Buying Property in Bulgaria: Step‑by‑Step with Notary, Cadastre, Taxes & Hidden Costs

In Bulgaria, you (1) pre‑check the title and cadastre, (2) sign a Preliminary Contract with a deposit, (3) close at a local notary who registers the deed in the Property Register, and (4) file the municipal declaration and budget for transfer tax, notary & registry fees, and a few “hidden” extras like translations and HOA dues. See the cost estimator and checklists below. The Property Register and Cadastre are different systems you’ll consult at various moments.

Who can buy—and what?

• EU/EEA/Swiss citizens and entities can acquire land and buildings directly. Non-EU buyers can freely purchase apartments/buildings and limited fundamental rights (e.g., right of use), but land ownership may require a local company or an applicable treaty; the constitutional baseline is outlined in Article 22. Always check for additional sectoral rules (e.g., agricultural land).
• Property types & rights: Besides full ownership, Bulgarian law often features limited fundamental rights such as право на строеж (right to build) and право на ползване (right of use). These rights are recorded and can materially affect what you’re buying (e.g., a seller may have reserved a life‑long right of use). Bulgaria Property Law

Tip: If you are buying a house with land and are a non-EU national, seek early legal advice on the structure (direct purchase vs. local SPV).

Who is who: Notary vs Property Register vs Cadastre

• Notary (Нотариус): The sale closes in front of a territorially competent notary (generally in the district of the property). The notary drafts/reads the notarial deed, verifies identities/capacity, ensures statutory pre‑conditions are met, and files the deed for entry the same day.
• Property Register (Имотен регистър): Public registry of deeds/encumbrances maintained by the Registry Agency. You obtain Certificates of Encumbrances, and the notary files the deed here.
• Cadastre / AGCC (АГКК): The cadastre is the map/identifier layer (boundaries, property identifiers). For land you’ll need a sketch (скица); for a unit (apartment, garage) a scheme (схема).

In short: The cadastre defines what & where the property is; the Property Register records who owns it and what burdens exist.

The process is in 10 steps

1 – Budget & finance

• Decide cash vs mortgage. Mortgages are perfected by registering a mortgage (contractual/statutory) in the Property Register. Registry Agency

2 – Assemble your team

• Ideally, a buyer’s lawyer (due diligence, contract drafting), and a broker if you wish. Agency commissions are market-driven, typically ranging from 2% to 5% (negotiable).

3 – Early due diligence (before any deposit)

• Encumbrances: Order a Certificate of Encumbrances for the property (and sometimes by owner name) from the Property Register or via the EPZEU portal.
• Cadastre: Pull a sketch/scheme and confirm boundaries, area, identifier, and that the deed’s description matches cadastre data. Cadastre
• Building status (new build): ask for the Act 14/15/16 status (see section below).

4 – Preliminary Contract (Предварителен договор) & Deposit

• Commonly used; it sets price, deadlines, conditions, and penalties. It is recognized by Art. 19 of the Obligations and Contracts Act; typical deposits are treated as earnest money (задатък) under Art. 93. If the seller defaults, you may claim double the deposit; if the buyer defaults, the seller keeps it.

Protect yourself: Make the deposit conditional (e.g., “subject to clean encumbrances certificate, matching cadastre, issuance of tax valuation certificate, mortgage approval where relevant”).

5 – Seller’s document pack (core items)

• Tax valuation certificate (удостоверение за данъчна оценка)—commonly required; many municipalities treat those issued before 30 June as valid until 30 June and those after 1 July as valid to 31 Dec.
• Latest certificate of encumbrances; cadastre sketch/scheme; IDs, marital status/consent where applicable; proof of paid local taxes/garbage fee for the current year.

6 – Buyer’s readiness

• Arrange payments (bank, escrow, or notary/client account if used). Escrow via a bank or agreed third party is increasingly used to release funds after the deed is registered & a clean encumbrances check is produced.
• If you don’t speak Bulgarian, the notary must appoint a sworn interpreter so you fully understand the deed. Budget for this. Ministry of Foreign Affairs, Bulgaria

7 – The notary day (closing)

• You attend the local notary with IDs (or via a power of attorney), the deed is read out, signatures affixed, fees are paid, and the notary files the deed with the Property Register.

8 – Immediate post‑closing

• The deed is registered (usually the same day). Budget the registry entry fee (see below).

9 – Municipal obligations (within 2 months)

• File the property tax declaration (чл. 14 ЗМДТ) at the municipality within 2 months of acquisition; some data flows are automated, but you remain responsible for complying locally. eGov

10 – Utilities, HOA, insurance

• Transfer utilities, notify/settle HOA dues (the Condominium Ownership Management Act governs condominiums), and arrange insurance. Ministry of Regional Development

Taxes & fees (with estimator)

One‑time at purchase

• Municipal transfer tax (данък при придобиване): set locally at 0.1%–3% of the higher of the price or the tax valuation. (Sofia currently levies 3%.)
• Registry entry fee (Property Register): ≈0.1% of the transaction base (“material interest”) under the Registry Agency’s fee tariff.
• Notary fee: progressive scale under the Tariff to the Notaries and Notarial Activities Act (plus 20% VAT). Ask the notary for an exact quote or use a calculator published by notary offices. notary-chamber.bg
• VAT? Most resales of “old” buildings are VAT‑exempt; new buildings and building land are generally taxable under Art. 45 VATA, and suppliers can opt to tax certain exempt supplies—confirm with the seller & accountant.

Annual after purchase

• Immovable property tax (данък сгради/земя): set by each municipality, generally 0.1–4.5‰ of the assessed value.
• Household waste (garbage) fee: set locally; methodology may differ among municipalities.

Quick estimator (illustrative; verify locally)

Assume a BGN 200,000 (~EUR 100,000) apartment in Sofia; currently, the tax valuation is lower than the price.

• Transfer tax (3%): BGN 6,000. Sofia Investment Agency
• Registry entry fee (0.1%): BGN 200. Registry Agency
• Notary fee (progressive Tariff + 20% VAT): approx. BGN ~800–1,500 + VAT (ask your notary for the exact Tariff line). notary-chamber.bg
• Interpreter (if needed): market rate. Ministry of Foreign Affairs, Bulgaria
• Optional: lawyer’s due diligence, escrow fee, mortgage fees & valuation.

Rule of thumb: Buyers often budget ~5–10% more on top of the price, including agency fees, legal costs, translations, and all official charges. (The official pieces of that % are the municipal tax, registry fee, and notary tariff).

Hidden costs to anticipate

1. An interpreter at a notary’s office if you do not speak Bulgarian.
2. Higher tax base: Fees/taxes are calculated on the higher of contract price or municipal tax valuation. Obtain the tax valuation promptly; note the mid-year validity nuance.
3. HOA arrears: Condominium dues follow the unit; verify with the manager/protocol books under the Condominium Act.
4. Encumbrances beyond mortgages: reserved right of use, court claims, attachments; order a Certificate of Encumbrances with an adequate look‑back (often 10 years).
5. Unregulated/agricultural land: separate planning or land‑use conversion issues for plots; foreign buyer land rules differ from those for apartments.
6. Escrow/client account fees (bank or notary/lawyer).
7. VAT surprises on new buildings/building land—clarify the VAT position early.

Off‑plan (new build) specifics: Act 14/15/16

• Act 14: structural completion (“shell & core”).
• Act 15: acceptance between builder and investor (fit for hand‑over per the approved design).
• Act 16 / Use Permit: the milestone that makes a building legally fit for use/occupation (for categories where Act 16 applies). Request to see the document or the applicable commissioning document for lower categories.

Pay by milestones (e.g., a portion at Act 14, a portion at Act 15, balance at Act 16) and prefer escrow for stage releases.

Documents & checklists

Buyer’s due diligence (order/verify)

• Certificate of Encumbrances (Property Register).
• Cadastre sketch/scheme (AGCC).
• Tax valuation certificate (municipality).
• Building status: Act 14/15/16 documents for new build.
• If a mortgage: bank valuation, mortgage deed preparation, and registration of the mortgage at closing.

Day of closing (notary)

• IDs or notarized power of attorney (with legalization/apostille if executed abroad).
• Notary’s draft deed, interpreter if needed.
• Proofs of payments/escrow instructions.
• Seller’s pack: ownership deed chain, encumbrances certificate, cadastre sketch/scheme, current‑year local tax/waste status & tax valuation certificate.

After closing

• Municipal declaration within 2 months (Art. 14 ZMDT).
• Utilities transfer; HOA registration; insurance.

FAQ

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Disclaimer: This text reflects regulations and municipal practices as of September 2025, and cites relevant Bulgarian official sources where applicable. This information is not intended as legal advice; for a specific deal, please confirm exact fees/taxes with your notary and municipality, and obtain tailored legal counsel.