Legal counsel for real estate transactions in Bulgaria
Sofia
Bulgaria joined the eurozone on 1 January 2026, and European investors have already identified the opportunity. For an Israeli investor seeking genuine entry into a European market without the capital required in Portugal or Spain, Bulgaria is a serious option - provided the rules are understood.
- CurrencyEuro, since 1 January 2026
- ApartmentsDirect purchase in a private name
- Land, house or villaThrough a Bulgarian company
- Closing costsApprox. 6%-12% on top of the purchase price
Why Israelis choose Bulgaria
Bulgaria offers prices that no longer exist in most of the European Union and low personal income tax, and Sofia has become a destination for technology companies and development centers. Since joining the eurozone, currency risk has also disappeared - one of the reasons foreign investors hesitated in the past.
What to know before you enter
- Apartments - Israelis may purchase directly in their own name. A transaction that includes land (a house or villa) requires setting up a Bulgarian company and calls for legal guidance from the outset.
- Confirm that the property has a valid occupancy permit (Act 16). Its absence is the most common problem in transactions with foreign buyers.
- Closing costs range from approximately 6% to approximately 12% on top of the purchase price.
- In resort complexes: maintenance fees, management agreements and liquidity - three things that must be checked before buying.
How we support you in Bulgaria
- 1
End-to-end purchase support
Title verification, sale contract and registration with the Registry Agency.
- 2
Company formation and management
For buyers of a house or villa: setting up and managing the Bulgarian company end to end.
- 3
Articles of association and accounting
Drafting the company’s articles of association and ongoing bookkeeping.
- 4
Lease agreements
Drafting and overseeing lease and management agreements.
- 5
A select local network
Bulgarian lawyers and agents we work with regularly, not ones found in a random search.
- 6
Tax and reporting
Tax planning in Bulgaria and the implications in Israel.
Adv. Ilan Leibovitch is an Israeli attorney. Advice and acts under local law are carried out by lawyers and notaries licensed in the relevant country, coordinated by the office.
How it works in Bulgaria
- 1
Choosing the structure
An apartment in a private name, or a Bulgarian company for property that includes land.
- 2
Preliminary agreement
Terms, deposit and timetable.
- 3
Due diligence
Register, encumbrances, Act 16 and outstanding maintenance fees.
- 4
Notarial deed
Signing before a notary, in person or by power of attorney.
- 5
Registration
Registering title in the property register.
Why us
Bulgaria is a market many Israeli investors hear about, but few know how to navigate properly. The gap between a transaction completed with local guidance and one completed without it can be very significant. We work with Bulgarian lawyers and agents we have chosen over many years.
Guides · Bulgaria
Real Estate Development in Sofia: Planning and Construction, Permits and Legal Considerations for a Project
An 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.Selling Property in Bulgaria: Capital Gains Tax, Exemptions and Transferring the Funds to Israel
How much tax an Israeli pays selling an apartment in Bulgaria, why the three- and five-year exemptions usually do not apply, how to report and transfer the money.Resort Properties in Bulgaria: Management Fees, Management Contracts and Liquidity Traps
A holiday apartment in Bansko or Sunny Beach: what sets management fees, why the management contract binds the next buyer, and how to check liquidity and exit tax.Renting Out Property in Bulgaria: Rental Taxation, Short-Term Rental Registration and Reporting in Israel
Renting out an apartment in Bulgaria as an Israeli: tax paid by a non-resident, short-term rental registration under the Tourism Act, and reporting in Israel.The Process of Buying Property in Bulgaria Step by Step: Preliminary Agreement, Notary, Registration and Transaction Costs
Buying an apartment in Bulgaria from Israel: power of attorney and apostille, preliminary agreement, notary documents, secure payment, registration and 2026 costs.Buying a New Apartment in Bulgaria: Act 14, Act 15 and Act 16 - What Each Stage Means for Your Money
What Act 14, 15 and 16 mean when buying an off-plan apartment in Bulgaria, when ownership passes, and how to tie each developer payment to a protected stage.Owning Land in Bulgaria as a Non-EU Foreigner: Apartment vs. Land, and Why a Bulgarian Company (EOOD) Is Used
An Israeli can buy an apartment in Bulgaria in his own name, but not land. Apartment vs. house with a yard, when to use an EOOD, and the Israeli tax implications.Mortgage in Bulgaria for Foreign Buyers: What Is Actually Possible and the Alternatives
Mortgage in Bulgaria for Israelis: central bank limits, 2026 rates, what banks require of non-residents, and alternatives such as an Israeli loan or developer instalments.
Frequently asked questions
Can an Israeli buy a house with land in Bulgaria?
Not directly in their own name. Buyers who are not EU citizens can acquire an apartment directly, but property that includes land is usually acquired through a Bulgarian company. This is a common and accepted structure that requires advance planning.
What is Act 16?
It is the building’s occupancy permit. A property without a valid Act 16 cannot be lawfully used or easily sold, which is why it is one of the first checks in any transaction.
What changed with the move to the euro?
Since 1 January 2026, Bulgaria’s official currency has been the euro. For an investor, this removes the conversion risk between the lev and the euro and simplifies financing and contracts.
Considering a transaction in Bulgaria?
A sound international transaction begins long before signing. A short introductory call will clarify whether, and how, we are the right firm to support you.
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