Article published on: 2008-01-30

Bulgarian residential prices rose close to 30% in 2007, data of the national statistical authority (NSI) showed on Wednesday, confirming the announcements made over the last couple of days by local real estate agencies.

The average housing price was 1,090 levs/sq m in 2007, up from 840 levs/sq m in 2006.

The NSI data falls short of the 737 euro/sq m (1,440 levs/sq m) reported recently by Address, one of the major real estate agencies.

Sofia had the most expensive residential market in 2007 with an average price of just over 1,800 levs/sq m, said the NSI. It is followed by Varna with 1,763 levs/sq m.

The Address data has the two cities in reverse positions.

In addition to Sofia and Varna, the other cities where residential prices were in excess of 1,000 levs/sq m were Burgas, Blagoevgrad, Pleven, Plovdiv, Ruse and Stara Zagora. Almost all of these markets had ended 2006 below the 1,000 mark.

The NSI data includes properties transacted in the cities themselves as well as in the greater area. That explains the price gains in regions with a robust tourist industry like Blagoevgrad.

The biggest rate of appreciation last year was recorded by homes in Ruse, Pernik and Targovishte.

In Q4 2007 alone, housing prices rose by almost 9% nationwide. A solid increase of nearly 10% was recorded in several cities, including Sofia, Smolian, Gabrovo and Varna.(Dnevnik)