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Bulgarian Real Estate Law

"From my personal experience of working with Nikolai, he has always put me, the client, first and ensured that I have received the best possible service and that I am represented correctly in regard to any dealings that I have needed.

Additionally, Nikolai has always made an extra effort, without request, to ensure that I am represented fairly and to ensure that my rights and entitlements have been fully protected. I cannot recommend Nikolai, and his partners, highly enough."

Brian Blake, the United Kingdom
Estate Owner & Property Investor


Bulgaria Mortgage Law & Mortgage Loan

Mortgage Law deals with bank and loan operations. According to the law, every financial institutions in Bulgaria that is able of granting mortgage loans, must assure that the applicant has the appropriate income to cover their monthly payments.

There are a few financial institutions in Bulgaria that have the right to provide mortgage loans to foreign investors. These are the Bulgarian Mortgage Department for foreigners, named DSK and the Piraeus Bank through their Bulgarian Mortgage Department.

In addidtion, the mortgage banks require the completion of several steps when applying in order to avoid eventual legal issues.

Mortgage Law Lawyers in Bulgaria

The Mortgage Law lawyers in our office could assist you with the completion of the steps required to receive a loan. These requirements include evidence of regular salary income.

In adition, banks would require the loan to be guaranteed with a legal contract on the purchased or another property. This action is called "re-mortgaging". Our mortgage lawyers will assist you with the preparation of the documents and the evaluation of the property.

In case the loan debtor stops paying their monthly mortgage installments, the bank has the right to sell the mortgaged property. However, this is the last legal resort which usually comes only after several negotiations with the mortgage receiver have been conducted and failed.

Mortgage granting is proceeded by investigation by the bank to assure that the debtor fulfills certain requirements. The debtor is to present certain documents about their income, family status, and credit history. Our mortgage lawyers will be able to assist you with the preparation and issuing of these documents.

Any mortgage loan applicant is recommended to take an initial mortgage payment advice from the Bulgarian Mortgage bank adviser. Applicants should submit to the bank adviser copies of their bank account statements and monthly pay slips. The desired amount of the loan should be specified in an initial application form. Based on that initial documents the mortgage adviser will provide their advice if the income of the applicant is sufficient.

Bulgarian Mortgage Law states that the bank is to make a preliminary evaluation of the property. Therefore the amount of the released mortgage credit does not depend just on the income of the client, but also on the bank evaluation. It depends also on the plot of the property, its location and type of property construction. The main purpose behind the mortgage evaluation is to act as an additional insurance for the bank in case that the client stops paying the monthly installments.

Mortgage Debt Legal Problems

Mortgage debt problems usually occur when the bank raises the loan interest or the debtor loses their monthly income. In this case the deptor is moved to a special department of the bank. The bank revises all the associated paperwork and tries to provide a new scheme for solution of the problem. The monthly installments could be reduced or other appropriate actions and preoceeding to be undertaken in order to give a chance for the debtor to pay the mortgage loan. The case of the Bulgaria Mortgage debt provider is moved to a special Mortgage debt.

Final steps of legal mortgage proceedings is visiting Notary Public where the future property is to be established for the benefit of the mortgage bank. It is important for the applicant to know that the money of the given mortgage loan is transferred directly to the bank account of the seller, not to the bank account of the buyer.

Bulgaria Real Estate Law offers the following Mortgage Law legal services:
- Finding the most appropriate mortgage bank credit policy and a suitable credit bank in accordance to the income of our customers.

- Performing negotiations with the mortgage bank before signing the credit contract.

- Drafting mortgage bank documents, necessary for establishing a mortgage over the property in front of the bank officials.

- Drafting documents and representing our clients before Notary Public and providing assistance with the Title Deed.

- Processing and sending the original mortgage documents to our clients by recorded delivery.

- Control over the money transfer from the bank which releases the mortgage to the bank account of the seller.

Call our attorneys today: +359 (885) 040 808 for expertise Bulgarian Mortgage Law help and initial FREE advice.

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Immediate Assistanship Phone: +359 885 453 058

United Kingdom Phone United Kingdom Flag : 0044 (20) 33 22 1055



Main Office:
ul. "Mutkurova" 28
(Bulgarian: ул. "Муткурова" 28, ет.1)
city: Ruse, country: Republic of Bulgaria

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Learn more about our Banking and Finance Law in Bulgaria practice and our Bulgarian Construction Law practice.