high-potential new markets. The truth is, however, that they are not any more difficult or demanding than the nouveaux riche of any nationality – which still doesn't mean they are easy customers. The UK rush on Bulgarian property has slowed during the last few months. These buyers invest huge sums not only in real estate, but in any sector of economy that promises astronomical pay-offs. They invest in Bulgaria simply because they've heard it was fashionable and profitable. Wealthy Russians demand the best hotels, casinos, restaurants and entertainment, and it is up to the overworked brokers to provide them. When Britons purchase such properties, they do so primarily to sell them later for profit. While he may not be filthy rich by Russian standards, he can still afford to drop 500,000 euros without thinking twice. Yes, the Russian buying style can be hard to keep up with.