0
Hello,
Favourite properties (0)
Saved searches
Selected for you
Notifications
Subscriptions
Settings
Sign out
Close

Sofia housing market at the end of another strong year

2024-12-05   |  Polina Stoykova MRICS, Managing Director and Head of Research of BULGARIAN PROPERTIES


Sofia's housing market ends 2024 with impressive results, consolidating its position as the leading property market in Bulgaria. There has been a steady increase in prices since the beginning of the year, but the main impetus came in the second half of 2024.

Polina Stoykova MRICS, Managing Director and Head of Research of BULGARIAN PROPERTIES, explains that this growth is largely due to the imbalance between supply and demand, as well as increased interest in buying homes in the context of low mortgage rates.

"New offers on the market are down 10% year-on-year, which is also a continuation of a similar decline in 2023. This is limiting opportunities for buyers, particularly on the resale market where supply is extremely tight," she adds.


Bank lending, which is a major contributor to price growth, has increased 36% year-on-year. By the end of September, the country's banks had granted new loans equivalent to the entire 2023 volume. And lending rates remained unchanged at a historic low of 2.52% on average in the third quarter.


Average prices and price growth in Sofia

According to BULGARIAN PROPERTIES, the average price of homes purchased in Q3 2024 in Sofia was EUR 1,840/sqm, compared to EUR 1,550/sqm at the end of last year. Thus, annual price growth in the Bulgarian capital accelerates nominally to 18.7% (16.3% net of inflation) after a slowdown at the end of 2023.


The average total price of apartments purchased rises to €159,500 from around €140,000 at the end of last year.

For completed homes on the secondary market, the prices at which deals are concluded range between EUR 2,300-2,500/sqm. In the most prestigious areas of Sofia, the values are approaching 4,000 euro/sq.m., which represents a kind of psychological limit for making deals at the moment.




Sales volume

BULGARIAN PROPERTIES' calculations based on the data of the Registry Agency show that property transactions in Sofia grew by nearly 13% in the first nine months of the year. For the first nine months of the year 24,818 transactions were registered in Sofia.


Overall, the property market will end 2024 with a similar number of transactions as in 2023. By this indicator, Sofia is growing significantly against the backdrop of holding levels for the country overall.

Sofia housing affordability

BULGARIAN PROPERTIES' affordability ratio value as of the third quarter is 1.16, which slightly deteriorates due to accelerated price growth and a slowdown and even a slight decline in the average salary. However, the indicator remains at good levels.


The average salary in Sofia for the period was BGN 3,100 and so it takes slightly more than 1 average monthly wage to buy 1 sqm of living space in Sofia. For comparison, in 2008 (at the previous peak of the market) it took 3.4 salaries for the same area.

Preferred neighbourhoods and their property prices

The highest number of sales was registered in Banishora (1,968 EUR/sqm), Malinova Dolina (1,420 EUR/sqm) and Krastova Vada (2,000 EUR/sqm). These are also the areas with the most new construction sites, which are currently driving the market and have been strongly preferred by buyers for 10 years now.

The trend of insufficient supply on the secondary market has continued this year, although the conditions for selling a property are excellent.

New construction is also failing to make up for the shortfall, and figures for issued new building permits show that there has been a drop of 20% for buildings and 30% for dwellings in them compared to last year. This means that the new buildings which are about to come on the market will not be able to help boost supply either.

Parameters of purchased homes

The share of 1-bedroom apartments is 60% and 2-bedroom apartments - 35%. 3-bedroom apartments account for less than 5% of the total transaction volume. This is according to the data of BULGARIAN PROPERTIES on the concluded transactions.


Buyers are moving towards more compact homes, with two-bedrooms remaining the most preferred due to their more affordable total prices.

View our offers in Sofia





Share
Hot properties in Bansko - the best offers are here for you! ⛰️
Buy your own property in the top ski resort in Bulgaria! An all-year-round resort suitable for winter and summer tourism with the best prices in Europe! Holidays in your own property without the need for hotel reservations!
See More
Looking for a Renovation Project in Bulgaria? 👇
You’ve just found the right place! BULGARIAN PROPERTIES offers a wide selection of affordable rural homes and renovation-ready properties across the country.

Whether you’re dreaming of a peaceful countryside escape or a charming village house to restore, we have great-value options — many under £10,000. Our team will guide you through the entire buying process and support you even after the deal is done.

Start your new chapter in Bulgaria with confidence and local expertise by your side!
See More

More News

latest news
A Place in The Sun: Essential guide to Bulgaria

Bulgaria has long appealed to British buyers more than other Eastern European destinations.

A mix of affordable beach, ski and village life, it offers a bit of everything and regularly features in A Place in the Sun’s Top 10 Best Places to Buy Abroad rankings.

In this year’s list, Bulgaria comes in at number nine - above Dubai - with the average property...

10 September, 2025
Company news
BULGARIAN PROPERTIES Agents of September 2025 🏆

August was anything but a slow holiday month for the real estate market in Bulgaria!

✔ Deals were closed at full speed – from Bulgaria’s top seaside resorts to the ski resort of Bansko, where buyer interest reached new heights.

✔ The market remained active despite the summer breaks, and the impact of Bulgaria’s upcoming Eurozone entry is already starting...

02 September, 2025
Company news
BULGARIAN PROPERTIES Agents of August 2025 🏆

Check out who are your trusted partners in a key moment for the Bulgarian real estate market!

July was a historic month – Bulgaria is officially joining the Eurozone on January 1st, 2026.
Amidst this major development, the property market across the country remained highly active – and the results speak for themselves!

We are proud to present our Agents of the ...

04 August, 2025
latest news
Bulgaria Joins the Eurozone on 1 January 2026

In a historic and long-anticipated move, the Council of the European Union has given its final approval for Bulgaria to adopt the euro as its official currency. As of 1 January 2026, Bulgaria will become the 21st member of the euro area, marking a significant step forward in the country’s European integration.

This milestone is not just symbolic — it represents a major economic achi...

09 July, 2025

REQUEST DETAILS