Four billion euro in foreign investments entered Bulgaria in 2006, equal to 16 per cent of the GDP of the country, Austria's Die Presse said.

One third of these investments were in the real estate market.

As a result, prices increased, though real estate was not expected to bring any significant profit over the next five years. Profits from sales of office properties were expected to be seven per cent, from retail property eight percent and from storage property nine per cent.

Real estate in Bulgaria was more expensive than in Romania, Die Presse said.

No trend of increase of property prices was to be expected either. The crisis in the US mortgages market made investors more cautious.

Still, there was no reason to believe the Bulgarian market would ‘overheat’ and demand remained relatively high, Die Presse said as quoted by Focus news agency.