An analysis of the Bulgarian real estate market conducted by the Open4business portal showed that the growth in housing prices in Bulgaria has slowed, but foreign demand remains significant.
The pace of housing price growth in Bulgaria began to slow after a very strong surge throughout 2025, although the market itself remains in a growth phase. According to data from the National Statistical Institute of Bulgaria (NSI), housing prices rose by 15.1% year-over-year in the first quarter of 2025, by 15.5% in the second quarter, and by 15.4% in the third quarter, indicating that the rate of price increases remains high but is no longer accelerating.
An additional factor driving growth in 2025 was the expectation of Bulgaria’s transition to the euro on January 1, 2026. As early as the end of 2025, Bulgarian media and market participants explicitly noted that some buyers were expediting their decisions specifically in anticipation of the currency change, which spurred activity in the housing market.
Foreigners continue to play a significant role in the Bulgarian real estate market, particularly in resort and coastal locations. However, it is important to note that complete official Bulgarian government statistics on homebuyers by citizenship for 2025–2026 are not publicly available. The most frequently cited recent breakdown of foreign demand is based on data from the Bulgarian Real Estate Association and market surveys. According to these estimates, in 2024–2025, the most active foreign buyers included citizens of the United Kingdom, Germany, Greece, Israel, Romania, Turkey, Italy, Russia, Ukraine, and Poland.
According to the same market data, Ukrainians rank among the top 10 foreign homebuyers in Bulgaria. Their demand is driven both by relocation due to the war and by investment interest, primarily in properties on the Black Sea coast and in tourist regions. Among the most sought-after destinations are Varna, Burgas, Nessebar, as well as the mountain resorts of Bansko and Pamporovo.
The market continues to be supported by a price base that is relatively low by EU standards. Even after the recent growth, Bulgaria remains one of the most affordable housing markets in the European Union, which continues to attract foreign capital and sustain demand for apartments both for personal use and for rental purposes.
In the near term, the most likely scenario appears to be a further slowdown in price growth rather than a sharp decline. While the market grew at double-digit rates in 2025, a transition to moderate growth—roughly in the range of 5–7% per year—seems more realistic for 2026. This forecast is based on the already noticeable slowdown in growth rates, the high-base effect, and the fact that the euro has already been introduced and a significant portion of speculative demand was likely realized in advance.
According to Serbian Economist, Serbia’s real estate market continued to grow through the end of 2025: in the fourth quarter, the total volume of transactions reached €2.4 billion, marking the highest quarterly level since the Real Estate Price Register was established. This was reported by the Republic Geodetic Institute of Serbia (RGZ).
According to RGZ, in October–December 2025, the market value rose by 9% year-over-year, and the number of purchase and sale agreements increased by 6.9%, to 37,386. Apartments accounted for €1.4 billion, or 61% of the total value of all transactions.
Regionally, the number of transactions in the fourth quarter rose by 10.9% in Belgrade and by 5.8% in Kragujevac, while a decline of 6.5% was recorded in Niš and 8.7% in Novi Sad. A total of €768.5 million was spent on apartment purchases in Belgrade alone during this period.
The most expensive apartment of the quarter was sold in the municipality of Savski Venac for €1.4 million, with an area of 90 square meters, while the maximum price per square meter in the same municipality reached €15,298. The most expensive house was also sold in Savski Venac for €1 million, and a parking space for €60,000.
Earlier, RGZ reported that as early as the first quarter of 2025, the market showed a 9.3% increase in value alongside a 2.4% decline in the number of transactions, indicating further appreciation of assets. By the end of the year, this trend persisted, but the market simultaneously returned to growth in the number of transactions.
Vera Yegorova-Tolsta, owner of the real estate agency VIDOVSTAN, also noted the market’s growth in her review. Overall, RGZ data show that even with local fluctuations in individual cities, Serbia’s real estate market remained one of the most stable segments of the country’s economy through the end of 2025.
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Administrative barriers are one of the key factors slowing down the entry of new housing into the market, said Yevhen Favorov, head of the Ukrainian Association of Developers, during a roundtable discussion.
According to him, the government has now become one of the key drivers of housing demand in Ukraine: programs offering subsidized mortgages, compensation for destroyed housing, programs for military personnel, and other government initiatives are generating significant effective demand. However, the market cannot respond to demand immediately, since by the time a building is commissioned, 80–90% of the most liquid apartments have usually already been sold.
“If the government wants to secure additional housing stock for its programs, it will take time—at least 2–4 years, a significant portion of which is devoted to the administrative preparation of the project,” Favorov noted.
According to him, the association he heads conducted its first annual industry survey of developers, in which 120 respondents participated—owners, executives, and specialists from development companies, who collectively account for one-third of the total supply in the primary residential construction market. According to the survey results, the average duration of administrative project preparation—from land registration to obtaining a construction permit—is approximately 14.4 months; land rights registration takes 13.3 months; and obtaining urban planning conditions and restrictions (UPC) takes an additional 9.78 months.
Respondents cited problems with obtaining UCRs (35%), difficulties in the area of land and property relations (30%), instability of permits and their revocation (24%), difficulties in obtaining technical specifications (22%), as well as constant changes to rules, requirements, and legislation (20%).
Among the procedures that, according to developers, most need optimization at the state level, the top priorities are cultural heritage protection (49%), cadastral and land procedures (29%), access to urban planning information (28%), and digital services and registries (26%).
During the discussion, Olena Shulyak, Chair of the Parliamentary Committee on the Organization of State Power, Local Self-Government, Regional Development, and Urban Planning, emphasized that the problem with administrative permits is much deeper than simply a matter of administration or the speed of document issuance.
“Urban planning permits have effectively become a quasi-licensing tool that creates corruption risks, reinforces the monopoly of local authorities, and in some cases places developers in a dependent position,” Shulyak believes.
At the same time, she believes a systemic solution to this problem is impossible without up-to-date urban planning documentation—digitized and made public at the national level—so that the market has access to clear and transparent rules. The MP also called for a resolution to be submitted to the government as soon as possible, one that establishes a mechanism to address unjustified refusals by local authorities to issue building permits and empowers the State Architecture and Urban Planning Inspectorate (DIAM) to act as an arbitrator in such situations.
Oleksandr Novytskyi, Head of the State Architecture and Urban Planning Inspectorate (DIAM), added that the set of technical specifications and utility connections requires separate reengineering—with a transition to a unified digital process and a “single window” for the client.
Market representatives, in turn, confirmed that the absence or long-standing rejection of urban planning documentation has not only regulatory but also direct economic consequences: land plots are not being developed, investments are being postponed, and housing supply is not reaching the market in the necessary volume.
The survey results will serve as the basis for the association’s future advocacy work in collaboration with the government and the professional community.
According to the project Relocation.com.ua, citing data from idealista with reference to Banco de Portugal, foreigners invested €3.905 billion in Portuguese real estate in 2025, setting a new record and exceeding the 2024 level by 10.4%. Against this backdrop, the total inflow of foreign direct investment (FDI) into Portugal, conversely, fell by 34.9% to €8.51 billion, while the share of real estate in total FDI rose to 45.9%, or nearly half of all foreign capital.
The geography of this capital remains fairly predictable. The largest volume of accumulated foreign investment in Portugal is concentrated in Greater Lisbon—€113.2 billion, followed by the North of the country—€37.2 billion, and the Algarve—€21.7 billion; together, these three regions account for 80.5% of the total foreign investment stock.
Among the countries from which capital flowed in 2025, Luxembourg stood out—€1.1 billion, the United Kingdom—about €900 million, and Germany—€800 million. At the same time, Banco de Portugal itself notes that jurisdictions such as Luxembourg, the Netherlands, and Spain often serve as intermediary platforms, so the ultimate sources of funds may differ from the country of the direct counterparty.
But if we look not at investment capital but at actual real estate transactions, the picture becomes clearer. The latest detailed official breakdown from INE shows that in 2024, foreign families purchased 38,552 houses and apartments in Portugal, which is 6.7% more than in 2023 and 19.2% higher than the 2019 level. That said, foreigners still remained a minority in the market: in total, families purchased 134,540 properties, of which 95,988 were bought by buyers of Portuguese origin. Among foreign buyers, Brazilians led the way with 7,694 transactions, followed by Angolans with 4,054 and the French with 4,016. Separately, INE noted a rapid increase in the number of Americans: the number of their purchases rose from 537 in 2019 to 1,707 in 2024.
If we broaden the picture and look at all major foreign groups residing in Portugal, it becomes clear that the market demand is much broader than just traditional buyers from Brazil, France, or the United Kingdom. According to AIMA, 1,543,697 foreigners were residing in Portugal as of the end of 2024.
The largest community was Brazilians—484,596 people, followed by Indians—98,616, Ukrainians—79,232, Nepalese—58,086, and British—48,238.
The mortgage market adds a distinct dimension to this picture. According to Banco de Portugal, in 2024, 10.1% of people who took out a mortgage for their primary residence were foreigners. Brazilians again led the way, accounting for 38% of all foreign borrowers; they were followed by Angolans and British nationals. In terms of loan amounts, Brazilians accounted for 30% of foreign mortgage volume, the British for 7%, Americans for 6%, and the French and Italians for 5% each. This shows that in Portugal, foreign demand has long been driven not only by purchases with personal funds but also by full-scale lending.
That is precisely why the Portuguese market should now be viewed from two perspectives. In the first, foreign capital has indeed set a record and continues to fuel the real estate market even after the abolition of “golden visas” for housing. Second, the composition of actual foreign demand is becoming increasingly diverse: as before, Brazilians, Angolans, French, British, and Americans are the most active buyers, but within the country’s demographic structure, the role of Ukrainians, Indians, Nepalese, and other new communities is becoming increasingly prominent. For the market, this means one thing: the foreign presence in the Portuguese housing market is not weakening, but changing form.
https://relocation.com.ua/foreigners-break-record-in-portugals-housing-market/
In 2025, the Spanish housing market reached its highest level since 2007: according to data from the Spanish Ministry of Housing and Urban Agenda, 752,098 home sales were completed in the country, which is 5% more than in 2024.
Foreign demand remains one of the key drivers of this growth. According to preliminary data from Spanish registrars, foreigners bought almost 97,300 houses and apartments in Spain in 2025, which was a new high and accounted for 13.8% of all transactions in the housing market. At the same time, according to notarial statistics for the first half of 2025, foreigners accounted for 71,155 transactions, or 19.3% of the total number of home sales during this period. Notaries separately note that the growth in 2025 was mainly driven by foreign residents, while purchases by non-residents declined slightly.
The main groups of foreign buyers in Spain are now primarily Europeans and people from countries with high migration to Spain itself. According to registrars’ data for the fourth quarter of 2025, the largest shares among foreign buyers were British (8.57%), German (6.67%), Dutch (5.91%), Moroccans (5.30%), French (5.28%), Romanians (5.17%), and Italians (4.76%). Notarial statistics for the first half of 2025 also show the UK leading the way with 5,731 transactions, followed by Morocco with 5,654 and Germany with 4,756.
Ukrainians also occupy a prominent place in this structure. According to data based on Spanish notarial statistics, in January-June 2025, Ukrainian citizens made 2,165 home purchases in Spain, which was a record for the entire series of observations. In the official Notariado review, Ukraine is also named among the countries that showed growth in the first half of 2025: the number of purchases by Ukrainians increased by 5% year-on-year. The average price paid by Ukrainian buyers was around EUR 1,832 per square meter.
Russians, on the contrary, are losing weight in the Spanish market. According to notaries, in the first half of 2025, home purchases by Russian citizens decreased by 17.4% compared to the same period in 2024, and Russians are no longer among the largest foreign groups in terms of the number of transactions. At the same time, Russians are still among the buyers with above-average purchase prices for foreigners.
Geographically, foreign demand is most noticeable on the coast and islands. According to registrars, the share of foreign buyers is particularly high in the Balearic Islands (32.8%), the Valencian Community (29.6%), the Canary Islands (24.5%), Murcia (22.8%), Catalonia (16.5%), and Andalusia (14%). Notaries also highlight Alicante, the Balearic Islands, Malaga, and Santa Cruz de Tenerife as the main areas of concentration for transactions with foreigners.
Thus, the Spanish housing market is currently being fuelled by two foreign flows: non-resident buyers, especially from Northern and Western Europe, and migrants who already live and work in Spain. According to notarial statistics, it is the second group that will be the main factor in maintaining record demand for housing in 2025.
The mayor of Barcelona, Jaume Collboni, has proposed banning citizens of countries outside the European Union from buying second homes in the city, explaining that this is to combat speculative demand amid a protracted housing crisis. This primarily concerns buyers who purchase real estate not for permanent residence but as an investment asset. In February, Collboni himself said that if it were within his power, he would ban British, American, and other non-EU citizens from buying second homes in the Catalan capital.
At the moment, this is only a political initiative and not an adopted norm. At the same time, at the national level, the Spanish government announced in January 2025 its intention to significantly tighten the conditions for purchasing housing for non-residents from countries outside the EU, increasing the tax burden for them to 100% of the property value. This measure also remains a proposal and requires further legislative formalization.
Barcelona’s initiative is part of a broader policy by city authorities to cool the overheated housing market. Earlier, the city had already decided not to renew licenses for short-term tourist rentals, of which there are about 10,101 in Barcelona, after 2028. The authorities explain the tough stance by the fact that over the past ten years, the average rent in the city has increased by 68%, and the cost of purchasing housing by 38%.
According to official data from Idescat, at the beginning of 2025, 1,713,247 people lived in Barcelona, of whom 437,663 were foreigners, or 25.55% of the population. Accordingly, there were about 1.276 million Spanish citizens in the city. At the same time, if we look not at citizenship but at place of birth, according to the city report for 2024, 33.6% of Barcelona’s residents were born outside Spain, and those born directly in Barcelona accounted for only 46.1% of the population.
The largest diasporas in Barcelona by citizenship at the beginning of 2025 were Italian (50,754 people), Colombian (29,574), Pakistani (24,857), Chinese (22,333), Peruvian (22,105), Moroccan (19,300), and French (18,437). The city authorities separately noted that the statistics for Italian citizens also include many people born in Argentina with Italian passports.
