Fewer Listings, Higher Costs: Bulgaria’s Vacation Property Market Faces 30% Surge

Specialists in the real estate and tourism sectors are forecasting a notable rise in the prices of vacation properties in Bulgaria, with estimates pointing to an increase of between 25% and 30%. According to Rosina Baneva, who manages a company specializing in holiday apartment operations, this growth is not expected to be driven artificially, but rather by the gradual reduction of the informal segment of the market.

The anticipated shift is linked to upcoming changes in the European regulatory framework. From May 20, 2026, a significant portion of short-term rental properties in Bulgaria could be removed from major booking platforms such as Airbnb and Booking.com. Estimates suggest that as many as half of the currently listed properties may no longer meet the new requirements and will be delisted.

Georgi Duchev, head of the Bulgarian Association of Hotel Management Professionals, also expects prices to rise and confirmed that a reduction in listings is likely. At the same time, he emphasized that the regulatory changes will bring greater clarity and fairness to the sector. In his view, consumers stand to benefit the most, as they will have more confidence when booking accommodation and a lower risk of misleading offers.

Duchev also pointed out that the distinction between traditional hotels and short-term rental apartments has become increasingly blurred in recent years. Many apartment-style accommodations now offer amenities similar to hotels, while hotels themselves must compete by highlighting services such as catering, housekeeping, fitness facilities, and security. The changes are expected to primarily affect online platforms, where most listings are concentrated, rather than informal, on-the-ground rental practices.

Baneva noted that property owners are already showing signs of concern, particularly regarding the administrative requirements they will need to meet. Smaller landlords, especially those renting out a single property, may struggle to adapt and could exit the market altogether, as maintaining profitability outside the gray sector becomes more challenging.