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Bulgaria Residential Real Estate Still Considered Solid Investment

Wednesday, Oct 01, 2008

Real estate remains the main investor market in Bulgaria, not the stock exchange, which is already suffering the effects of the global financial crisis, according to Georgi Stoev from "Industry Watch."
Stoev spoke before Darik radio on Wednesday.
The expert forecasted that the vacation properties segment would be the one to bear the effect of the financial crisis the most, adding that the ordinary Bulgarian counts mainly on his home as savings, followed by bank deposits.
"This leads to the question - what is going to happen with the real estate market and the stability of the bank system in the country. The vacation property market has always been and will remain a risky investment. At the moment of a liquidity crisis, the first projects to be blocked or discontinued would be precisely those from the "second home market," Stoev explained, adding that residential properties in big cities remained a solid investment.
The economy expert further reassured bank customers in Bulgaria by saying that they should not worry about their deposits and something bad happening to them since he did not see any current problems with the stability of the bank system in Bulgaria.

Source: Sofia News Agency