Fewer property deals have been finalised in the Danube cities of Rousse, Vidin and Silistra since the beginning of the year, according to local real estate agencies, as quoted by website investor.bg.
Supply exceeding demand, unfavourable credit terms and overpriced offers are among the factors responsible for the stagnant market, according to agencies.
In Vidin, real estate prices have increased by between 10 and 15 per cent and the average price of residential property is 500 euro a sq m. According to the local agency Erastroi, the most desirable properties are three and four-bedroom apartments sized 80-120 sq m.
Previous reports had indicated that prices in Rousse have seen considerable hikes. However, in Rousse supply is also greater than demand. Prices vary between 900 and 1100 sq m and property vendors are refusing to negotiate offers, according to the local agency Olimpia.
Лайф (Life) real estate agency in Silistra has acknowledged, as quoted by investor.bg, that since the beginning of 2008 not a single apartment or house sale has been finalised. The average price of a property there is 400 euro a sq m.
Agencies have also said that residential property in the Danube region has not triggered the interest of foreigners as in other parts in the country. Some British property owners in the larger cities are now trying to sell, real estate brokers have said.
Despite the close proximity to Romania, no buyers have emerged from Bulgarias northern neighbour. Interest from Romanian clients has been confined to the retail and car trade. Most inquiries about residential property in Vidin and Silistra come from Bulgarians working abroad, the agencies said.
