Buy a house (with land) for living

[iwico]

Hi

I am new here and never buy a property in UK or abroad before.

I am thinking to buy a house with large land (free hold) for living in. I like a big house with large land but cannot afford in UK or other countries, Bulgarian looks like price very low.

1. I heared Bulgarian do not allow people from abroad own the land, only a limited company can do. How does this work? How much cost to register a company? Do I must pass a agent? How much to run a company? Could I setup a company by myself or I have to find another one to setup a limited company.

2. If I buy a property from a private landlord without a company, who will own the land after I bought.

3. If in countryside, are there good supply of electricity, water, telephone, internet access? Water is clear? What about toilet system? Is it like the village condition in "Borat" film?

4. What about service charge from local council?

5. Someone here, already bought a simily property and live there? we can talk more.

6. What about weather condition there? Winter very cold? Which area are good? I like area's weather like London.

Thanks everone.

 

[thetravelbug]

Ok will try to answer your questions but feel free to PM me or email me for better chat.

1. I heared Bulgarian do not allow people from abroad own the land, only a limited company can do.

Yes this is true at the moment until they eventually abolish this rule


How does this work?

very easy to set up, usually done by lawyer or sometimes agent selling you house. Involves choosing company name, checking its available, registering it, placing 5000 levs (about 2500 E) in company bank account, making court application to set up company and getting tax ID for company. You simply need to give lawyer power of attorney to set up company, pay company capital, choose name etc and leave him/her to do the rest.

How much cost to register a company?

Usually around 500 to 650 Euros

Do I must pass a agent?

Sorry do not understand - for company you mean?

How much to run a company?

Once set up and if only to buy your property and not actively trading etc, then no real costs except accountancy fees each year for filing tax return.

Could I setup a company by myself or I have to find another one to setup a limited company.

Can do it yourself if you can speak and write Bulgarian and are in the country but expect this is not possible for you so you will need someone to do all legal aspects on your behalf and register company.

2. If I buy a property from a private landlord without a company, who will own the land after I bought.

You cannot buy a property without a company, only an apartment. You cannot buy a house without buying the land it sits on and usually the garden. Would be very silly to do so.

3. If in countryside, are there good supply of electricity, water, telephone, internet access? Water is clear? What about toilet system? Is it like the village condition in "Borat" film?

Obviously there are more rural places than others but generally villages all have electric, mains water, telephone not a problem, internet access depends on where you are and what providers are available but I connect anywhere in Bulgaria through mobile data card. Water lovely to drink in most villages and many have natural springs. Usually rural houses have septic tank. Most villages very civilised. Maybe you should visit and see!

4. What about service charge from local council?

Depends on area, your house value, and can change a little each year. But not much - maybe 50 levs a year max plus your rubbish collection tax - similar amount.

5. Someone here, already bought a simily property and live there? we can talk more.

Yes I have lived here for 15 months. I have built a new house on site of old one. I have large garden. Also own 11 further rural houses with large plots. Please see my website for houses I have bought here.

6. What about weather condition there? Winter very cold? Which area are good? I like area's weather like London.

Again depends exactly where you are in Bulgaria but generally weather colder than UK with snow and frosts. Summers much warmer. Further south in Bulgaria tends to be less cold in winter, less snow etc. But can depend on where you are in relation to mountains. I live in between two mountain ranges and fairly sheltered. Cold in winter but bearable and hot summers.

You really need to come here and travel around and see the country. You will then understand much more.

Rachel

 

[Jain and Chris]

Afternoon Rachel, as good a reply as I have ever seen, thanks

 

[iwico]

Thanks thetravelbug

More questions:

1. Ususally setup a limited company need at least 2 persons (director and secretary). My question is in Bulgarian setup a limited company need 2 persons or 1 person (me) is enough?

2. You said there is no activety cost after setup a company. but how much cost for hire a accountant evry year to sort out the tax account? Or I can do it by my self?

3. In Winter, what is lowest degree there is? How do you warm up? electricity or gas or other means?

4. What about hospital and medical care in there, there is NHS? If yes, is it good?

5. Transport, if in village do I must need a car?

6. About how much for a house with large land in there?

7. Do I must pass a agent to buy a property? I saw lots of private sell online, could I directly deal with them or pass a agents? Are there some fruad there? If yes, how do I find out?

Regards

 

[Lysos]

For all your eminently sensible advice, Rachel, I think it's a bit premature. iwico has obviously done no research whatsoever about Bulgaria and needs to get over there, travel around and get a feel for life there before he even thinks about buying property. Just because he/she thinks Bulgaria is affordable does not justify moving there.

 

[iwico]

Hi Thanks for all answers.

I agree I should go there, and I may do, but if I do not like the conditions written on paper or website, it is no point to see there.

More question: this time is a simple one:

Why all people go to Bulgarian to buy property? As I know Romania also join EU, what is different between these two countries' property market? Is in Romania more difficult to buy properties? or more expensive? or no property there? or bad people there?

Regards

 

[thetravelbug]

personal preference

I guess much is personal preference which is again why you cannot make a decision about a country without viewing - facts and figures on paper and websites do not tell the whole story.

I do not know anyone that has bought in Romania. But I drove through it and hated the place. And most people I speak to have said the same. Very depressing and poor areas, lot of power stations. I saw no appeal to the country at all but then I have not visited the coast there.

Seem to recall property more expensive in general in places in Romania but really know nothing about it.

On the other hand for all its frustrations and problems, Bulgaria is a fantastic place to live - great weather most of the time, lovely friendly people on the whole, fantastic fresh food, amazing scenery and good value property.

Many people buy in Bulgaria because on the whole it is cheap but also for the life style the country offers.

But as others have said, while I appreciate you are doing your research now and this is a great idea, you cannot get a proper feel for a country until you spend time here.

Rachel

 

[iwico]

Hi

Thanks for the answers.

Some people offer to register a company in Bulgaria for £299 on Ebay. Do you think is it good or there are some trick.

They said I can set in London to setup the company, Where is my address in Bulgaria?

Regards

 

[thetravelbug]

possible

It is possible to set up the company from the UK but you will need to give power of attorney to someone in Bulgaria, usually a lawyer to do everything on your behalf. If giving power of attorney from UK, you will need to have it notarised and apostiled at embassy in London and then sent back. And also all other declarations required. It can be quite a long procedure as can take a while to make and get an appointment at the embassy. And with posting documents back and forwards.

I do not know about the people advertising on eBay to set up companies but would just say becareful. I know a few that have bought houses off eBay and had nothing but trouble. 299 pounds is around 400 Euros so possible for all court fees if it is an agent doing it themselves and not a lawyer.

But again stress there is absolutely no point in setting up a company until you have been here to Bulgaria and decided whether you like it and want to buy. Then set up your company while you are here as much easier.

Rachel

 

[iwico]

Hi Thanks for the answers

1. I heared in Summer, Bulgaria can get 35-40 degree, it is very hot isn't it? Are there many mosquitos in summer?

2. I found many property in village have only a outdoor toilet, why don't they make indoor one? If outdoor toilet, where the dirt-things going? Everyweek or month people come clean it or I have to do it by myself?

Regards

 

[Jain and Chris]

Afternoon Iwico

Well, yes it is hot in summer - but one of the joys of Bulgaria is that you get four proper seasons. Not too many mossies, I was bitten more in France than I ever have been here.

Outside loos - well, you're right, there are plenty of them in the countryside. No probbies really, just put one inside (you'll find you can connect to local drains or instal a septic tank - reminds me of France 30 years ago!!!). They usually function fine anyway with no smells. They are rather like the self composting toilet which is so fashionable these days but it's not recommended to put toilet roll down it (put a bin with bag in the loo and shove the loo roll in there). Personally I would recommend putting in an inside toilet. Actually we have a young (27 year old) Bulgarian employee who thinks it is correct to have an outdoor toilet - not only is it better not to have something like that in the house but it is also more ecologically correct.

 

[flatron]

if you buy directly from owners-no pay commission...

 

[runchev]

if you buy directly from owners-no pay commission...

Most of the agents do not charge you any commission.

My advice is not to go directly to the owner, because you might lose your money and get nothing...as you have never been in Bulgaria.

 

[thetravelbug]

commission

Of course us agents charge commission - we do not work for free!
Sometimes commission is included in the sales price as a mark up, sometimes added on top as a % of price, sometimes taken half from buyer, half from seller etc but there is always commission or we would never make any money!

Most choose to use an agent as incredibly hard as a non-Bulgarian speaker to buy property without an agent. A good agent also drives the client around, shows them the area, books hotels, car hire etc...and does alot more than simply sell the clients a house including all after sales stuff like registering house ownership change, electric and water accounts etc.

 

[Salt Lake]

Setting up a company in Bulgaria should be about 400-500 Euro but Rachel is right: you really have to go to Bulgaria, visit different places, get your own impressions, discuss with other people who have bought in Bulgaria and eventually then to establish a company. Another detail when starting a company in Bulgaria is that except these fees (400-500 Euro) you will have to open an account on the name of the company in any Bulgarian bank and make a deposit in it of at least 5000 levs (about 2000 pounds). This is the capital of the company but once the procedure of establishing the company is over (usually it takes 2-3 weeks) you can draw the money back from your account.

 

[thetravelbug]

Please note that with new system in Trade Registry company set ups are taking 2 to 3 months minimum, not 2 to 3 weeks as used to be the case.

Rachel

 

[flatron]

you are right...

ESTABLISHING A COMPANY is a comparatively easy procedure. It is performed by lawyers. It can also be done through power warrant of attorney in the name of a foreigner’s physical person to the lawyer. The warrant of attorney shall be certified before a Bulgarian notary. A sensible tax for the whole procedure of establishing a firm, including all expenditures, is € 500-600 . The procedure lasts around 8-10 weeks.

 

[turncoat]

france

seems pretty cheap to me, if you look in the central regions and regions such as the limousin.

Look on sites like prime location... it'll give you a rough idea or a site like property finder international . pagetl . com

although you have to pay like 0.1% of your budget and by the sounds of it you don't know what that is lol.
they might offer to look at lots of countries for a small fee.
I've just used it.
Proper useful

But i'm thinking of moving abroad.

France is where i plan on settling down

check it out