Borislav Gostev for Capital: Fewer Transactions, but Higher-Value Deals on the Property Market

The Bulgarian property market is entering a calmer and more rational phase after the strong years driven by expectations around the country’s accession to the Eurozone. Since the end of 2025, the number of transactions has been declining, buyers have become more cautious, and property supply has been increasing.

The market is now looking for a new balance — between sellers’ expectations, buyers’ real purchasing power, and the still stable but closely monitored conditions in mortgage lending.

Borislav Gostev, General Manager of SUPER CREDIT, also commented on the topic for Capital, highlighting one of the key trends at the moment: despite the decline in the number of transactions, mortgage lending remains stable, while the average loan amount continues to rise.

“This means fewer transactions at a higher value, with the average loan size increasing — which is logical against the backdrop of higher property prices,” Borislav Gostev explained.

His comment outlines an important shift in the market: activity is no longer measured only by the number of completed transactions, but also by the profile of buyers, the value of the properties, and the buyers’ ability to secure financing. Stable income, a strong credit profile, and the real value of each property are becoming increasingly important.

Buyers Are Becoming More Pragmatic

After a period of more emotionally driven decisions linked to expectations around the introduction of the euro, buyers are now taking a more pragmatic approach. They compare more offers, make decisions more slowly, and expect more realistic pricing.

At the same time, some sellers continue to rely on the high price expectations formed in previous years. This creates a gap between asking prices and actual market levels.

Mortgage Lending Continues to Support the Market

Mortgage interest rates remain relatively low and continue to support market activity. This is one of the factors that keeps the market moving, especially among buyers with a stable financial profile.

At the same time, investment-driven purchases are decreasing, while speculative behaviour is giving way to a more careful and selective approach.

Outlook for 2026

Expectations for 2026 are that the market will continue to search for equilibrium. The strongest performance is expected from quality properties with good locations, functional layouts, and realistic pricing.

Overpriced offers are likely to remain on the market for longer or require price adjustments.

In this new stage, the residential property market is no longer driven by euphoria, but by a more mature assessment of value, risk, and affordability. This is why Borislav Gostev’s observations on credit activity provide an important indication of the direction in which the sector is developing.

The published article is a translation/revision of the original article or material of the relevant quoted media. According to the Copyright Act of the Republic of Bulgaria (art. 9), the copyright on the translation or revised text belongs to the person who did it without prejudice to the rights of the author of the original text.

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