After the introduction of the euro in early 2026, the Bulgarian real estate market began to stabilize, and analysts note that last year's abnormally high demand has been replaced by a more balanced and predictable situation.
According to a report by Arco Real Estate, the transition to a single European currency has increased the transparency of the industry and gradually changed the behavior of buyers. The number of transactions has decreased compared to the peak in 2025, but overall demand remains stable, with customers spending more time making final decisions. Buyers are very careful and discerning, paying special attention to the location of the facility, the quality of construction and the long-term value of the property.
Sellers are also adjusting their policies, setting more realistic prices and being more willing to negotiate. In the medium term, the euro is seen as a stability factor contributing to improving access to finance and strengthening Bulgaria's integration with European markets, although in the short term the market is showing a more cautious approach due to consumer adaptation to new financial conditions.
Residential real estate remains the main segment of the market, accounting for 92% of all buyer requests. The highest demand, according to the company's report, is for three-bedroom apartments (57% of requests), followed by two-bedroom houses (28%). Real estate with four bedrooms and more rooms remains a narrower and more selective segment, while one-bedroom apartments continue to attract stable interest, mainly from investors. Garages and additional storage facilities are still in demand in cities due to the constant shortage of parking spaces.Mortgage lending remains stable, despite a decrease in the pace of transactions. According to the Registration Agency, 13,706 mortgage transactions were registered in the first quarter of 2026, almost the same number as in the same period last year.
As for supply, the gradual increase in prices helps to restore the balance between buyers and sellers. New construction remains the most active segment: projects that have already begun continue to be implemented, while the number of ready-to-move-in houses remains limited, and they are quickly being sold out.
From a geographical point of view, Sofia continues to dominate the market, while regional cities and coastal areas of the Black Sea have seen a marked decrease in investment activity after a surge in the previous period.
Source: Novinite
