In brief
An Israeli can buy an apartment in Sofia and register it in their own name, but not land, so a house with a plot is usually bought through a Bulgarian company. In a new apartment, the key check is the construction stage: Act 14 (rough construction), Act 15 (handover from the contractor) and Act 16 with the use permit, without which the apartment may not be lived in. In an older apartment, check the chain of title in the property register, consistency with the cadastre and any debts. In Sofia, the buyer pays a municipal transfer tax of 3%, as of 2026.
Key takeaways
- 1An Israeli may buy an apartment in a multi-unit building in their own name. Land, including the plot under a private house, is usually acquired through a Bulgarian company (EOOD).
- 2In a new apartment, Act 14 is the turning point: only once the rough construction is complete can ownership of the built unit be transferred. Act 15 is not a residential permit.
- 3The Bulgarian notary does not check the history of ownership, and in many districts the register is organised by owners' names. The chain of title is checked by the lawyer.
- 4According to Colliers, in July 2026 the average asking price for an apartment under construction in Sofia was about EUR 2,070 per sq m, excluding VAT.
- 5Buyer's costs in Sofia: municipal transfer tax of 3%, a tiered notary fee with a cap and a registration fee of 0.1%, as of 2026.
What should be checked legally before buying an apartment in Sofia?
Three things characterise Sofia from a legal perspective: a sharp distinction between an apartment and land for a buyer who is not an EU citizen, a large supply of new apartments sold at different stages of construction, and an older stock of buildings from earlier periods in which the documents are not always complete. This guide goes through each of them and refers to the detailed guides on Bulgarian law.
The general picture is described in the complete legal guide to buying property in Bulgaria. Since 1 January 2026 Bulgaria has been in the euro area, so contracts, taxes and payments are conducted in euros, and an Israeli's currency risk shifts to the shekel-euro axis.
How much does an apartment in Sofia cost?
According to a Colliers report from July 2026, published by the Bulgarian news agency BTA, about 7,630 apartments under construction were offered for sale in Sofia, at an average asking price of about EUR 2,070 per sq m excluding VAT. In 2025 about 22,280 apartment transactions were completed in the city. According to the National Statistical Institute, in the first quarter of 2026 housing prices in Sofia rose by 5.8% compared with the previous quarter.
Two important caveats: the figure refers to apartments under construction and to asking prices, not to transaction prices and not to resale apartments; and comparing listings requires checking which area was measured and what it includes, because area definitions in listings are not uniform. The total cost beyond the price can be calculated with the acquisition cost calculator.
Can an Israeli buy an apartment in Sofia in their own name?
Yes. The Bulgarian Constitution allows a foreigner who is not an EU citizen or resident to acquire ownership of buildings and apartments, but not ownership of land, except under a treaty or by statutory inheritance. An apartment in a multi-unit building is therefore registered in the name of the Israeli buyer without the need for a company.
It becomes more complicated with a private house, a villa or a plot on the outskirts of the city. There the land is part of the transaction, and the accepted solution is a Bulgarian company owned by the buyer, usually an EOOD. The company is a separate entity, with its own bookkeeping, financial statements and taxation, and on the Israeli side the controlled foreign company rules should be examined in advance. Details in the guide to owning land in Bulgaria through a company.
A new apartment in Sofia: what do Act 14, Act 15 and Act 16 mean?
The construction stage determines what you are actually buying. Before Act 14, the buyer usually holds a contractual right or a building right to a future unit, not an apartment. Act 14 confirms that the building has reached the rough construction stage, and only from then can ownership of the built unit itself be transferred. Act 15 is a handover protocol from the contractor to the developer and does not permit occupation. Act 16 and the use permit that follows it are what turn the apartment into an asset that may be lived in, financed and sold.
| Stage | What it says | What it means for your money |
|---|---|---|
| Before Act 14 | The building has not yet reached rough construction | The highest risk. Every payment needs contractual protection |
| Act 14 | Rough construction completed | Ownership of the built unit can be transferred by notarial deed |
| Act 15 | Handover from the contractor to the developer | The apartment still may not be lived in |
| Act 16 and use permit | The building has been lawfully put into use | Occupation, utility connections, financing and sale |
In Bulgaria there is no general requirement for developers to use an escrow account or a bank guarantee, so protection is built into the contract: a payment schedule tied to these stages, and release of the unit from the financing bank's mortgage. Details in the guide to Act 14, Act 15 and Act 16.
Buying an apartment in an older building in Sofia? What to check
In an older building, the risk usually lies in the documents, not only in the structure: a long chain of title, discrepancies between the registration and the cadastre, and changes made to the apartment or the building over the years. In such a transaction, pay particular attention to the following checks:
- The chain of title over at least ten years, including a search by the names of all previous owners, because in many districts the register is organised by names.
- Consistency with the cadastre: that the apartment appears with a cadastral identifier, and that the area and boundaries match the documents and the situation on site.
- Changes to the apartment: enclosed balconies, merged apartments or a change of use, and whether they have a permit.
- Debts: to the municipality, utility companies and the building's owners' association, which may attach to the property.
- Charges and attachments in the register, and the seller's legal status.
It is important to know that since 15 January 2026 copies of deeds from the property register are issued only to the parties, to lawyers and to persons with a proven interest, so part of the check requires a lawyer. Details in the guide to due diligence in Bulgaria.
The Bulgarian notary checks the current registration status and the identity of the parties, but is not required to check the history of ownership. That check is the responsibility of the buyer and their lawyer.
What does the purchase process in Sofia look like in brief?
A purchase in Bulgaria usually takes about one to two months, and it can be carried out from Israel. The main stages:
- Preparation: a specific notarial power of attorney with an apostille and a translation into Bulgarian, and due diligence.
- A written preliminary agreement with a deposit of about 10%. The agreement is binding, and if a party refuses to sign, the court can be asked to declare it a final contract.
- A deed of sale before a notary in the property's area. Ownership passes on signing, and the notary sends the deed for registration on the same day.
- After the purchase: BULSTAT registration for a foreigner within seven days, and a declaration to the municipality for property tax purposes.
Full details, including what can go wrong at the reservation stage and how to pay safely, are in the step-by-step guide to buying property in Bulgaria. On financing, see mortgages in Bulgaria for foreign buyers.
What taxes apply to an apartment in Sofia?
In Sofia, the buyer pays a municipal transfer tax of 3% of the higher of the price and the tax value, a tiered notary fee with a cap, and a registration fee of 0.1%, as of 2026. For a new apartment from a developer, make sure in the contract that VAT is included in the price, because the published price, as in the Colliers data, is sometimes exclusive of VAT.
An Israeli who is not resident in Bulgaria and lets an apartment in their own name pays a final tax of 10% on the gross rent, without deduction of expenses, and the income is also reported in Israel. Tourist rental requires registration under the Tourism Act and a registration number in every listing. On a sale, capital gains tax for an individual is 10%, and the exemptions apparently apply only to residents of Bulgaria and the EU. Details in the guide to taxation in Bulgaria and in the guide to renting out property in Bulgaria.
Checklist before buying an apartment in Sofia
- Determine whether the transaction includes land and, if so, decide on the holding structure before the preliminary agreement.
- For a new apartment: find out what stage the building is at (before Act 14, Act 14, Act 15 or Act 16) and tie the payments to the stages.
- Check the building permit and, in a completed building, the use permit.
- Check a chain of title of at least ten years, by the names of all owners.
- Check consistency with the cadastre and the actual area, and any unpermitted changes.
- Obtain written confirmations that there are no debts to the municipality, utilities or the owners' association.
- Confirm whether the price includes VAT and budget for the 3% transfer tax, notary and registration.
- Prepare a power of attorney with an apostille and translation, and plan the transfer of funds and its documentation.
Before signing: how we support a purchase in Sofia
We support Israeli buyers in Sofia from the first question, apartment or land, through the review of the construction stage, the chain of title and the contract with the developer, to registration. We carry out the registry searches and the work with the notary together with local lawyers in Bulgaria, and coordinate the Israeli side of reporting and taxation.
The above is general information, correct as of November 2026, and does not constitute legal advice, tax advice or an investment recommendation. Laws, tax rates and prices change, and before any decision you should obtain specific advice for your property and circumstances.
Frequently asked questions
How much does an apartment in Sofia, Bulgaria cost?
According to Colliers, in July 2026 the average asking price for an apartment under construction in Sofia was about EUR 2,070 per sq m, excluding VAT. This is an asking price for new builds only, and the actual price varies greatly by district, construction stage and how the area is measured.
Can an Israeli buy an apartment in Sofia?
Yes. A foreigner who is not an EU citizen or resident may buy apartments and buildings in their own name. They may not acquire land directly, so a house with a plot is usually bought through a Bulgarian company they own.
What is Act 16 and why does it matter when buying an apartment in Sofia?
Act 16 is the protocol on the basis of which the building's use permit is issued. Without a use permit the apartment may not be lived in, and it is difficult to finance or sell. Act 15 alone is not enough.
How much tax is paid when buying an apartment in Sofia?
The buyer pays a municipal transfer tax of 3% of the higher of the price and the tax value, a tiered notary fee with a cap and a registration fee of 0.1%, as of 2026. For a new apartment, check whether the price includes VAT.
Can I buy an apartment in Sofia without flying to Bulgaria?
Yes. The transaction can be carried out by a specific notarial power of attorney, with an apostille and a translation into Bulgarian, which allows the attorney-in-fact to sign the preliminary agreement and the deed of sale.
Read next · 10 min readReal Estate Development in Sofia: Planning and Construction, Permits and Legal Considerations for a ProjectAn Israeli developer in Sofia: holding land when a non-EU foreigner cannot buy it, the permit route to a use permit, contracts, off-plan sales and exit tax.Read the guideSources
- BTA / Colliers - 7,630 apartments under construction listed for sale in Sofia (July 2026)
- National Statistical Institute - Housing price statistics, Q1 2026
- ELRA - Bulgaria: limitations to foreigners
- CMS Expert Guide - Real estate transaction costs and taxes, Bulgaria
- CMS - Bulgaria amends real estate registration rules
- CMS - Acquisition of off-plan property in Bulgaria
