According to Eurostat data released in July 2026, Bulgaria experienced the highest annual increase in house prices among European Union member states in the first quarter of 2026. Prices rose by 16.2% compared to the same period in 2025, significantly outpacing the EU average of 3.8%.
The surge is attributed to strong demand from both domestic and foreign buyers, coupled with limited housing supply in major cities like Sofia, Plovdiv, and Varna. Low mortgage interest rates and rising construction costs have also contributed to the upward pressure on prices.
Other countries with notable price increases include Poland (14.1%), Croatia (12.5%), and Estonia (10.2%). In contrast, Germany and Finland saw slight declines in property values during the same period.
Eurostat's data highlights a widening gap between Eastern and Western European housing markets, with several Central and Eastern European nations experiencing double-digit growth while Western markets remain relatively stagnant.
