Experts do not expect the « euro effect » on the real estate market when entering the euro area
No dramatic changes are expected in the entry of Bulgaria into the euro area, but the state information campaign is late, and the messages are now not very understandable, and at that time the opponents of the euro are active, who launch their own.
This was commented by participants in a discussion organized by the Association for the Receivables Management. Experts in the real estate market have announced that they do not expect any significant changes in the months after the adoption of the euro.
Bulgaria is ready to enter the euro area, but the society is not prepared. The information campaign was late. This was commented on during a discussion Stoyan Yakimov, deputy chairman of the House of Private Enforcement Agents. « The legal framework and the technical criteria are covered, but the main problem is that society is divided and not prepared because for many years the propaganda against Europe and the euro. The information campaign is delayed, although it is scheduled for the admission plan, and therefore politicians take the fears of people, » he added.
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Lilia Dimitrova, chairman of the Association for Debt Management, added that in videos she has seen on television, things are not clear to the general public, instead of talking about entering the euro area with simple and accessible understanding of all examples.
Representatives of the insurers and the banking sector have announced that they have prepared their systems for entering the euro area, which is expected to take place since 2026. Previously, in early June, the European Commission and the European Central Bank are expected to declare Bulgaria as ready and set a date. This is another attempt by Bulgaria to enter the euro area – a commitment that she has made with her EU membership, but so far has not met different numerical criteria for this. Currently, the big challenge stems from political instability in the country and related potential problems with the implementation of the budget.
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When entering the euro area, no changes in the amount or type of debt of citizens will occur, the money in their bank accounts will be exchanged automatically and without fees, the discussion participants reminded.
Nothing new on the real estate market
Within 6 to 9 months after entering the euro area, no changes in the real estate market are expected, said Gergana Tenekedzhieva, Executive Director of « Address ». He explained that this was a very short period to manifest some essential dynamics under equal other conditions.
He said that citizens were accustomed to the fact that everything was in BGN except the price of the property. He has stated the practice in which the seller, who has announced the price in euro, does not want it in BGN and on the BNB fixing, whereby the buyer has to exchange and pay. Often, when we think too much we do not fuck, we fuck ourselves, she announced.
He emphasized that the usual people who give the wrong information are the noisier and offering misinformation on the subject.
| Its estimate is that only 10% of real estate sellers are currently pressured to proceed with a deal, and the rest do it because they decided. « In recent years, it has been seen that property prices and the number of deals are growing in correlation with people’s incomes and what we will look at is what happens to income and unemployment, » she explained about the factors that will influence the market. |
He also reminded that Bulgarians are already heading for investment in properties outside, which should tame the desire of the sellers to raise the prices too much.
Other brokers have recently commented that the expectation, such as Bulgaria joins the euro area, to rise in price and the properties has already been consumed by the market. People looking for housing are part of the reason for the situation to look crazy. In recent years, we have seen an extremely high demand for properties and the supply cannot respond with such energy and so many offers, Tihomir Toshev, Executive Director of the Credit Center Consulting Company, told BNR.
When entering the euro area, he expects to calm the real estate market and prices. However, his forecast is that this year will continue the rise and it will be within 5-9%.
