Who Can Own Property in Bulgaria: A Complete Guide for Foreign Buyers in 2026

EU Citizens, Non-EU Nationals, UK Buyers Post-Brexit, Companies, and Co-Ownership — Rights, Restrictions, and the Most Efficient Structures

Introduction: The Key Question — and Its Nuanced Answer

‘Can a foreigner own property in Bulgaria?’ is the most commonly asked question among international buyers — and the answer is almost always yes. But the complete answer requires one important distinction: the rules differ based on whether the property includes land, and whether the buyer is an EU citizen, an EEA national, or a citizen of a country outside the European Union.

Bulgaria is a full EU member state with an EU-standard property rights framework. EU citizens, as a general rule, have the same property ownership rights as Bulgarian citizens. The EU principle of free movement of capital guarantees equal treatment for property purchase across member states. Non-EU nationals are not excluded from Bulgarian property ownership — they simply need to understand the specific restriction that applies to direct land ownership as individuals.

This guide explains the rules for every category of buyer: EU citizens, EEA nationals, UK nationals post-Brexit, citizens of third countries, Bulgarian companies, foreign companies, minors, and co-owners. It provides the comprehensive rights matrix, practical examples for common buyer profiles, and guidance on the Bulgarian company solution for non-EU buyers who wish to purchase property that includes land.

The Key Legal Distinction — Buildings vs. Land

Bulgarian property law makes a fundamental distinction between two types of property: buildings and structures (including apartments) on the one hand, and land on the other. This distinction is the basis of the different ownership rules for EU and non-EU buyers.

In Bulgarian legal terminology, an apartment building is a structure built on land — but the apartment itself is a distinct legal object (право на собственост върху обект). When a non-EU national buys an apartment, they are purchasing the apartment as a legal object, not the land on which the building stands. The land under a multi-apartment building is held in co-ownership by all apartment owners proportionately — and this co-ownership share is restricted for non-EU individuals, which is why non-EU buyers purchase property that includes significant land (a house with a garden, a development plot, agricultural land) through a Bulgarian company rather than directly.

The Full Rights Matrix — Every Buyer Category

Summary: Who Can Buy What

EU and EEA Citizens — Full Equal Rights

Citizens of all 27 EU member states and the three EEA countries (Norway, Iceland, Liechtenstein) have the same property ownership rights as Bulgarian citizens. This is a direct application of the EU principle of free movement of capital, which guarantees equal treatment in property acquisition across the single market.

There are no restrictions, no minimum thresholds, no approval processes, and no reporting obligations specifically related to foreign ownership. An EU citizen can purchase any type of Bulgarian property — apartment, house, land, commercial premises, agricultural land, forest land — directly as an individual, with no requirement to use a company structure.

Non-EU Nationals — Rights and the Land Restriction

What Non-EU Individuals Can Own Directly

The scope of direct property ownership rights for non-EU nationals in Bulgaria is wider than most buyers from the US, UK, Israel, India, or other non-EU countries expect. The restriction is specific and limited: it applies only to direct individual ownership of land as a legal object.

Non-EU individuals can freely purchase, directly in their own name, without any company structure:

• Apartments and residential flats — the most common purchase; no restrictions whatsoever
• Commercial units — retail premises, offices, and warehouse units within a building
• Buildings as structures — technically, the building itself can be purchased directly; the restriction is on the land
• New-build apartments off-plan — no restriction on purchase; the land ownership issue is addressed through the developer’s company structure during construction

The Land Restriction — What Non-EU Individuals Cannot Do Directly

Non-EU nationals cannot, as individuals, directly own a Bulgarian land plot. This restriction applies to:

• Urban building plots — land designated for construction purposes
• House with garden — the land element of a standalone house purchase
• Agricultural land — farmland, vineyards, orchards
• Forest land
• Commercial land (where the land itself is the asset, not units in a building)

The Solution: Bulgarian Company Ownership

The standard, legally accepted, and widely used solution for non-EU nationals wishing to purchase any property that includes land is to register a Bulgarian company — typically an EOOD (single-owner limited liability company) or OOD (multi-owner) — and purchase the property through that company. A Bulgarian-registered company has full property ownership rights, including land, on the same basis as a Bulgarian individual.

The company is 100% foreign-owned — there is no requirement for a Bulgarian co-owner, Bulgarian director, or minimum Bulgarian participation. The company simply needs to be validly registered in the Bulgarian Commercial Register and have an active bank account.

UK Nationals After Brexit — Important Changes

What Changed on 31 December 2020

UK nationals lost EU free movement rights on 31 December 2020 when the UK formally left the EU single market. From that date, UK citizens are treated as third-country nationals under Bulgarian property law — not EU citizens. The practical consequence for property ownership is identical to the situation for US, Canadian, Israeli, or any other non-EU national: direct purchase of land is restricted; the company structure is the standard solution.

It is important to note what did not change: UK nationals who purchased Bulgarian property while the UK was in the EU (before 31 December 2020) retain their ownership rights acquired under EU law. Brexit did not retroactively affect existing ownership.

Swiss Nationals — A Special Position

Switzerland is not an EU or EEA member, which would normally place Swiss nationals in the same category as other non-EU nationals regarding land ownership. However, Switzerland has bilateral agreements with the EU (under the Agreement on the Free Movement of Persons, which also applies to EU members states’ obligations) that, in practice, give Swiss nationals rights equivalent to EU/EEA citizens for property acquisition purposes in most EU member states.

For Bulgaria specifically, the treatment of Swiss nationals for property ownership purposes is equivalent to EU citizens — Swiss nationals can purchase land directly as individuals. This position should be confirmed with a qualified Bulgarian lawyer in any specific transaction, as treaty interpretations can evolve.

Bulgarian Company Ownership — The Full Picture

Why a Bulgarian Company Is the Most Versatile Ownership Structure

A Bulgarian registered company can own any type of Bulgarian property — apartments, commercial units, buildings, land in all categories, and combinations thereof — without restriction. This makes it the most versatile ownership structure available and explains why it is used by investors of all nationalities, not just non-EU nationals.

What a Bulgarian Company Can Own

• Residential apartments — in any quantity; no restrictions
• Houses and villas — including the land element
• Development plots — urban land designated for construction
• Agricultural land — farmland, vineyards, orchards
• Commercial premises — offices, retail units, restaurants, hotels
• Warehouses and industrial units
• Resort complex apartments — coastal and mountain
• Parking spaces and storage units

Rental Income Through a Bulgarian Company

A Bulgarian company generates rental income, deducts all business expenses (management fees, maintenance, insurance, property tax, accountant costs), and pays 10% corporate income tax on the net profit. Distribution of the remaining profit to the owner as a dividend attracts 5% dividend withholding tax. The combined effective rate is approximately 14.5% — among the lowest available in the EU for property income. Actual expenses are fully deductible, unlike the flat 10% normative deduction available to individual owners.

Foreign Company Ownership

Foreign legal entities — companies registered outside Bulgaria — can also own Bulgarian property. The same building/land distinction applies: foreign companies can freely purchase apartments, commercial units, and buildings; direct purchase of land by a foreign company is subject to additional analysis depending on the company’s country of registration.

In practice, the preferred approach for internationally structured investors is to establish a Bulgarian subsidiary (an EOOD or OOD) and hold the Bulgarian property through that Bulgarian entity. This provides:

• Full land ownership rights — the Bulgarian subsidiary has the same rights as any Bulgarian company
• Simpler property management — Bulgarian bank account; Bulgarian accountant; standard local administration
• Clean tax position — Bulgarian corporate tax framework applies without complexity of cross-border group structures
• Simplified regulatory compliance — all obligations are within the Bulgarian legal framework
• Easier mortgage access — Bulgarian banks lend to Bulgarian companies more readily than to foreign entities

Co-Ownership and Joint Ownership

Multiple Owners of a Single Property

Bulgarian law fully permits joint ownership (съсобственост) of a single property by multiple individuals or legal entities. The ownership is defined in shares — each co-owner holds a defined percentage of the property. Co-ownership arises most commonly in family situations (spouses, parent and child), investment partnerships, and inheritance.

Pre-Emption Rights in Co-Ownership

An important practical point: under Bulgarian law, if one co-owner wishes to sell their share to a third party, the other co-owner(s) have a legal pre-emption right — the right to purchase that share at the same price being offered to the third party. This right must be formally waived or satisfied before the share can be sold externally. Buyers of a share in a co-owned property must ensure this right has been properly addressed in the transaction.

Minor Children as Property Owners

Bulgarian law permits property to be registered in the name of a minor child (under 18). This is sometimes used for estate planning purposes — parents transfer property or part of a property to their children to manage succession, reduce estate tax exposure, or provide for their children’s future.

However, property owned by a minor comes with specific restrictions on future transactions:

• The property cannot be sold, mortgaged, or otherwise encumbered without the approval of the Regional Court (Районен съд) with jurisdiction over the property’s location
• The court assesses whether the proposed transaction is in the minor’s best interest before granting approval
• The legal guardian (parent or appointed guardian) manages the property on the minor’s behalf but cannot unilaterally dispose of it
• Upon turning 18, the child becomes the full legal owner with no restrictions on their ownership rights

Practical Examples — Common Buyer Profiles

Eight Real-World Scenarios

Which Ownership Structure Is Most Efficient for Investment Property?

Frequently Asked Questions