The following details are for RESIDENTIAL property only.If the property is still under construction no funds are available until completion and the property has been legally registered in your name. Lenders will not advance funds to purchase or renovate properties that are currently uninhabitable and it is advisable to arrange your mortgage finance before agreeing to purchase a property.
Mortgages are available on a repayment basis only. The minimum amount you can borrow is 25,000 euros and there is no maximum, but the loan must not exceed 70% of the valuation of purchase price (whichever is the lower).
Proof of Income which can be made up from earned income, pension, investment or rental income is required in all cases Earned Income, Pension, Investment or Rental Income. If employed, copies of your last three months payslips and copies of your latest P60/Employers Reference together with copies of your last three months Personal Bank Statements will be required. If you are self-employed you will need copies of your last three years Audited Accounts and copies of your last three months Business and Personal Bank Statements. Non-Status loans are currently not available. The term is for a maximum of 15 years up to the age of 70 at an interest rate of approximately 7.50%.
For example: a Repayment Mortgage of 70,000 euros over a period of 15 years at an interest rate of 7.50% in Euros = approx 661.50 euros capital and interest per month = a total approx amount payable over term of 121,870 euros including capital, interest, arrangement and survey fees.
When purchasing a property in Bulgaria is is vital that you have full title to the property on completion and that the appropriate documents are available for the lender. Finance will be granted only for completed apartments where the State Acceptance Commission has issued a valid Use Permission Certificate .
The completion of a Bulgarian mortgage takes place in front of a Notary and representatives of the parties concerned. If you are going to be present at completion to sign all the relevant documents and you do not understand Bulgarian, a translator will be required to respond to the Notary and to sign the deed.
