Despite the slowing of interest in the Bulgarian real estate market from British clients in the past year, the market has fared better compared with similar near-by markets. Tourism has steadily grown in the country at a rate of around 6.5% per annum, appealing to larger variations of the mass market in recent years.
Bulgaria was in fact, one of the few regions that experienced positive growth in 2008, slowing down only in the final quarter. The country is only beginning to realize its full potential for tourism and real estate growth, enabling more extensive attractions than simply skiing and beaches.
Russian investors are currently looking very favourably towards Bulgaria as the ideal location for Casino tourism. Having long been a favoured holiday destination for wealthy Russians, the Bulgarian market could be set for massive expansion. Already attracting many Turkish and Greek visitors, the Bulgarian casinos in popular touristic regions are planning huge expansion projects, as a bid to capture the Russian market.The July 1 2009 banning of gambling in Russia, except for within specially allocated zones, lead to huge outcries from the sector and key players. With no facilities or infrastructure in place in the specially designated zones of Siberia, Kaliningrad and other remote areas, the industry is looking towards Bulgaria as a preferable relocation option.
As the real estate sector in Bulgaria is considered to have reached the lowest point of its slump, stability and future growth are on the horizon. Plans for the introduction of mega-casinos converting Bulgaria into a Las Vegas for Russian clientele, is assured to see a huge re-growth of interest and demand, as property prices in touristic regions increase.
Relocation to Bulgaria of Russia’s key industry players will see the creation of thousands of jobs, along with a potential US $200 million of annual tax revenue. After the Bulgarian property market saw the worst of its slump in January and February of 2009, the market appears to be growing as the interest picks up.The slowdown of the market has been mainly caused by investors attempting to cash-in on their investments, as often finances were required to overcome economic situations in home countries. Speculators holding back from the market as the demand to sell increased, caused an immediate halting in the sector.
As the world’s economy begins to improve, buyers have started to make the most of the incredible bargains that can be found in sought after markets. In comparison to surrounding regions, Bulgaria received only a slight dent. With the introduction of mass Russian investment on the horizon, the future for property investors to the Bulgarian market is expected to be lucrative.