Renting Real Estate

Legal framework

Lease relationships in Bulgaria are governed by Art. 228-239 of the Obligations and Contracts Act (OCA). These provisions define the basic rights and obligations of the landlord and tenant.

Maximum term

A lease agreement may be concluded for a term of up to 10 years, unless it is a commercial transaction (between traders), in which case there is no such limitation. A contract concluded for a longer term is deemed to be concluded for 10 years.

Rights and obligations of the landlord

• To deliver the property in a condition suitable for its intended use
• Not to interfere with the tenant's use of the property
• To carry out major repairs, unless otherwise agreed
• To receive the rent within the agreed timeframe

Rights and obligations of the tenant

• To use the property for its intended purpose and maintain it with due diligence
• To pay the rent within the agreed timeframe
• To notify the landlord of damage and encroachments
• To return the property in the condition received, taking into account normal wear and tear

Key points to watch

When concluding a lease agreement, it is important to pay attention to the following key clauses:

• Default obligations — what are the penalties for late payment or early departure
• Payment method — bank transfer, cash, payment deadline, rent indexation
• Termination — conditions for early termination, notice period
• Automatic renewal — if after expiry the tenant continues to use the property with the landlord's knowledge, the contract is deemed to be extended for an indefinite period
• Property condition at handover — mandatory preparation of a handover protocol describing the condition and inventory
• Utilities — who pays for electricity, water, heating, internet, maintenance fees

Property review before leasing

We recommend conducting due diligence even for a lease, especially for long-term contracts or commercial premises. The review includes:

• Landlord verification — confirmation that the person is the actual owner or has the right to lease the property
• Encumbrances check — mortgages or liens that could affect the lease relationship
• Construction documentation — availability of Act 16, compliance with approved designs
• Zoning — whether the property can be used for the intended activity (especially for commercial leases)

Our services

We offer a full range of legal services in the area of lease relationships:

• Property and landlord verification — legal due diligence before leasing
• Lease agreement drafting — professionally drafted contract tailored to your interests
• Existing contract review — analysis of clauses and risk identification
• Dispute representation — in cases of non-payment of rent, damage, unlawful eviction or other conflicts

Frequently asked questions