The price drop of the properties in Bulgaria stimulated many people to buy properties with the aim to rent them as the price drop of the properties for sale is larger than the drop of the rents. Buying to invest has become a permanent tendency according to analysts. A property purchased for 28 000 Euros can be rented for 150 Euros per month, i.e. and the annual yield is 6.5%. For the same period last year the yield was 4.5 %.
At the same time rental contracts have become shorter and now landlords are prepared to sign rental contracts for three months instead of for one year.
Purchases are only being made for properties with attractive prices and in affluent areas with good infrastructure. Many Bulgarians have sold the properties which they inherited or properties in a bad condition, so that they can invest in better quality new apartments with good location.