Property prices went up again. This time, the reason is not the increase in the price of construction materials and labor, but the price of the land. This is what Nikolay Georgiev, manager of “Assessments and consulting services” at Colliers, said in the program “In Development” on Bloomberg TV Bulgaria.
“In recent years, especially after the start of the war in Ukraine, there was a disruption of supply chains, steel as a raw material was a big problem, there was a shortage of labor, etc. Now there is more predictability in this regard, but recently there is an increase in the price of land,” Georgiev pointed out.
On the one hand, there is no longer enough land on which to develop a large enough project, and on the other hand, prices have risen at a very fast pace. This price increase is passed on to the final buyer, the guest added.
Mainly established plots of land in Sofia continue to be sought after, because they have available amenities that future buyers would use, such as social infrastructure. “Purchases of green space, outside of a central location, but new construction, are of interest. There is a clear trend towards new buildings for purchase,” said Georgiev.
In his words, the investment in property remains a very understandable investment for the Bulgarian consumer, and it also brings good profitability. In the last two years, there has been an increased interest in the construction of buildings and renting them out in full or purchasing a whole building green and selling it to end customers, Nikolay Georgiev also noted.
#trend #real #estate #unusual #happening
