Post by TheTravelBug on Nov 14, 2009 15:34:04 GMT
A lovely rural house in a charming Bulgarian village can still be bought for as little as 5000 Euros in some areas but what should you consider when viewing such properties and making a decision on whether to purchase such a property? Here are 5 things you should consider carefully before parting with any money:
1. Renovations Costs – Whenever you are considering purchasing an older rural property you need to consider the cost of necessary renovations. Realistically any rural Bulgarian property is unlikely to have a proper indoor bathroom and simply an outdoor toilet, therefore you are going to need to install a septic tank (unless the property can be connected to the mains) and have all the plumbing put in for this and the bathroom. This will easily cost around 1,000 Euros if not more. The roof may need looking at, you are likely to want to get the wiring checked out and probably replaced, possibly some insulation in the roof cavity, some form of heating, a proper kitchen and most definitely some touch up plaster work. Structural renovations start to add a significant amount to the final bill and may require building permits. If you start looking at putting internal stairs into properties, making a separate room for a bathroom and so on, costs will start to mount. Make sure you work in any renovation costs into your final budget. For a small rural property budget at least 15,000 Euros.
2. Access and Transport – Take careful note of exactly how the property is accessed. Make sure there is a clear route of access and not just a track over the neighbours vegetable garden. Also ask about winter weather conditions – is the road to the property liable to be blocked with snow, does the river flood and make access impossible. And check out local public transport links – is there a regular bus service or a train station or is the only option going to be to always have a vehicle. This is an important consideration if you are thinking of renting the property out.
3. The ‘convenience’ factor – How close is the property to the nearest supermarket? Is there a shop in the village, is there a restaurant, a café etc…You do not really want to have to drive 45 minutes along a pot holed single lane track just to get some basic provisions and neither will your guests if they want to eat out or go shopping.
4. Maintenance & Management – If the property is to serve as a holiday home or rental property who will look after it in your absence? Often a friendly neighbour will be more than willing to do this but it is worth checking if there is someone who offers a management service to check the property every now and then, do small maintenance jobs, pay bills etc. And what about the garden? While it may seem fantastic to buy a house with an acre of land, who will look after this when you are not around so you do not come back to a jungle each visit?
5. Holiday Home, Rental, Capital Appreciation – Finally when considering buying a rural property, think carefully about what you are buying it for. If it is to simply be your holiday home, then so long as you love it, then go ahead but if for a rental property you need to consider why someone would want to rent it, what there is to do in the area and the return you are likely to get. If you are simply looking for capital appreciation, maybe you just intend to buy a plot of land or old house and hold on it in the hope prices will go up or maybe you intend to renovate it and sell on. Check out similar renovated properties for sale in the area to get an idea of what you can hope to achieve. Look at local economics and business – is a new supermarket planned, a golf course, a spa resort etc…these can all help push property prices up.
You need to consider all these points carefully before deciding on whether you should buy a rural property. When you take into consideration the full cost of renovations, you may discover you are better spending more at the start to get a modern villa in a more accessible town.
1. Renovations Costs – Whenever you are considering purchasing an older rural property you need to consider the cost of necessary renovations. Realistically any rural Bulgarian property is unlikely to have a proper indoor bathroom and simply an outdoor toilet, therefore you are going to need to install a septic tank (unless the property can be connected to the mains) and have all the plumbing put in for this and the bathroom. This will easily cost around 1,000 Euros if not more. The roof may need looking at, you are likely to want to get the wiring checked out and probably replaced, possibly some insulation in the roof cavity, some form of heating, a proper kitchen and most definitely some touch up plaster work. Structural renovations start to add a significant amount to the final bill and may require building permits. If you start looking at putting internal stairs into properties, making a separate room for a bathroom and so on, costs will start to mount. Make sure you work in any renovation costs into your final budget. For a small rural property budget at least 15,000 Euros.
2. Access and Transport – Take careful note of exactly how the property is accessed. Make sure there is a clear route of access and not just a track over the neighbours vegetable garden. Also ask about winter weather conditions – is the road to the property liable to be blocked with snow, does the river flood and make access impossible. And check out local public transport links – is there a regular bus service or a train station or is the only option going to be to always have a vehicle. This is an important consideration if you are thinking of renting the property out.
3. The ‘convenience’ factor – How close is the property to the nearest supermarket? Is there a shop in the village, is there a restaurant, a café etc…You do not really want to have to drive 45 minutes along a pot holed single lane track just to get some basic provisions and neither will your guests if they want to eat out or go shopping.
4. Maintenance & Management – If the property is to serve as a holiday home or rental property who will look after it in your absence? Often a friendly neighbour will be more than willing to do this but it is worth checking if there is someone who offers a management service to check the property every now and then, do small maintenance jobs, pay bills etc. And what about the garden? While it may seem fantastic to buy a house with an acre of land, who will look after this when you are not around so you do not come back to a jungle each visit?
5. Holiday Home, Rental, Capital Appreciation – Finally when considering buying a rural property, think carefully about what you are buying it for. If it is to simply be your holiday home, then so long as you love it, then go ahead but if for a rental property you need to consider why someone would want to rent it, what there is to do in the area and the return you are likely to get. If you are simply looking for capital appreciation, maybe you just intend to buy a plot of land or old house and hold on it in the hope prices will go up or maybe you intend to renovate it and sell on. Check out similar renovated properties for sale in the area to get an idea of what you can hope to achieve. Look at local economics and business – is a new supermarket planned, a golf course, a spa resort etc…these can all help push property prices up.
You need to consider all these points carefully before deciding on whether you should buy a rural property. When you take into consideration the full cost of renovations, you may discover you are better spending more at the start to get a modern villa in a more accessible town.