Buyers Aim at Small and Cheap Homes

20 янв 2009 The past year has been one of the most dynamic years on the market and can be best described only as very controversial. It had a powerful beginning with an average size of credits reaching 46,800 euro across the country, and 61,545 euro in Sofia, which meant a 20 percent increase in January against December. However, February brought the first rise in interests causing a wave of renegotiating contracts and refinancing projects. May, June and July were the last 'strong' months we witnessed 'relaxed' interest rates and for the first time ever the average size of drawn credits had gone across 50,000 euro, reaching 50,376 euro. The market pacified in August. But then came September and its deep, and deepening, financial crisis. The buyers of property were forced to turn their gaze at smaller and cheaper homes and at the same time had to provide bigger and bigger part of the loan's amount themselves. As a result, the total credit volume decreased. And because this trend continued, the real estate sector shrank.