How UK residents can get a mortgage in Bulgaria. Learn about loan options, requirements, and the process for financing a property as a British buyer.
Getting a mortgage in Bulgaria as a UK resident is possible, but it comes with unique requirements and challenges. This guide explains the eligibility criteria, loan types, and step-by-step process for securing a mortgage in Bulgaria.
1. Can UK Residents Get a Mortgage in Bulgaria?
Yes, UK residents can apply for a mortgage in Bulgaria, but lenders have stricter conditions for foreign buyers. Key factors include:
✅ Higher deposit requirements – Typically 30-50% of the property value.
✅ Proof of income – Buyers must demonstrate stable earnings.
✅ Limited loan options – Not all Bulgarian banks offer mortgages to non-residents.
2. Types of Mortgages Available
There are two main mortgage options for UK buyers in Bulgaria:
1. Standard Bulgarian Bank Mortgage
- Available to foreign buyers but requires a Bulgarian bank account.
- Loan terms range from 10 to 25 years.
- Interest rates typically between 4-7%.
2. Foreign Currency Mortgage
- Some banks offer loans in EUR or GBP, reducing currency risks.
- Requires higher credit scores and additional financial guarantees.
For legal guidance, see How to Hire an English-Speaking Lawyer in Bulgaria.
3. Step-by-Step Process to Get a Mortgage
1. Choose a Bulgarian Bank
Research banks that provide mortgages to foreigners. Popular options include:
- UniCredit Bulbank
- DSK Bank
- Postbank
2. Submit Required Documents
Banks require the following paperwork:
✅ Passport and proof of residency.
✅ Proof of income (pay slips, tax returns).
✅ Property details and valuation report.
3. Receive a Loan Offer & Sign the Contract
If approved, the bank will issue a loan offer outlining the:
- Interest rate & repayment terms.
- Penalties for early repayment.
- Loan disbursement conditions.
For due diligence, read How to Check a Property for Debts & Legal Issues.
4. Finalize the Property Purchase
The mortgage is disbursed after:
✅ Signing the final Notary Deed.
✅ Registering the mortgage with the Bulgarian Property Register.
✅ Transferring funds through a secure escrow account.
4. Costs & Fees Associated with a Mortgage
| Expense | Estimated Cost |
|---|---|
| Loan Processing Fee | 0.5% – 2% of loan amount |
| Property Valuation | €100 |
| Notary & Legal Fees | €100 – €300 |
| Mortgage Tax” or “Entry Fee for Mortgage in the Land Registry | €100 |
For a full breakdown, see Costs & Fees for UK Buyers in Bulgaria.
Conclusion: Is Getting a Mortgage in Bulgaria Worth It?
While securing a mortgage as a UK resident can be challenging, it’s a viable option for buyers who meet bank criteria. A strong financial profile and legal support can improve approval chances and ensure a smooth buying process.
For a full property buying guide, check How to Buy Property in Bulgaria Step-by-Step Guide.
Useful Resources for Mortgage Applicants
1️⃣ Bulgarian National Bank – Official banking regulations and mortgage information.
2️⃣ Bulgarian Property Register – Verify mortgage and property records.
